Disney to suffer loss of $1.4 bn from coronavirus pandemic

Walt Disney to suffer massive losses as its profits plunged by 91% due to coronavirus closures.

According to details, media-entertainment giant said that it will witness 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.

In the first glimpse into how the Covid-19 has ravaged the world’s largest entertainment company, Disney stated that its net income for the three months ending in March dropped 91 per cent to $475m.

The total revenues rose 21% to $18 billion for the company, with media operations showing strong growth.

After estimating the losses from pandemic as much as $1.4bn, 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.