The Walt Disney Corporate reported its complete fiscal 12 months and fourth quarter effects on Thursday with CEO Bob Iger and CFO Hugh Johnston highlighting the corporate’s successes within the quarter and 2025 as a complete. This covers the great & dangerous of those effects as they relate to Walt Disney Global & Disneyland, together with feedback about Epic Universe, park attendance, resort occupancy & extra.
Corporate-wide, Disney’s beat forecasts on profits according to percentage of $1.11 adjusted vs. $1.05 anticipated. Alternatively, the corporate neglected on income, with $22.46 billion vs. $22.75 billion anticipated. Web source of revenue for the quarter used to be $1.44 billion, greater than double the $564 million that Disney reported in the similar length a 12 months previous.
Disney additionally stated it plans to spice up its dividend and double its percentage buyback plan for fiscal 2026. Following those blended effects, the Walt Disney Corporate’s inventory is down 8% as of mid-morning on Thursday. That is in large part for one explanation why, and naturally, that explanation why is no longer theme parks. It’s as soon as once more the leisure unit, which fell 6% from closing 12 months to $10.21 billion, dragged down by means of the linear TV networks and theatrical releases.
Within the leisure section, streaming used to be as soon as once more a vivid spot within the industry as shoppers endured to show clear of the pay TV package deal. The Disney+ streaming provider added 3.8 million paid subscribers, bringing its general to 131.6 million, whilst Hulu had 64.1 million consumers. In a transfer that follows business chief Netflix, this marks the closing quarter that Disney will document subscriber numbers.
The massive factor for leisure used to be that working source of revenue for the linear networks dropped 21% to $391 million, even because it rose 39% to $352 million for streaming. Promoting income for the networks used to be down 12 months over 12 months, which used to be in part as a consequence of decrease political spending.
Disney’s Reviews section (together with Parks & Hotels) delivered report working source of revenue for each This autumn and the entire 2025 fiscal 12 months. For the 12 months, section working source of revenue hit $10.0 billion, an building up of $723 million in comparison to the prior 12 months.
Disney’s Reviews department This autumn income rose 6% all through the quarter to $8.77 billion and working source of revenue greater 13% to $1.88 billion. For This autumn, home theme park working source of revenue rose 9% to $920 million.
Global park source of revenue grew 25% to 375 million, a reversal from closing quarter when the world parks had been down somewhat and carried by means of Walt Disney Global and Disneyland.
The corporate attributed the greater working effects at its home parks & reports to enlargement at Disney Cruise Line. This used to be as a consequence of an building up in passenger cruise days, in part offset by means of upper fleet growth prices, each reflecting the release of the Disney Treasure within the first quarter of the present 12 months.
Disney CFO Hugh Johnston commented all through the Q&A on DCL: “Relating to call for for Disney Cruise Line, it’s very robust, even if we’ve got added as a lot capability as we’ve got. Our usage charges are consistent with what we’ve got observed previously.” The Disney Future will come on-line later this month adopted by means of the Disney Journey in March 2026, that means Parks & Hotels will have to have any other fiscal 12 months buoyed by means of DCL.
The robust beneficial properties on the world parks had been attributed essentially to enlargement at Disneyland Paris. The rise at world parks and reports used to be as a consequence of: quantity enlargement because of an building up in attendance, upper visitor spending, and better prices because of new visitor choices.
Drilling down slightly deeper, Disney’s 10-Ok confirmed that attendance used to be down 1% 12 months over 12 months on the home theme parks, which will have to be offering a ‘sneak peek’ at subsequent 12 months’s model of the once a year theme park attendance document that used to be simply launched for 2024 a pair weeks in the past (see Walt Disney Global Attendance Rises Relatively as Common Orlando Deepens Drop).
Pop math quiz time: environment apart DCL, how does Parks & Hotels hit report numbers in spite of lowered attendance on the home parks? Worth will increase, in fact! Home parks reported an building up in according to visitor spending of five%, which is slightly vital. Remaining 12 months’s enlargement used to be a extra modest 3% and that used to be on 1% attendance enlargement.
