Walt Disney World is preparing for significant revenue losses as Hurricane Milton approaches Florida. The hurricane is set to affect large portions of Florida’s west coast, with storm surge warnings indicating heights of up to 15 feet. As the storm, which could bring winds of up to 160 mph, makes landfall, residents are evacuating their homes.
In response to the impending hurricane, Disney has announced the temporary closure of several of its theme parks. Milton, which peaked at category 5, is expected to pass through the Orlando area where Walt Disney World is situated.
Disney has implemented staggered closures for Disney’s Hollywood Studios, Disney’s Animal Kingdom, and Magic Kingdom. Forbes reports that the parks will remain closed through Thursday, leading to considerable revenue losses.
A Tuesday report from Goldman Sachs estimates that Disney could face losses ranging from $150 million to $200 million due to the storm-related shutdowns. These losses are expected to stem not only from the closures but also from a projected decline in attendance after the parks reopen, with estimates suggesting attendance could drop by up to six percent this quarter.
According to CNBC, these estimates could make Hurricane Milton the costliest storm in Florida since Hurricane Irma in 2017. Disney reported that Irma resulted in about $100 million in lost revenue after Walt Disney World closed for two days and saw cancellations of Disney Cruise Line sailings.
USA Today notes that Walt Disney World has had to close due to hurricanes on at least seven occasions. Currently, Orlando is under a hurricane warning, with high winds anticipated through Thursday. The National Weather Service forecasts wind speeds between 74 and 110 mph in the area, along with approximately 12 inches of rainfall.
The National Weather Service has warned that these wind speeds present a “threat to life and property,” urging residents to “prepare for considerable wind damage.” A TikTok video captures the winds picking up at Walt Disney World, filmed by a guest taking shelter in their hotel room as the hurricane approaches.