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Shanghai Disney expected to break even in first fiscal year

chinadaily.com.cn | Updated: 2017-06-16 17:35
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Tourists view a parade in Shanghai Disney Resort in Shanghai on May 17, 2017. The Walt Disney Company announced that the Shanghai Disney Resort welcomed its 10 millionth visitor recently. [Photo/Xinhua]

The general manager of the Shanghai Disney Resort has confirmed the attraction has a high possibility of breaking even in its first fiscal year which ends in September, making it one of the fastest attractions to become profitable within the year.

Philippe Gas made the comment in an interview with China Business News, as the joint-venture theme park between Walt Disney Company and Shanghai Shendi Group worth of $5.5 billion (37.5 billion yuan) embraced its landmark one-year anniversary on Friday.

The opening of the Shanghai Disney Resort also contributed to a growth in operating income during the first three months, as stated in the company’s latest quarterly report.

In regard to Walt Disney's global business, revenue of its parks and resorts rose 9 percent to $4.3 billion and 20 percent for the operating income to $750 million.

In May, the Shanghai Disney Resort announced the total volume of visitors also reached 10 million people, less than 11 months since the opening date.

As a result of the huge tourist flow and strong consumption, Shanghai Disney has had a boost in its upstream-downstream industries, which range from traveling, accommodation, catering and retailing, according to the newspaper.

The Home Inn hotels around Shanghai Disney, and those nearby to subway stations, also have had an average growth of more 30 percent year-on-year.

The resort has become home to the Shanghai Disneyland theme park which features six lands, two themed hotels, a Disney town for shopping, dining and entertainment, a Broadway-style theatre, a Wishing Star Park, and other outdoor recreational areas.

The seventh theme park, titled Toy Story Land, based on the Disney/Pixar film series Toy Story, should be open within the next year.

Tan Xinyu contributed to this story.

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