Disney Will Take $250 Million Loss for Closing STAR WARS: Galactic Starcruiser

Disney Parks opened Star Wars: Galactic Starcruiser in March 2022. It’s an immersive overnight experience that brings guests into the Star Wars galaxy. The two-night “cruise” aboard the Halcyon, a luxury liner, was an expensive outing, with prices for two starting at $4,800. In May 2023, Disney announced the closure of Star Wars: Galactic Starcruiser, though the company didn’t specify why. It’s hard not to imagine the costs for both the company and the guests playing roles. And during Disney’s Q3 2023 earnings call, we learned just how much the closure will cost Disney.

A stormtrooper looks over another trooper, Sandro, and the Captain of the Halcyon as part of Star Wars: Galactic Starcruiser
David Roark/Disney Parks

In news we first saw at The Orange County Register, Disney will take a loss in the form of “accelerated depreciation” on the Star Wars hotel. Disney’s interim CFO Kevin Lansberry said, in not as many words, it will cost Disney $250 million to close Galactic Starcruiser. The hotel has been open for less than two years of operation. That loss contributes to less than stellar financial results from Walt Disney World and Disney theme parks overall for the quarter.

To put that number in an even starker light, Numlock breaks that down to a $2.5 million writeoff per room in Galactic Starcruiser. (It has 100 cabins.) Given the hit the company is taking to close the hotel, you have to wonder about Disney’s profit projections for it had it remained open.

The last Star Wars: Galactic Starcruiser “voyage” departs on September 30. Disney has not yet said what they plan to do with the large and soon-to-be vacant building. Disney chairman of Disney parks, experiences and products Josh D’Amaro said in an interview “something will happen” with the building. It’s not possible for that statement to be more vague, but at least the building won’t sit empty forever. With its proximity to Disney’s Hollywood Studios, maybe they could still use it as a Star Wars experience.

The Disney earnings call also brought the announcement of increased pricing for Disney+ and Hulu.

Top Stories
Trending Topics