Disney Parks Thrive Despite Slowing International Travel

Disney's theme parks are bucking the trend of a slowdown in international travel to the US. Despite a 6% drop in foreign visitors last year, according to the World Travel & Tourism Council, Disney's experiences division posted record quarterly revenue for the fiscal third quarter.

The division reported nearly $10 billion in revenue, a 10% jump from the same quarter a year prior and a quarterly record. This marks the sixth consecutive quarter of record revenue for the division.

Disney CEO Josh D'Amaro attributed this success to strong volume and per capita spending results, even during a period of 'macro uncertainty'. He also highlighted that Disney is performing better than its competitors in the industry.

The company's domestic park attendance was up 3% and guest spending rose 4%, with CFO Hugh Johnston citing the 'very strong attendance' at Walt Disney World in Orlando. The success can be attributed to various promotions, including the Cool Kids Summer promotion, which features kid-focused character meet-and-greets, dance parties, and air-conditioned hangout spots.

The experiences segment also benefitted from the addition of two new ships to its cruise fleet, increasing stateroom capacity by around 50% and pushing revenue from resorts and vacations up 17% to $2.77 billion for the fiscal third quarter.