Disney and the owner of the Universal theme parks each reported softer results from their amusement parks in their most recent quarters, which signals the travel surge that fueled high attendance in theme parks after the pandemic may be waning following steep price increases and greater interest by travelers in other destinations, reported The Wall Street Journal (WSJ) on Friday.
"The lower-income consumer is feeling a little bit of stress. The high-income consumer is traveling internationally a bit more," Disney Chief Financial Officer Hugh Johnston said in the company's earnings call on Wednesday.
In its most recent quarter, Comcast CMCSA which owns Universal Destinations & Experiences reported a 10.6 percent decline in revenue in its park division from the previous year.
Six Flags said its attendance declined 2 percent, which was partly due to fewer operating days than the year-ago quarter. Disney said its attendance was stable, though operating income in its domestic park division declined 6 percent.
"The results come as a range of businesses from McDonald's to Airbnb have reported softening demand, putting investors on high alert for signs of an economic slowdown," noted WSJ.
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