Euro Disney S.C.A. Reports 2013 First Half Results

              Euro Disney S.C.A. Reports 2013 First Half Results

  PR Newswire

  PARIS, May 7, 2013

PARIS, May 7, 2013 /PRNewswire/ --

•Total revenues increased 3% to € 568 million

• Resort revenues increased 2% reflecting higher guest spending partially
offset by anticipated moderate decrease in volumes

•EBITDA at € 3.1 million, up € 1.4 million

• Net loss narrowed by 10% reflecting the positive impact of the 2012
refinancing and an improved operating margin

Euro Disney S.C.A. (the "Company"), parent company of Euro Disney
AssociésS.C.A. ("EDA"), operator of Disneyland ^® Paris, reported today the
results of its consolidated group (the"Group") for the first six months of
fiscal year 2013 which ended March 31, 2013 (the "First Half").


    Key Financial Highlights                 First Half          Fiscal
    (EUR in millions, unaudited)            2013       2012   Year 2012
    Revenues                               567.7      552.4     1,324.3
    Costs and expenses                   (650.2)    (637.1)   (1,320.9)
    Operating margin                      (82.5)     (84.7)         3.4
    Plus: Depreciation and amortization     85.6       86.4       173.8
    EBITDA [1]                               3.1        1.7       177.2
    EBITDA as a percentage of revenues      0.5%       0.3%       13.4%
    Net loss                             (108.4)    (120.9)     (100.2)
    Attributable to owners of the
    parent                                (89.1)    (100.8)      (85.6)
    Attributable to non-controlling
    interests                             (19.3)     (20.1)      (14.6)
    Cash flow (used in) / generated by
    operating activities                  (19.8)       12.3       142.7
    Cash flow used in investing
    activities                            (52.2)     (83.8)     (152.0)
    Free cash flow used [1]               (72.0)     (71.5)       (9.3)
    Cash and cash equivalents, end of
    period                                  68.7      230.4       114.3

Key Operating Statistics [1]

    Theme parks attendance (in millions)     6.7         6.8          16.0
    Average spending per guest (in EUR)    45.97       44.11         46.44
    Hotel occupancy rate                   78.0%       79.8%         84.0%
    Average spending per room (in EUR)    207.84      207.29        231.33

Commenting on the results, Philippe Gas, Chief Executive Officer of Euro
Disney S.A.S , said:

" Delivering 3% revenue growth during our first semester is encouraging given
the current economic environment and clearly demonstrates the resiliency of
Disneyland  Paris . Three years ago, we made the decision to increase our
investments in the guest experience and the Resort in general and therefore
focus on guest spending growth. Our results for the first semester are in line
with this strategic choice with a 4% increase in guest spending and a slight
decrease in visitation.

" We are seeing the first concrete benefits of the debt refinancing
transaction, with substantial interest charge savings for the first semester.
With the refinancing, we also benefit from greater flexibility to continue to
invest in order to further strengthen the appeal of Disneyland  Paris .

" In the second half of the year, we will continue to build on both the
success of the 20 ^th  Anniversary celebration, which was extended for
another 6 months, and the strong commitment of our Cast Members to keep
delivering on our brand promise. At the same time, we remain cautious for the
rest of the year in light of the continued challenging economy. "

Seasonality

The Group's business is subject to the effects of seasonality and the annual
results are significantly dependent on thesecond half of the fiscal year, or
April 1 to September 30, which traditionally includes the high season at
Disneyland ^® Paris. Consequently, theoperating results for the First Half
arenotnecessarily indicative of results to be expected for the full fiscal
year. 

