Disney Reverses Losses As CEO Says California Park to Reopen By Investing.com
By Christiana Sciaudone
Investing.com – Disney Shares burst after the CEO said Disneyland would reopen next month.
Chief Executive Officer Bob Chapek told CNBC that the two California parks, which have been closed for about a year, will be operational again on April 30th. Revenue for the quarter ended January 2 was 53% below the parks’ prior year figure. Experience and products division due to pandemic downtimes.
The stock reversed previous losses and traded a little higher. The shares trade about 3% less than they did earlier this month.
Disney more than doubled its streaming service, a division of the direct-to-consumer segment that saw revenue jump 73% to $ 3.5 billion last quarter, last year.
The reopening will be limited to just 15% of capacity initially and should accelerate as vaccines continue to spread and Covid-19 numbers drop.
“I think when people get vaccinated they get a bit more confident in the fact that they can travel and, you know, stay COVID-free,” Chapek said.
The company returned to Florida last year.
“We’ve been with Walt Disney (NYSE 🙂 World for about nine months and there’s certainly no shortage of demand,” said Chapek.
Disney’s California hotels will also open next month.
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