New Report States Impact of Hurricane Ian Cost Disney Millions

The Walt Disney Company’s Q4 Earnings Call for the 2022 fiscal year took place this afternoon, and one segment of the meeting confronted the particular setbacks attributed to natural disasters like the recent Hurricane Ian and Tropical Storm Nicole.

While Disney reported a total $28.7 billion dollar revenue for Disney Parks, Experiences, and Products during today’s discussion, its growth was not without its own costs.

Despite this being a 73% increase in revenue from the previous fiscal year, certain expenses and procedures contributed to this number being lower even than it might have been in different circumstances.

The report specifies that “operating income growth” for the US-based sector of Disney Parks, Experiences, and Products was “partially offset” by “cost inflation” as well as an increased expense for “operations support.”

RELATED: What Happens if Tropical Storm Nicole Cancels Mickey’s Very Merry Christmas Party?

In addition to this, unforeseen climate events played their own role in determining Disney’s overall revenue numbers for the year in a negative way. Multiple natural disasters such as the Covid-19 pandemic, wildfires across Southern California, and tropical storms hitting the Florida Resort have globally impacted Disney’s total earnings overall.

During the call, CFO of the Walt Disney Company Christine McCarthy addressed one event in particular: Hurricane Ian that stalled operations across the Walt Disney World Resort and created delays for both Guests and prospective travelers as airports remained down.

At the Walt Disney World Resort alone, McCarthy was quoted as saying that the presence of Hurricane Ian created an “adverse impact of approximately $65 million dollars to segment operating income” at Walt Disney World.

Indeed, we’ve observed the potential closure of Resorts, the changes to the Disney cruise lines, and even the removal of certain Park traditions as a result of the storms preventing everyday operations for Disney.

Time will tell just how much more the impacts of Hurricane Ian and its counterparts will continue to disrupt magic-making Where Dreams Come True, our beloved Disney Parks, and what measures Disney will take in order to offset or recuperate some of this loss as they enter their 100-year celebration in January.