Revenues by Operating Segment 

                                                 First Half        Variance
    (EUR in millions, unaudited)                2013     2012  Amount          %
    Theme parks                                311.4    304.8     6.6       2.2%
    Hotels and Disney Village(R)               228.2    224.5     3.7       1.6%
    Other                                       21.5     21.8   (0.3)     (1.4)%
    Resort operating segment                   561.1    551.1    10.0       1.8%
    Real estate development operating segment    6.6      1.3     5.3        n/m
    Total revenues                             567.7    552.4    15.3       2.8%

n/m: not meaningful

Resort operating segment revenues increased 2% to € 561.1 million from € 551.1
million in the prior-year period.

Theme parks revenues increased 2% to € 311.4 million from € 304.8 million in
the prior-year period, due to a 4% increase in average spending per guest to
€45.97, partly offset by a 2% decrease in attendance to 6.7million. The
increase in average spending per guest was due to higher spending on
admissions, food and beverage and merchandise. The decrease in attendance was
due to fewer guests visiting from France, Spain and Belgium.

Hotels and Disney Village ^® revenues increased 2% to € 228.2 million from €
224.5 million in the prior-year period, reflecting a 17% increase in Disney
Village revenues, partly offset by a 1.8 percentage point decrease in hotel
occupancy to 78%. The increase in Disney Village revenues mainly reflected the
opening of a new boutique, World of Disney , in July 2012. The decrease in
hotel occupancy resulted from 24,000 fewer room nights sold compared to the
prior-year period, primarily due to fewer guests visiting from Spain, as well
as lower business group activity, partly offset by more guests visiting from
the United Kingdom.

Other revenues, which primarily include participant sponsorships,
transportation and other travel services sold to guests, decreased 1% to €
21.5 million from € 21.8 million in the prior-year period. 

Real estate development operating segment revenues increased by € 5.3 million
to € 6.6 million, from €1.3million in the prior-year period. This increase
was due to one land sale closed during the First Half while no land sale
closed in the prior-year period.

Costs and Expenses 

                                    First Half        Variance
    (EUR in millions, unaudited)   2013     2012  Amount          %
    Direct operating costs (1)    527.4    513.4    14.0       2.7%
    Marketing and sales expenses   68.0     69.5   (1.5)     (2.2)%
    General and administrative
    expenses                       54.8     54.2     0.6       1.1%
    Costs and expenses            650.2    637.1    13.1       2.1%

Direct operating costs primarily include wages and benefits for employees in
operational roles, depreciation and amortization related to operations, cost
of sales, royalties and management fees. For the First Half and the
corresponding prior-year period, royalties and management fees were
€32.7million and €31.6million, respectively.

Direct operating costs increased 3% compared to the prior-year period due to
expenses related to new guest offerings, labor rate inflation and increased
costs associated with higher real estate development activity.

Marketing and sales expenses decreased 2% compared to the prior-year period
due to lower sales activities and media initiatives.

Net Financial Charges 

                                      First Half               Variance
    (EUR in millions, unaudited)     2013         2012     Amount            %
    Financial income                  0.5          2.9      (2.4)      (82.8)%
    Financial expense              (26.3)       (38.9)       12.6      (32.4)%
    Net financial charges          (25.8)       (36.0)       10.2      (28.3)%

Financial income decreased by € 2.4 million compared to the prior-year period
due to a lower average level of cash and cash equivalents and lower short-term
interest rates. 

Financial expense decreased by € 12.6 million due to a lower average interest
rate on debt following the 2012refinancing. 

Net Loss

For the First Half, the net loss of the Group amounted to €108.4 million
compared to €120.9 million for theprior-year period.

Cash flows

Cash and cash equivalents as of March 31, 2013 were € 68.7 million, down
€45.6 million compared with September30,2012, and down € 161.7 million
compared with March 31, 2012.These variances resulted from:

                                                                First Half      Variance
    (EUR in millions, unaudited)                               2013       2012
    Cash flow (used in) / generated by operating activities  (19.8)       12.3    (32.1)
    Cash flow used in investing activities                   (52.2)     (83.8)      31.6
    Free cash flow used                                      (72.0)     (71.5)     (0.5)
    Cash flow generated by / (used in) financing activities    26.4     (64.2)      90.6
    Change in cash and cash equivalents                      (45.6)    (135.7)      90.1

    Cash and cash equivalents, beginning of period            114.3      366.1   (251.8)
    Cash and cash equivalents, end of period                   68.7      230.4   (161.7)

Free cash flow used for the First Half was € 72.0 million compared to € 71.5
million used intheprior-year period.

