The first half results for 2009 have been published and here are the high lights.
EURO DISNEY S.C.A.
Fiscal Year 2009
Reports First Half Results
Six Months Ended March 31, 2009
• Record attendance at 7.1 million and strong occupancy at 86%, despite a shift in the Easter vacation period
• Resort revenues down 4% to € 554 million, due to lower guest spending and a 3 percentage point decrease in occupancy
• Real Estate revenues down € 20 million to € 5 million, driven by one significant sale in the prior year
• Net loss increased by € 42 million to € 85 million due to lower revenues, as costs and expenses remained stable.
Commenting on the results, Philippe Gas, Chief Executive Officer of Euro Disney S.A.S, said:
“We achieved record attendance for the first semester and strong occupancy levels in our hotels. Our sales initiatives are delivering results in an increasingly difficult economic environment.
Our revenues decreased this semester which negatively impacted our results. This decrease was mainly due to a decline in real estate activities as well as a shift of the Easter vacation period into the second semester. Our Spanish and English markets declined significantly during the first semester, partially offset by a strong performance from our French market. We reacted to these changes by increasing our sales initiatives, while at the same time continuing to pursue disciplined cost management.
We continue to improve the appeal of Disneyland Resort Paris. We recently launched Mickey’s Magical Party across both parks, with four new interactive shows and a new attraction. We remain committed to continuing this development of new content and attractions inspired by Disney characters and stories.”
Resort operating segment revenues decreased by 4% to € 553.9 million from € 577.6 million in the prior-year period. The Group’s Resort business is subject to the effects of seasonality with the first half of a fiscal year typically generating less revenue than the second half. Results in the First Half have also been unfavorably impacted by the shift of the Easter holiday in some of our key markets from March in the prior-year period to April in the current fiscal year.
Theme parks revenues declined by 2% to € 309.6 million from € 316.4 million in the prior-year period, primarily resulting from a € 1.66 reduction in average spending per guest to € 43.01. This decline was partially offset by an increase of 111,000 in attendance to 7.1 million. The reduction in average spending per guest reflects lower spending on admissions and merchandise. The increase in theme parks attendance was driven by higher guest visitation from France, partially offset by Spain and the United Kingdom.
Hotels and Disney Village revenues decreased by 7% to € 219.6 million from € 235.9 million in the prior-year period, due to a 5% decline in average spending per room to € 187.16 and a 2.7 percentage point decrease in hotel occupancy from 88.5% to 85.8%. The decline in average spending per room principally reflects incremental promotional offers.
The reduction in hotel occupancy resulted from 34,000 fewer room nights compared to the prior-year period primarily driven by fewer guests visiting from Spain, the United Kingdom and Germany partially offset by more French guests.
Other revenues, which include participant sponsorships, transportation and other travel services sold to guests, decreased € 0.6 million to € 24.7 million.