Disney is not afraid of the opening of Epic Universe

Disney World’s reservations for summer 2025 are on the rise even as its biggest competitor Orlando prepares to open an entirely new theme park next year.

The Walt Disney Company. reported fourth-quarter results that beat Wall Street estimates as revenue rose $22.6 billion, up 6% from the same period last year. Disney’s business division, which includes theme parks, reported that its revenue increased 1%, or $100 million, from last year.

Universal Orlando, meanwhile, opens its doors Epic Universe on May 22. The park will feature new Nintendo-themed lands, Harry Potter, “How to Train Your Dragon” and more.

An analyst asked Disney executives about the effect the Universal park could have on Disney, which operates Magic Kingdom, the world’s No. 1 theme park.

Disney CFO Hugh Johnston downplayed any concerns with analysts by citing the increase in Disney reservations.

“We also looked at the history of opening other attractions and other parks in Florida, and that has generally been beneficial to us,” Johnston said.

Johnston’s words sound like Marc SwansonCEO of SeaWorld Parks, said earlier this month. More tourists coming to Orlando benefits everyone, Swanson said.

Disney invests billions of dollars in its theme parks around the world, including those in Orlando. Some of the projects include a Villain themed land in the Magic Kingdom.

But what does this mean for parks? It is not uncommon for Disney to build a new ride by simply replacing it on the footprint of an older ride. Will the new rides bring more capacity so more people can come to Disney? Or does this mean Disney can just charge more money at the parks?

Both, Johnston responded to an analyst’s question.

“What we’re planning is a balance of the two, and frankly, we’ll have the ability to adapt that as we learn how to get there,” Johnston responded.

The Walt Disney Co. has become a pipeline with its films feeding intellectual property into its theme parks, cruises and consumer products and games.

“It is worth noting that a blockbuster Disney film generates more value today than ever before,” the CEO said. Bob Iger said.

Disney did not disclose Thursday how much Hurricane Milton cost the company. The hurricane closed Disney World for an entire day and canceled Halloween festivities in October. The financial impact will therefore be reported in the next quarter.

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