Cash flow used in operating activities for the First Half totaled €
19.8million compared to €12.3million generated in the prior-year period.
This decrease resulted from higher working capital requirements. Changes in
working capital during the prior-year period benefited from the deferral into
long-term debt of €33.9million of royalties and management fees, as
permitted by the 2005 restructuring debt agreements. No such benefit occurred
in the First Half following the removal of this deferral mechanism after the
2012 refinancing. 

Cash flow used in investing activities for the First Half totaled € 52.2
million compared to €83.8 million usedintheprior-year period. This
decrease was driven by the level of investments made in the prior-year period
in the World of Disney boutique, which opened in July 2012, as well as the
timing of capital expenditures related to a new attraction based on the
Disney.Pixar movie Ratatouille , scheduled to open in the Walt Disney Studios
^® Park in 2014.

Cash flow generated by financing activities totaled € 26.4 million for the
First Half compared to €64.2million used in theprior-year period. During
the First Half, the Group drew an amount of € 30.0 million from the €250.0
million standby revolving credit facility granted by The Walt Disney Company
("TWDC") ^[2] . In the prior-year period, the Group repaid € 64.3 million of
its bank borrowings, consistent with the scheduled maturities before the 2012
refinancing.

In accordance with the scheduled maturities agreed as part of the 2012
refinancing, the Group is only required to repay € 1.4 million of its
borrowings with TWDC in the last six months of fiscal year 2013.

UPDATE ON RECENT AND UPCOMING EVENTS

Disneyland® Paris' 20 ^th Anniversary Celebration

On February 28, 2013, the Group announced the extension of Disneyland ^®
Paris' 20 ^th Anniversary celebration until September 30, 2013. Guests now
have a second chance to enjoy the festivities that include a new twist on the
Disney Dreams ^® ! nighttime spectacular. The show is enriched with scenes
from two animated films, The Lion King and Brave , and becomes an interactive
experience with Disney Light'Ears ^[3] . These Mickey ears change color in
time with the show, making Disney Dreams! an even more spectacular experience
for the whole family. For more information, please refer to the press release
available on the Group's website.

New Ratatouille- themed attraction announced for Disneyland Paris in 2014

On February 28, 2013, the Group also announced a new attraction based on the
Disney.Pixar movie Ratatouille , scheduled to open in the Walt Disney Studios
^® Park in 2014. This unique attraction will take guests into the world of
Remy - a talented young rat who dreams of becoming a renowned French chef.
Disney storytelling and state-of-the-art technology will come together in this
romantic, larger-than-life, Parisian experience. For more information, please
refer to the press release available on the Group's website.

        An Analyst Meeting will be held on May 7, 2013 at 14:30 (CET)

              at Le Royal Monceau, 37 avenue Hoche - 75008 Paris

  The presentation of the Analyst Meeting will be available at 14:30 on Euro
                       Disney S.C.A. corporate website:

http://corporate.disneylandparis.com/investor-relations/publications/index.html

       Additional Financial Information can be found on the Internet at
                     http://corporate.disneylandparis.com

Code ISIN:FR0010540740      

Code Reuters:EDLP.PA

Code Bloomberg:EDL:FP

The Group operates Disneyland® Paris, which includes: Disneyland® Park, Walt
Disney Studios® Park, seven themed hotels with approximately 5,800 rooms
(excluding approximately 2,400 additional third-party rooms located on the
site), two convention centers, Disney Village®, a dining, shopping and
entertainment center, and a 27-hole golf course. The Group's operating
activities also include the development of the 2,230-hectare site, half of
which is yet to be developed. Euro Disney S.C.A.'s shares are listed and
traded on NYSE Euronext Paris.

