Disney’s second-quarter profit sinks on pandemic woes

Associated Press
Tuesday, May 5, 2020 5:00 p.m. | Tuesday, May 5, 2020 5:00 p.m.

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AP

The entrance to the parking lot at the Magic Kingdom at Walt Disney World is closed in Lake Buena Vista, Fla., on March 16.

NEW YORK — Disney reported a steep decline in profit as many segments of its media and entertainment offerings have ground to a standstill during the coronavirus pandemic.

Its second quarter profit dropped 91% to $475 million. Overall, the company said costs related to covid-19 cut Disney’s pretax profit by $1.4 billion.

One bright spot was its Disney Plus streaming service, which contributed to an almost $3 billion revenue increase for direct-to-consumer and international business. Overall revenue rose 21 percent to $18.01 billion, just short of the $18.06 billion analysts expected.