UBS predicts that Disneyland and other Disney theme parks will reach historical attendance levels by 2022 due to pent-up demand.
“We believe the parks business has bottomed and we’ll see improved attendance/profitability as the vaccine becomes more widely distributed,” UBS financial analyst John Hodulik stated in the report. “We expect parks to approach historical performance and attendance metrics by FYE22 with higher margins given operational improvements implemented during the pandemic.”
He goes on to write that Disney theme parks will be the “beneficiary of vaccine availability and pent-up demand for leisure travel” in the latter half of this year, allowing Walt Disney World—and Disneyland when it reopens—to increase attendance to 70% capacity. Walt Disney World’s attendance is currently at 35% capacity. UBS predicts that attendance will fully recover by 2023.
Magic Kingdom was the most attended theme park in the world in 2019 with 21 million visitors while Disneyland was second with 18.7 million, according to Themed Entertainment Association/AECOM. Disney theme parks all over the world had approximately 157.3 million visitors total in 2019.
In April 2020, Hodulik predicted that Disneyland Resort might not be able to reopen theme parks until at least January 2021 and his prediction has proven true.
“We now believe the lingering effects of the outbreak — including crowd avoidance, new health precautions, etc. — will dramatically reduce the profitability of these businesses even after they are reopened until a vaccine is widely available,” he wrote in April. ”The economic recession plus the need for social distancing, new health precautions, the lack of travel and crowd aversion are likely to make this business less profitable until there is a widely available vaccine.”
With the vaccine being slowly rolled out across the country and the world, the future is looking better for Disney theme parks.
Source: Orange County Register
That assumes that Disneyland will be allowed to reopen. We need to see the gates open before presuming what the numbers will look like. Not to mention the willingness of Californians who just had their passes cancelled will just show up anyway.
Agreed. Why is Disney making all these changes? Racist? Sexiest? I dont know if I want to go back, it’s not the Disney I knew and grew up knowing. All these changes. I liked the Pirates of the Caribbean the way it was. Because the men were chasing the women, now you’re going to change that, some people are too sensitive. It didnt stop many from going there for years.
Just wait, more changes will be coming in their relentless pursuit of PC. Peter Pan will lose the Indians soon. And who knows what other silliness is to come.
sure it will. if the late great state of california even allows them to open by then. place your bets folks.
As long kind tyrant is recalled watch Disney open right up! Recall newscum if you ever hope to go to Disney ever again
Sure…this is assuming that the general public will be able to afford to go, with all these price hikes coupled with cutting back of perks to make the costs worthwhile.
Really? Just stop….how long has this rode been here?….Relax! Way too any offended, sensitive , ridiculous people out there!
I’m not holding my breath for 2021, but by 2022 I think the parks will again be open, and the article is right — due to pent-up demand from everyone going through Disneyland withdrawals, Disneyland is going to be just fine once they reopen.
And for those whining about attraction changes, this is what Walt always said would happen. The parks and their attractions change with the times. And it you’re upset that it’s no longer going to be black people about to “get the point in the end” in the Jungle Cruise, maybe some soul-searching is needed to discover why you find it so important for it to be black people suffering.