Attachments:Exhibit 1 - Consolidated Statement of Income

  Exhibit 2 - Consolidated Segment Statement of Income

    Exhibit 3 - Consolidated Statement of Financial Position

 Exhibit 4 - Consolidated Statement of Cash Flows

 Exhibit 5 - Consolidated Statement of Changes in Equity

 Exhibit 6 - Statement of Changes in Borrowings

 Exhibit 7 - Definitions

EXHIBIT 1

EURO DISNEY S.C.A.

Fiscal Year 2013

First Half Results

Six Months Ended March 31, 2013

CONSOLIDATED STATEMENT OF INCOME

                                          First Half           Variance
    (EUR in millions, unaudited)         2013       2012  Amount           %

    Revenues                            567.7      552.4    15.3        2.8%
    Costs and expenses                (650.2)    (637.1)  (13.1)        2.1%
    Operating margin                   (82.5)     (84.7)     2.2      (2.6)%
    Net financial charges              (25.8)     (36.0)    10.2     (28.3)%
    Loss from equity investments        (0.1)      (0.2)     0.1         n/m
    Loss before taxes                 (108.4)    (120.9)    12.5     (10.3)%
    Income taxes                            -          -       -         n/a
    Net loss                          (108.4)    (120.9)    12.5     (10.3)%
    Net loss attributable to:
    Owners of the parent               (89.1)    (100.8)    11.7     (11.6)%
    Non-controlling interests          (19.3)     (20.1)     0.8      (4.0)%

n/m: not meaningful

n/a: not applicable

EXHIBIT 2

EURO DISNEY S.C.A.

Fiscal Year 2013

First Half Results

Six Months Ended March 31, 2013

CONSOLIDATED SEGMENT STATEMENT OF INCOME

Resort operating segment

                                          First Half           Variance
    (EUR in millions, unaudited)         2013       2012  Amount           %

    Revenues                            561.1      551.1    10.0        1.8%
    Costs and expenses                (644.1)    (635.9)   (8.2)        1.3%
    Operating margin                   (83.0)     (84.8)     1.8      (2.1)%
    Net financial charges              (25.8)     (36.0)    10.2     (28.3)%
    Loss from equity investments        (0.1)      (0.2)     0.1         n/m
    Loss before taxes                 (108.9)    (121.0)    12.1     (10.0)%
    Income taxes                            -          -       -         n/a
    Net loss                          (108.9)    (121.0)    12.1     (10.0)%

n/m: not meaningful.

n/a: not applicable.

Real estate development operating segment

                                        First Half        Variance
    (EUR in millions, unaudited)       2013     2012  Amount          %

    Revenues                            6.6      1.3     5.3        n/m
    Costs and expenses                (6.1)    (1.2)   (4.9)        n/m
    Operating margin                    0.5      0.1     0.4        n/m
    Net financial charges                 -        -       -        n/a
    Loss from equity investments          -        -       -        n/a
    Income before taxes                 0.5      0.1     0.4        n/m
    Income taxes                          -        -       -        n/a
    Net profit                          0.5      0.1     0.4        n/m

n/m: not meaningful.

n/a: not applicable.

EXHIBIT 3

EURO DISNEY S.C.A.

