The Walt Disney Co. (NYSE: DIS) is keeping its Disney World theme park in Orlando open as Hurricane Milton approaches Florida, and a new projection by Goldman Sachs analysts warns the storm could damage the entertainment giant’s earnings.
CNBC reported the new Goldman Sachs forecast warned Disney could see a drop in earnings before interest and taxes for its Parks and Experiences segment by about $150 million to $200 million in its current 2025 fiscal first quarter. This would be greater than the 2017 hit that Disney experienced from Hurricane Irma, which resulted in about $100 million of reduced earnings after the parks were forced to close for two days and some cruise ship operations were disrupted.
Goldman Sachs also estimated that Disney’s first-quarter domestic attendance would take a hit from the storm, with the potential for a 6% decline instead of an earlier estimate of down 2%.
As of this afternoon, Disney said it was operating under normal conditions and only planned to close its campgrounds and rental cabins in wooded areas; no announcements of storm-related closings of the full park were released. The hurricane is expected to make landfall in the Tampa area by tomorrow night and then head across the state to Orlando before traveling east into the Atlantic Ocean and away from the mainland.
Update: Disney released an updated announcement that its Hollywood Studios and Animal Kingdom will close at 1:00 p.m. on Oct. 9 while the Magic Kingdom, EPCOT and Disney Springs will close at 2:00 p.m.
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