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Credit: Inside the MagicThe Walt Disney Company (NYSE: DIS) has released its fourth-quarter earnings report, and Bob Iger will take to the airwaves to talk all things House of Mouse, but one thing is clear: Disney is not backing down from the crowded theme park market in Central Florida.
Posting an operating income of over $10 billion for its Disney Experiences arm, The Walt Disney Company shows that it won’t be backing down, even with Universal’s new park, Universal Epic Universe, opening down the road earlier this year.
“Experiences: Record full year segment operating income of $10.0 billion, an increase of $723 million compared to the prior year,” the earnings report reads. “Record Q4 segment operating income of $1.9 billion, an increase of $219 million compared to the prior-year quarter.”
For the fourth quarter, the domestic and international split was as follows, per the earnings report:
- International Parks & Experiences operating income grew 25% to $375 million
- Domestic Parks & Experiences operating income grew 9% to $920 million
It’s true that Disney has faced criticism for its rising costs over the last few years, and even as that doesn’t look set to slow down, guests are still heading out to the parks and, more importantly for Disney, they are spending money. That said, many wondered how Disney would deal with the opening of Universal Orlando Resort’s major new destination, Universal Epic Universe, and it seems the Walt Disney World Resort has held its own over the summer.
With that in mind, Disney has alluded to the opening of Epic Universe in its statement on the future of the Disney Experiences brand–and how it will entice guests to keep returning to The Most Magical Place on Earth.
“Overall, our Experiences business delivered strong results in fiscal 2025, despite increased competition in the Orlando market,” the executive summary reads. “As we look to fiscal 2026, we expect segment operating income growth of high single digits compared to the prior year, driven by a continued focus on operational excellence, delivering a great guest experience, and disciplined cost management.”
The Mouse House added: “We expect results to be weighted to the second half of the year, driven by the timing of new initiatives and associated pre-opening expenses, including the launch of the Disney Destiny on November 20, the Disney Adventure in March, and the opening of World of Frozen at Disneyland Paris in the spring.”
It will be interesting to see if the Disney Experience division drops as we move into fiscal 2026. Across the Walt Disney World Resort, major changes are happening that could repel guests from spending the thousands of dollars it costs for a vacation to the parks.
From the landscaping overhaul at Magic Kingdom, Disney’s Hollywood Studios, and Disney’s Animal Kingdom to the numerous construction changes underway at several hotel resorts, could Disney risk a decrease in guests due to the extensive work being done simultaneously? Only time–and the next earnings call–will tell.
How do you feel about Disney’s plan to keep guests coming back to the parks? Let Inside the Magic know in the comments down below!