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11/22/2024 03:54:02 am

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Disney Profit Soars 22 Percent, Fueled by Movies, Parks, Products

Walt Disney

(Photo : Reuters) Walt Disney Company CEO-elect Bob Iger speaks in front of the Sleeping Beauty Castle during the opening ceremony of Hong Kong Disneyland, in this September 2005 photo.

American media giant Walt Disney Co.'s quarterly income has topped estimates, helped in large part by the success of its movies, attendance growth on domestic theme parks, and higher sales of its merchandise.

Disney reported on Tuesday that its net income jumped to US$2.2 billion, or US$1.28 per share, from US$1.85 billion in the same period a year ago. The average estimate of analysts surveyed by Thompson Reuters was an income of only US$1.17 per share.

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The company said revenue rose eight percent to US$12.47 billion, compared to the revenue of US$11.58 billion last year. Analysts expected US$12.16 billion.

After closing at US$86.75 on the New York Stock Exchange, Disney's shares climbed 15 cents to US$86.90 in U.S. after-hours trading.

The company's chief executive officer Bob Iger said that Disney's earnings per share for the three quarters were higher than the earnings recorded on any previous full fiscal year.

He said that building strong brands and franchises continue to create great value in the company.

The primary factor which brought better performance was the company's movie studio. Disney had two out of the three top-grossing movies in U.S. for the recent quarter. "Maleficent" and "Captain America: The Winter Soldier," helped pushed Walt Disney Studio's operating income to US$411 million.

The theme parks unit reported a solid domestic attendance growth which contributed to an operating income of US$848 million, up 23 percent from last year. The growth was driven by Disney U.S. operations.

Operating income rose 25 percent to US$273 million for consumer products, fueled by the growth of earnings in Disney retail stores and its merchandise for the products related to "Frozen," "Planes," and Marvel's "Spider Man" and "Iron Man."

Moreover, the interactive gaming unit of the company reported an operating income of US$29 million, with the help form sales of its Infinity gaming system.

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