As Hurricane Milton barrels toward central Florida, Goldman Sachs estimated that the newly classified Category 5 storm could have an adverse impact of $150 million to $200 million on Walt Disney World’s Parks and experiences in the current quarter.
This potential loss is primarily attributed to the expected drop in domestic attendance at Walt Disney World, with projections now suggesting a 6% year-over-year decline in attendance growth, compared to an earlier estimate of a 2% decline.
Drawing Parallels To Hurricane Irma
Analyst Michael Ng has drawn comparisons to past hurricanes, particularly Hurricane Irma in 2017, which resulted in significant operational disruptions for Walt Disney Co. (NYSE:DIS).
Irma caused a $100 million hit to operating income and led to a 3 percentage point decline in domestic parks attendance. The storm forced the closure of Walt Disney World for two days, along with multiple cancellations of cruise ship itineraries.
Based on Disney's 10% compound annual growth rate (CAGR) in its Parks ...
