The Walt Disney Co. logo. appears on a screen above the floor of the New York Stock Exchange, August 7, 2017, in New York. (AP Photo/Richard Drew, file)
Walt Disney Co. plans to invest approximately $60 billion in its theme parks and cruise lines over the next decade as it continues to grow one of its more successful business segments.
The company said in a regulatory filing on Tuesday that the planned investment is almost double what it spent in the previous decade.
The Disney Parks, Experiences and Products segment continues to perform well for the company, with revenue up 13 percent in the fiscal third quarter. That helped offset problems at the Disney Media and Entertainment Distribution unit, where revenue fell 1% in the period.
Disney is confident in its plans, saying in a prepared statement that it has seen growth following previous periods of significant investment, including the additions of Cars Land at Disney California Adventure, Star Wars Galaxy’s Edge at Disneyland and Hollywood Studios at Walt Disney World, Avengers Campus at California Adventure and Walt Disney Studios Park in Paris.
It will also open new Frozen-themed lands in the Hong Kong, Paris and Tokyo properties, along with a Zootopia-themed land in Shanghai. And during a presentation at the Destination D23 event earlier this month, Disney made several park announcements, including plans to create a new Pirates of the Caribbean-themed lounge at Magic Kingdom and reimagining the Test Track ride at Epcot .
Disney’s theme parks have been a top priority for Bob Iger since he returned to take over the CEO post from Bob Chapek in November.
The Burbank, California-based company’s theme parks are widely viewed by industry experts as a critical part of its business. That’s why Iger has prioritized reconnecting with Disney theme park die-hards and restoring their trust in the brand. Shortly after his return, changes were made to American parks.
While the company did not provide details on specific plans it has for the $60 billion investment, it did say that “there is a deep well of stories” that have not yet been fully explored in the theme parks.
Disney said it has significant room to further expand its theme parks, with more than 1,000 acres of land available for potential future development to expand theme park space across its existing locations. That equals about seven new Disneyland parks.
Some of the company’s cruise line plans are already in place, as it previously announced that it will add two ships in fiscal 2025 and another in 2026.
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