Heat waves and heavy rainfall spoil the fun of outdoor amusement parks.
That simple fact has done a number on shares of Oriental Land, which operates Tokyo Disney Resort. This summer’s scorching temperatures, combined with increasingly heavy rains, have kept visitors away from the parks, and as a result the company’s stock price has fallen 25 percent this year, making it the seventh-worst performer on the Nikkei stock index of 225 issues.
Japan had a record number of foreign tourists in July, and their preferences are changing in line with the weather. Companies that offer indoor entertainment have seen the number of visitors rise, along with profits and their stock prices. Sanrio, which owns the Hello Kitty brand, operates two indoor theme parks and has posted a 93% gain on its shares this year. Round One, which operates a chain of air-conditioned arcades, bowling alleys and video games, has seen its shares rise 56%.