Fiscal Year 2013

First Half Results

Six Months Ended March 31, 2013

CONSOLIDATED STATEMENT OF FINANCIAL POSITION

                                                           September 30,
    (EUR in millions)                     March 31, 2013            2012
                                             (unaudited)
    Non-current assets
    Property, plant and equipment, net           1,824.4         1,860.8
    Investment property                             14.2            14.2
    Intangible assets                               33.9            36.1
    Restricted cash                                 14.9            21.3
    Other                                           17.0             8.9
                                                 1,904.4         1,941.3
    Current assets
    Inventories                                     43.2            38.7
    Trade and other receivables                    107.8           116.8
    Cash and cash equivalents                       68.7           114.3
    Other                                           21.4            24.8
                                                   241.1           294.6
    Total assets                                 2,145.5         2,235.9

    Equity attributable to owners of the
    parent
    Share capital                                   39.0            39.0
    Share premium                                1,627.3         1,627.3
    Accumulated deficit                        (1,748.5)       (1,659.4)
    Other                                          (8.1)          (15.7)
    Total equity attributable to owners
    of the parent                                 (90.3)           (8.8)

    Non-controlling interests                     (14.9)             2.7
    Total equity                                 (105.2)           (6.1)
    Non-current liabilities

    Borrowings                                 1,709.2       1,709.3
    Deferred income                               15.4          15.6
    Provisions                                    11.4          12.3
    Other                                         49.6          51.8
                                               1,785.6       1,789.0
    Current liabilities
    Trade and other payables                     281.9         331.7
    Borrowings                                    31.7           1.7
    Deferred income                              150.5         112.3
    Other                                          1.0           7.3
                                                 465.1         453.0
    Total liabilities                          2,250.7       2,242.0
    Total equity and liabilities               2,145.5       2,235.9

EXHIBIT 4

EURO DISNEY S.C.A.

Fiscal Year 2013

First Half Results

Six Months Ended March 31, 2013

CONSOLIDATED STATEMENT OF CASH FLOWS

                                                                First Half
    (EUR in millions, unaudited)                               2013       2012

    Net loss                                                (108.4)    (120.9)
    Items not requiring cash outlays or with no impact on
    working capital:
    - Depreciation and amortization                            85.6       86.4
    - Net increase in valuation and reserve allowances          2.9        3.0
    - Other                                                   (0.3)        1.3

    Net change in working capital account balances:
    - Change in receivables, deferred income and other
    assets                                                     52.9       37.1
    - Change in inventories                                   (5.2)      (1.7)
    - Change in payables, prepaid expenses and other
    liabilities                                              (47.3)        7.1
    Cash flow (used in) / generated by operating
    activities                                               (19.8)       12.3

    Capital expenditures for tangible and intangible
    assets                                                   (50.3)     (81.9)
    Increase in equity investments                            (1.9)      (1.9)
    Cash flow used in investing activities                   (52.2)     (83.8)

    Net (purchases) / sales of treasury shares                (0.2)        0.1
    Cash proceeds from TWDC standby revolving credit
    facility                                                   30.0          -
    Repayment of borrowings                                   (0.1)     (64.3)
    Payment of costs incurred during the 2012 refinancing     (3.3)          -
    Cash flow generated by / (used in) financing
    activities                                                 26.4     (64.2)

    Change in cash and cash equivalents                      (45.6)    (135.7)
    Cash and cash equivalents, beginning of period            114.3      366.1
    Cash and cash equivalents, end of period                   68.7      230.4

SUPPLEMENTAL CASH FLOW INFORMATION

                                                                 First Half
    (EUR in millions, unaudited)                                2013     2012
    Supplemental cash flow information:
    Interest paid                                               33.5     21.2

EXHIBIT 5

EURO DISNEY S.C.A.

Fiscal Year 2013

First Half Results

Six Months Ended March 31, 2013

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY

                                          Net loss
                                             for
                              September   the First                  March 31,
    (EUR in millions)          30, 2012     Half         Other            2013
                                         (unaudited)  (unaudited)  (unaudited)
    Equity attributable to
    owners of the parent
    Share capital                  39.0            -            -         39.0
    Share premium               1,627.3            -            -      1,627.3
    Accumulated deficit       (1,659.4)       (89.1)            -    (1,748.5)
    Other                        (15.7)            -          7.6        (8.1)
    Total equity
    attributable to owners
    of the parent                 (8.8)       (89.1)          7.6       (90.3)

