Hong Kong Disneyland has announced that losses doubled in 2017, despite increased attendance and spending at the resort. This mixed financial news comes as Hong Kong continues its $1.4 billion USD expansion.
Between October 2016 – September 2017, Hong Kong Disneyland’s losses rose from HK$171 million ($21.85 million USD) to HK$345 million ($44.10 million USD), a huge 101% increase. This means the resort has spent three consecutive years in the red.
However, there are hints that Hong Kong Disneyland is starting to head in the right direction.
During the 2017 financial year, the park welcomed 6.2 million guests, an increase of 3% from 2016. Guest spending and hotel bookings also increased, bringing total hotel occupancy close to 70%.
These improvements resulted in an 8% increase in revenue to HK$5.1 billion.
Furthermore, the number of international guests reached 1.6 million, a record for the park and 5% increase from 2016. This reflects well on Hong Kong Disneyland’s efforts to attract more guests from Asia.
Finally, Hong Kong Disneyland’s press release also hints that attendance continues to be strong into the 2018 financial year, with a double-digit increase in guests during the Halloween and Christmas events.
In summary, new attractions, a new hotel, and seasonal events are attracting more guests and increasing revenue. However, the expenditure required is way beyond the initial increase in revenue. The big question is, will these new events and attractions manage to boost attendance to the point where Hong Kong Disneyland becomes profitable in the long-run?
Planning your trip to Hong Kong Disneyland? Read our Ultimate Guide to Hong Kong Disneyland to learn everything you need before your trip. Including discount park tickets, where to eat, where to stay, and what wi-fi and SIM Card to get!
To learn more about the Disney Parks in Asia, sign up for our mailing list to get the best in advice and updates sent right to your inbox!