Disney doesn’t particularly say what drove upper according to visitor spending. Our very best bet is upper price ticket costs; previous to the closing fiscal 12 months, unmarried and multi-day admission prices in truth had no longer long gone up since December 2022. They rose for the present calendar 12 months and are up once more for 2026. Lightning Lane costs also are up around the board, after which there’s the brand new Premier Go, which introduced previous to the beginning of the 2025 fiscal 12 months. All attainable drivers of that 5% building up.
Then there’s lodge occupancy, which greater from 85% to 87% at Walt Disney Global and Disneyland.
Since there are exponentially extra Disney-owned lodges in Florida than California, that is in large part a tale of Walt Disney Global’s energy. Along with occupancy being upper, so too had been to be had room nights. With out having a look again at prior 10-Ks, I’m beautiful certain those are the very best numbers we’ve observed at the lodge aspect in a very long time.
Global occupancy used to be additionally up, expanding from 82% to 87%. That’s an enormous spice up, and explains why according to room visitor spending for the world parks used to be up an excellent 6%. (This used to be probably pushed by means of Disneyland Paris, since that’s the world website with essentially the most resort stock.)
This momentum is continuous into the 2026 fiscal 12 months and present quarter (October via December 2025). In keeping with the CFO, “bookings are up 3% the primary quarter. We be ok with that. They’re additionally up for the 12 months. I believe excellent the place are call for is at this time.”
Notable to that is that Walt Disney Global has already launched its first spherical of reductions for commute dates via mid-2026, and there’s additionally the Children Loose Eating be offering that’ll most likely gas additional visitor spending enlargement.
Johnston additionally boasted that according to visitor spending is up on the parks within the present quarter by means of 5%. No longer coincidentally, fee will increase simply hit at first of the brand new fiscal 12 months, with just about across-the-board will increase by means of about 3-6%. Despite the fact that discounting stays competitive, it has no longer appreciably greater year-over-year (with the exception of a restricted Georgia resident resort deal and a Florida resident price ticket deal–however the ones are most likely offset by means of somewhat extra modest common public gives).
That is as soon as once more enlargement for Parks & Hotels coming in on the upper finish of expectancies. And it’s going down in spite of Common Orlando opening Epic Universe. No longer best that, nevertheless it’s being fueled largely by means of upper resort occupancy–numbers which are essentially pushed by means of Walt Disney Global bookings since that’s the place the lodges are (most commonly).
Talking of Epic Universe, the corporate used to be requested in regards to the influence of Common Orlando’s new theme park all through the Q&A. Right here’s what the CFO needed to say: “We’ve mentioned Epic Universe previously as one thing that we knew used to be going to be a consider home parks and, in truth, it used to be very a lot consistent with our expectancies. If anything else, it kind of feels to be impacting the remainder of the contest down in Florida greater than it’s impacting us. From a shopper point of view, we definitely be ok with it.”
He additionally added that call for or attendance used to be no longer “mild” within the fourth quarter because of greater pageant, however quite, consistent with expectancies. That is necessarily a variation of what Bob Iger and Hugh Johnston had been pronouncing on profits requires the closing year-plus. If anything else, they’ve gotten extra bullish in regards to the non-impact of pageant at the parks.
My view is that that is most certainly a good point of view, particularly as soon as taking resort occupancy into consideration. (I’m beginning to marvel when analysts would possibly ask about DCL probably cannibalizing attendance from Walt Disney Global. I don’t suppose that’s a subject matter fear at this level, nevertheless it’s a minimum of a extra fascinating dialogue than rehashing the similar performed out Disney vs. Common debat.)
We don’t love to look attendance down, although it is just by means of 1%. I’d be considering realizing the breakdown between Walt Disney Global and Disneyland on that.
Although the latter is nearly ceaselessly busy and we seen a lower in wait instances at Walt Disney Global for all however the iciness, I wouldn’t be stunned if Disneyland noticed extra of a drop. The seventieth Anniversary didn’t appear to be an enormous driving force over the summer time, and extra restricted price ticket offers led to seriously decrease ‘appears like’ crowds and wait instances in overdue summer time and early within the Halloween season.
Regardless, the rise in occupancy is spectacular. Even with flat attendance, moving remains from off-site to on-site is very large. That’s doubly true when Common Orlando simply opened 3 new motels, and numerous different lodges have debuted not too long ago in Central Florida. Regardless of the way you slice it, Walt Disney Global appearing smartly. More potent than anticipated.
