Hong Kong Disneyland has achieved its first profit since its debut seven years ago, according to an announcement by The Walt Disney Company. The profit increase reflects a rise in the number of visitors from mainland China, which comprised 45 percent of the park’s attendees last year.
The Hong Kong theme park and resort complex has struggled financially since it began operation. Just a few years ago it was experiencing losses of approximately $200 million dollars annually. For this fiscal year, the park has reported a profit of $14 million.
The New York Times writes that although $14 million might seem like a small profit, it signals a turning point for Hong Kong Disneyland. The change in revenue follows a multimillion dollar expansion initiated to increase its number of visitors.
The results seem promising with a reported 13 percent increase in traffic last year, resulting in an annual total of 6.7 million visitors.
Disney acknowledges that the rise in attendance is largely due to the addition of attractions such as Toy Story and Grizzly Gulch.
According to an article by Bloomberg, Hong Kong Disneyland continues to entertain the possibility of future expansion. The third of its kind in Asia, the location is currently the smallest of Disney’s world-wide theme parks.
Andrew Kam, the park’s managing director, spoke about the ongoing process:
“We are still negotiating with all the shareholders. The expansion is a matter of when, how, and what scale.”
Hong Kong Disneyland is a jointly owned venture between the Hong Kong government and The Walt Disney Company.