Disney said its US theme parks will face pressure in the coming months from a decline in international visitors, though the company expects domestic demand and marketing efforts to offset the impact and still deliver modest growth in its parks business.
International Visits Decline
The company said international visitation to its US parks has softened, reflecting a broader drop in foreign travel to the United States. Preliminary data from the US International Trade Administration show overseas visits to the US fell 2.5% last year, excluding travellers from Mexico and Canada.
The decline marked the first drop in foreign visits since 2020. Analysts have linked the shift to changing sentiment toward the US following policies introduced under President Donald Trump, though Disney did not comment on specific causes.
Canada And Policy Effects
The impact is expected to be more pronounced once Canadian data is fully included. According to the ITA, visits from Canada fell by more than 20% in the first nine months of the year compared with the same period in 2024, after a boycott US movement gained traction following new US tariffs on Canada.
The US has also increased entry costs for some foreign visitors. Fees at national parks have risen for non-US tourists, and the government is considering requiring visitors from dozens of countries, including the UK, to submit five years of social media history.
A recent survey by the World Travel & Tourism Council found that one-third of international travellers said they would be less likely to visit the US if those social media requirements were introduced.
Disney Park Performance
Last year, attendance at Disney’s parks in California and Florida fell by 1%. Despite that, executives said bookings at US parks are still on track to grow 5% this year, even with what they described as international visitation headwinds.
Attendance rose 1% in the most recent quarter. Revenue across Disney’s US and international parks increased 6% year on year in the quarter, exceeding $10bn (£7.3bn).
Analyst View
Guy Bisson of Ampere Analysis said the figures suggest the impact of fewer international visitors is manageable. He said the outcome is unlikely to match the company’s strongest periods but does not point to severe disruption.
Financial Results And Market Reaction
Shares in Disney fell 4% on Monday after the company reported its quarterly results. Overall revenue rose 5% year on year to $26bn, supported by film releases including new Zootopia and Avatar sequels.
Profits declined by nearly 6%, as higher content and distribution costs weighed on earnings.
Featured image credits: Flickr
For more stories like it, click the +Follow button at the top of this page to follow us.