Disney reports $1.4 billion loss from COVID-19 pandemic
PARIS: Walt Disney has suffered massive losses as its profits plunged by 91 percent due to coronavirus pandemic.
According to details, the company has estimated a loss of some $1.4 billion from the COVID-19 in the current fiscal quarter as a result of a massive hit to its theme parks and other operations due to worldwide lockdowns.
Disney stated that its net income for the three months ending in March dropped 91 percent to $475m. The total revenues rose 21 percent to $18 billion for the company, with media operations showing strong growth.
After estimating the losses from pandemic as much as $1.4 billion, Disney executives sought to assure investors that the company would weather the storm.
“While the COVID-19 pandemic has had an appreciable financial impact on a number of our businesses, we are confident in our ability to withstand this disruption and emerge from it in a strong position,” said Bob Chapek, named chief executive earlier this year.
Walt Disney, last month, stopped paying more than 100,000 workers from this week as it struggles to cope with losses amid coronavirus lockdown. The company operates theme parks and hotels in the US, Europe, and Asia.
Stopping pay for almost half of its workforce will save Disney up to $500m (£400m) a month, according to the US newspaper.
Read more: Walt Disney to temporarily lay off 43,000 workers
