Disney Reports Profit Rise in Latest Quarter
The Walt Disney Company earned $723 million in the quarter ended December 31, up from $688 million in the same period last year, the company announced today. Revenues rose slightly to $8.7 billion. Better results at the company’s broadcast and parks units offset weaker results at the studio division.
Earnings at the company’s Media Networks unit jumped 36% to $467 million in the quarter and revenues rose 11% to $3.5 billion, due to higher affiliate revenues at ESPN and higher advertising revenues at ABC Family.
Operating income at Parks and Resorts rose 11% to $258 million and revenues rose 30% to $2.1 billion. The increase in revenue was largely due to the consolidation of results from Euro Disney and Hong Kong Disneyland into the unit. But theme park attendance and hotel occupancy at Walt Disney World increased, as did per capita guest spending at Disneyland.
Revenues at the film and television subsidiaries fell 20% to $2.4 billion, and operating income dropped 27% to $333 million. Disney blamed the decline on weaker comparisons to the same period last year, which featured the DVD release of Finding Nemo, Pirates of the Caribbean and The Lion King Platinum Release.
Sales at the Consumer Products unit fell 14% to $725 million and operating income fell 3% to $231 million. During the quarter Disney sold its Disney Store retail operations. Revenues and income at non-Store operations were up 10% and 11%, respectively.
[Source: Business Wire]