It’s additionally value acknowledging that this upper occupancy is most likely without delay as a consequence of higher particular gives. As we identified, Summer time 2025 had essentially the most competitive reductions we’ve observed in a very long time (and summer time had develop into the bottom occupancy season of the 12 months).
By means of sparsely profiting from the reductions that had been to be had over the summer time on tickets & motels, we noticed the bottom costs for Walt Disney Global holidays in over 6 years. (See Methods to Get the Least expensive Walt Disney Global Shuttle Since 2019.)
Decrease costs on motels paired with upper occupancy ended in upper according to room visitor spending, which moves us as a unprecedented win-win for visitors and Disney. That is the precise reverse of what took place with the 1% lower in attendance paired with upper visitor spending to power report income and source of revenue. Our view is that the Walt Disney Global parks have extra bandwidth many of the 12 months in the case of what’s comfy crowd-wise, so we’d like to look an building up there with larger affordability. To each and every their very own on that, even though.
In the long run, it used to be a robust complete fiscal 12 months 2025 for the corporate (minus linear networks), however particularly the Disney Reviews department and the home Parks & Hotels, specifically. Walt Disney Global and Disneyland, in addition to Disney Cruise Line had been actual vivid spots. Confidently that enhances the corporate’s bullishness within the industry, and making an investment in Parks & Hotels over the following decade.
Walt Disney Global has now reported report ends up in the closing two quarters in spite of the outlet of Epic Universe. That are meant to no longer be overpassed, despite the fact that it most certainly will likely be. Whilst Comcast’s fresh profits name expressed pleasure and optimism for that new park’s opening, they’ve additionally hinted at one of the identical problems (capability and reliability) that we’ve been discussing for some time (see Why You Must Skip Epic Universe Till 2026).
Some fanatics so badly wish to see Disney taken down a peg or return to how issues had been within the ‘excellent ole days’ that they’re willfully ignoring the weaknesses of Epic Universe, or a minimum of the demanding situations offered by means of a brand new theme park. No longer best that, however Common Studios Florida, Islands of Journey, and (particularly) Common Studios Hollywood had been hit onerous by means of attendance decreases closing 12 months.
As will have to be painfully evident by means of now, Common isn’t going to devour Disney’s lunch and Epic Universe isn’t hurting Walt Disney Global. To make certain, Epic Universe is a smart theme park that will likely be a powerful power through the years. Epic Universe remains to be scaling up and the park’s call for and capability normalizing through the years will most likely give Common Orlando a resort occupancy spice up.
However not anything we’re seeing at this time gives any toughen to claims that Epic Universe is negatively impacting Walt Disney Global in anyway, form or shape. Must be a captivating saga to look at proceed, particularly as Common Orlando reduces friction for 2026 with the advent of park hopping and multi-day visits to Epic Universe.
The “emerging tides” thesis would possibly really well be right kind, a minimum of for the 2 large gamers in Central Florida. The actual casualties could be the downmarket choices, which might be feeling the squeeze in Orlando and past, particularly as extra price-sensitive shoppers cut back on spending.
Making plans a Walt Disney Global go back and forth? Know about lodges on our Walt Disney Global Lodges Evaluations web page. For the place to devour, learn our Walt Disney Global Eating place Evaluations. To economize on tickets or resolve which kind to shop for, learn our Guidelines for Saving Cash on Walt Disney Global Tickets submit. Our What to Pack for Disney Journeys submit takes a singular have a look at artful pieces to take. For what to do and when to do it, our Walt Disney Global Experience Guides will assist. For complete recommendation, the most productive position to begin is our Walt Disney Global Shuttle Making plans Information for the whole thing you wish to have to grasp!
YOUR THOUGHTS
Ideas at the Walt Disney Corporate’s fourth quarter and entire fiscal 12 months 2025 profits? Ideas at the enlargement of the home parks? Do you want to look each attendance and affordability building up? Or do you like decrease crowds/wait instances and better costs? Ideas on occupancy enlargement at WDW and past? Do you settle or disagree with our evaluate? Another ideas or observation so as to add? Any questions we will be able to assist you to resolution? Listening to your comments–even whilst you disagree with us–is each fascinating to us and useful to different readers, so please percentage your ideas under within the feedback!
