The box office tidal wave of “Moana 2” and better results from streaming lifted Walt Disney Co.’s results for its fiscal first quarter, even as its reliable theme park sector was hampered by dual hurricanes in Florida.
The Burbank-based media and entertainment giant reported $24. 7 billion in cash for the three consecutive consistent months on Dec. 28, a 5% build from the same quarter a year earlier. year and year. Earnings consistent with Centege were $1. 40 for the quarter, at $1. 04.
Disney has Wall Street projections for earnings and profits.
The quarterly effects occur after a recovery effectiveness of approximately two years for Disney, which has made really extensive efforts to revitalize its companies, in specific studies and transmission services, after having lost former general director Bob Chapek.
“Overall, we’re very encouraged through our effects this quarter,” CEO Bob Iger said on a Wednesday call with analysts. “Obviously, one of the highlights was the functionality of our film studios. We’ve experienced expansion in streaming profitability, old notes on ESPN, and the strong and enduring allure of Disney’s experience business. “
Investors were so excited that Disney shares closed $110. 56 on Wednesday, $2. 74 or 2. 4%.
Research company CFRA maintained a “buy” score for Disney stock, with senior equity analyst Kenneth Leon Writing, “In 2025, we are confident that Disney will return forward. “
Disney’s entertainment segment, which includes its studios and Disney+ and Hulu streaming businesses, had another big fiscal quarter, notching $10.9 billion in revenue, an increase of 9% compared to the same period a year earlier.
The Division Operational Income Source almost doubled at $ 1. 7 billion, largely driven by the good fortune of “Moana 2”, the sequel to the 2016 popular film about an adventurous teenager, starring the talent of the talent of the Auli’i Cravalho and Dwayne Johnson’s voice.
Revenue from content sales and licensing, which includes theatrical film distribution, rose 34% to $2. 2 billion, up from $1. 6 billion earlier. The comparable in 2023 included the animated film “Wish” and the superhero film “The Marvels,” which disappointed at the box office.
The company also saw continued gains in its streaming business.
Revenue for Disney’s entertainment streaming business, which includes Disney+ and Hulu, was $6.1 billion, an increase of 9%. The two services had a total of 178 million subscribers in the first quarter, an increase of about 900,000 compared to previous quarter. However, Disney+-only subscriptions were down 1% to 124.6 million, reflecting a price increase that led to churn.
But this isn’t all the smart news for Disney’s entertainment division. The company’s linear networks continued to struggle, generating a revenue stream of $2. 6 billion, a 7% drop compared to last year’s quarter, and an operating profit of $1. 1 billion, down 11%. Disney said the decline due to higher programming prices and a downplay in the partnership’s revenue stream due to relief in cable.
During Wednesday’s analyst call, Iger disputed the idea that the company’s linear networks were weighing on the company, instead calling them “an asset.” He said he wouldn’t rule out the possibility of reconfiguring some of the smaller networks in terms of how they’re brought to market or “maybe even ownership,” but that the company felt good about its situation.
“We’re really at a point where the linear networks of our business are not a burden at all,” he said. The business, which watches and guides the broadcast, which is confronted, is literally the long TV series. “
The Disney report division, which includes its lucrative thematic parks, specialized reports such as Resort Aulani in Hawai, reported profits of $ 9. 4 billion, 3% more than a year ago. , Disney’s Parks and Reports reported $ 2 billion in operational profits, 5% less than the previous year.
Disney attributed the milder effects, namely on its domestic parks and cruise ships, to prices announced in the past to launch its new cruise ship, the Disney Treasure, as well as inflation and Hurricanes Helene and Milton. day and canceled a cruise itinerary due to Hurricane Milton.
The company’s sports business, which includes ESPN, reported profits of $4. 9 billion, necessarily flat from a year earlier. The segment’s operating profit source is $247 million, compared to a loss of $103 million a year. An ESPN mosaic to Disney’s home screen, as well as new Disney-exclusive live sports exhibits premiering later this year.
Disney attributed the improvement in profitability to its Star India business, noting there were no significant cricket events in the fiscal first quarter of 2025, as opposed to last year.
The corporate has also finished its joint venture in India with Reliance Industries Limited in the first quarter, combining its star entertainment and tv channels in stars and the Disney Hotstar service in India with some of the media assets. Disney now holds 37% of the joint venture. The corporate recorded a loss of $ 33 million in the first quarter due to the accounting of the acquire of the new corporate.
The company expects to write off about $50 million in the fiscal second quarter due to the dissolution of the planned Venu Sports streaming service. Disney, along with partners Fox Sports and Warner Bros. Discovery, chose not to move ahead with the operation after a lawsuit blocking its debut was settled.
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