    Non-controlling
    interests                       2.7       (19.3)          1.7       (14.9)

    Total equity                  (6.1)      (108.4)          9.3      (105.2)

EXHIBIT 6

STATEMENT OF CHANGES IN BORROWINGS

                                           First Half 2013 (unaudited)
                            September                                         March 31,
    (EUR in millions)        30, 2012  Increase    Decrease     Transfers         2013
                                                                            (unaudited)
    TWDC Loans                1,231.8         -           -             -      1,231.8
    Promissory Note with DEI    268.7         -           -             -        268.7
    Promissory Note with Euro
    Disney S.A.S.                92.7         -           -             -         92.7
    TWDC - Centre de congrès     15.9         -           -             -         15.9
    TWDC EUR 100 million
    revolving credit facility   100.0         -           -             -        100.0
    TWDC loans                1,709.1         -           -             -      1,709.1
    Financial lease               0.2         -           -         (0.1)          0.1
    Non-current borrowings    1,709.3         -           -         (0.1)      1,709.2
    TWDC - Centre de congrès      1.4         -           -             -          1.4
    TWDC EUR 250 million
    revolving credit facility       -      30.0 (1)       -             -         30.0
    TWDC Loans                    1.4      30.0           -             -         31.4
    Financial Lease               0.3         -       (0.1)           0.1          0.3
    Current borrowings            1.7      30.0       (0.1)           0.1         31.7
    Total borrowings          1,711.0      30.0       (0.1)             -      1,740.9

Amount drawn in the First Half from the € 250 million standby revolving credit
facility granted by TWDC to the Group.

EXHIBIT 7

EURO DISNEY S.C.A.

Fiscal Year 2013

First Half Results

Six Months Ended March 31, 2013

DEFINITIONS

EBITDA corresponds to earnings before interest, taxes, depreciation and
amortization. EBITDA is not a measure of financial performance defined under
IFRS, and should not be viewed as a substitute for operating margin,
netprofit / (loss) or operating cash flows in evaluating the Group's
financial results. However, management believes that EBITDA is a useful tool
for evaluating the Group's performance.

Free cash flow is cash generated by operating activities less cash used in
investing activities. Free cash flow is not a measure of financial performance
defined under IFRS, and should not be viewed as a substitute for operating
margin, net profit / (loss) or operating cash flows in evaluating the Group's
financial results. However, management believes that Free cash flow is a
useful tool for evaluating the Group's performance.

Theme parks attendance corresponds to the attendance recorded on a "first
click" basis, meaning that a person visiting both parks in a single day is
counted as only one visitor.

Average spending per guest is the average daily admission price and spending
on food, beverage and merchandise and other services sold in the theme parks,
excluding value added tax.

Hotel occupancy rate is the average daily rooms occupied as a percentage of
total room inventory (total room inventory is approximately 5,800 rooms).

Average spending per room is the average daily room price and spending on
food, beverage and merchandise andother services sold in hotels, excluding
value added tax.

--------------------------------------------------

1. Please refer to Exhibit 7 for the definition of EBITDA, Free cash flow and
key operating statistics.

2. Please refer to note 12.1. "TWDC Debt" of the Group's 2012 consolidated
financial statements, included in the Group's 2012 Reference Document.

3. Disney Light'Ears will be sold beginning in summer 2013 at select locations
throughout Disneyland Paris and online.

Press Contact Laurent Manologlou Tel: +331-64-74-59-50 Fax: +331-64-74-59-69
e-mail: laurent.manologlou@disney.com   Corporate Communication François
Banon Tel: +331-64-74-59-50 Fax: +331-64-74-59-69 e-mail:
francois.banon@disney.com Investor RelationsOlivier Lambert Tel:
+331-64-74-58-55 Fax: +331-64-74-56-36 e-mail: olivier.lambert@disney.com
 
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