Comcast’s second quarter numbers showed softening attendance trends in Orlando, a trend co-CEO Mike Cavanagh said has continued third quarter “driven by some weakness in consumer sentiment and higher travel costs.”
He said Comcast is “watching those trends carefully” and that they’re temporary, “not a permanent change in the outlook at all.”
“We continue to see continued consumer appeal and satisfaction, and all the things we look at, as it relates to the excitement people have about our parks,” he told analysts on a call after the media giant’s latest financials.
“We expect once economic conditions and consumer demand stabilizes for us, that we’ll be getting that attendance back.”
His comments come as Brent crude prices pushed past $100 per barrel for the first time in months. Attacks on vessels in the Red Sea have threatened to open a new front in the escalating U.S.-Iran war and squeeze an already tight oil market, which has been inflating gasoline prices at the pump and jet fuel, making travel more expensive and increasing other costs for consumers and businesses.
Executives on the call stressed that they’re pleased with Epic Universe, the ambitious new park that came online in May of 2025. But, cautioned Cavanagh, there’s “an overall demand drop that’s hitting Orlando broadly.”
Other geopolitical fallout: Universal Studios Osaka continues to be affected by China-related travel restrictions to Japan, execs said. Last fall, remarks by Japanese Prime Minister Sanae Takaichi around Taiwan triggered a sharp backlash from Beijing and the Chinese government restricting travel to Japan. Foreign ministers of both countries met to talk at a regional conference this week for the first time since the row in November.
Meanwhile, Cavanagh said, Universal Beijing is operating against a challenging macroeconomic backdrop.
At Universal Studios Hollywood, CFO Jason Armstrong noted that “results improved as we began to lap the initial pressure we experienced last year.” But he said he does not anticipate “a more meaningful improvement” until the new Fast & Furious: Hollywood Drift roller coaster opens later this year.
“Despite these near-term pressures, our outlook for the long-term opportunity of parks is unchanged. We have great brands, great locations, and a proven playbook for investing behind attractions and experiences that create real consumer demand and strong returns. With Universal Kids Resort now open in Frisco [Texas] and our U.K. park moving toward construction, we continue to see a long runway for growth,” Cavanagh said.
For the three months ended in June, parks profit dipped 5% to $609 million on revenue of $2.4 billion, up 2.7%.
Commentary around Disney theme parks will come when the company reports quarterlt numbers August 5.
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