The Walt Disney Company has reported that the company lost $6.9 billion in 2020 because of its park closures around the world, according to The Hollywood Reporter.
- Disney announced the number during its full-year earnings report.
- The company said: ”The most significant impact was at the Parks, Experiences and Products segment where since the second quarter of the fiscal year, our parks and resorts have been closed or operating at significantly reduced capacity and our cruise ship sailings have been suspended.”
Context:
Disney closed all of its parks in March and April at the beginning of the pandemic. Slowly but surely, more of the parks reopened, including Walt Disney World down in Lake Buena Vista, Florida.
Meanwhile, Disneyland in California remains unopened since California’s guidelines make it too hard to reopen.
- Disney CEO Bob Chapek said in the earnings call Thursday that he was “extremely disappointed” over the “arbitrary standard” for Disneyland reopening.
What’s next:
Disney has pivoted its business to focus more on streaming, which includes everything you see on Disney Plus. The company saw losses from the lack of parks and its studio films having to be held off. So for now, the company will focus on Disney Plus.