DIS Walt Disney Co

   By Chester Yung 
 

HONG KONG--Hong Kong's Disney theme park on Monday posted a net loss of 171 million Hong Kong dollars (US$22 million) for the last fiscal year, widening from a net loss of HK$148 million a year earlier, partly due to lower attendance figures amid weakness in the tourism sector.

The weaker performance for the fiscal year ended September 2016 comes at a tough time for the theme park--the smallest of all Disney theme parks in the world--amid the intensifying competition for visitors after the opening of the much larger Shanghai Disneyland in June last year.

Hong Kong Disneyland, in which the city's government has a 53% stake, recorded attendance of 6.1 million people for fiscal 2016, down from of 6.8 million a year earlier. Walt Disney Co. (DIS) owns the remaining stake in the park.

It hasn't been a happy time for what is known as the happiest place on earth. Hong Kong Disneyland has been suffering from declining attendance and weak financial results in recent years as China's economic slowdown hurt Hong Kong's tourism market.

In a bid to revive the Hong Kong theme park, Walt Disney last November unveiled plans for a US$1.4 billion expansion project for its smallest park.

New attractions are set to open from 2018 to 2023, including "Frozen" and Marvel Comics-themed areas, a larger, remodeled castle and a new entertainment venue. The total number of attractions would rise to more than 130 from 110 once the upgrade is complete, the park said. The expansion is subject to approval from Hong Kong's legislature.

Write to Chester Yung at chester.yung@wsj.com

(END) Dow Jones Newswires

February 20, 2017 03:05 ET (08:05 GMT)

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