Walt Disney sharply outperformed the quarterly profits in Wall Street on Wednesday, with results supported by the performance of the strong box office for moving completion “Moana 2”, although the company warned of a modest decrease in Disney+ Streaming in the next quarter.
The entertainment force helped compensate for the decline in the local Disney gardens, which was affected by Helen and Milton in Florida.
Also, the group of experiences led by gardens incurred about $ 75 million at the expenses associated with the launch of December of the Disney Kenz Cruz's biography.
Disney has reported a 44 % jump in modified profits per share of $ 1.76 per quarter to the quarter of October to December, which exceeds the estimation of the profit consensus of $ 1.45 per share for 24 LSEG polls.
Revenue for the first quarter in the first quarter increased by 5 % to 24.69 billion dollars, ahead of the expectations of analysts of $ 24.62 billion. The operating income increased by 31 % from the previous year to $ 5.1 billion.
The shares fell by more than 1 % in early trading, as it seemed that investors interact with Disney’s guidelines that the leading Disney+ Double Document will abandon a modest number of subscribers in the next quarter after the last prices.
This is in a sharp contradiction with Netflix competitions from 19 million subscribers.
“It is clear that Netflix won the battle of the last quarter in the total broadcast war.” “While Disney (broadcasting) business recorded a modest increase in revenue, it was largely paid due to high prices. Not consumers who are having prices a long -term growth strategy.”
Disney expects “individual numbers to rise” in a modified growth for each profit in the fiscal year 2025 compared to the previous year and an increase of about $ 875 million in operating income in the flowing entertainment unit.
The company said it would bear 50 million dollars in the costs associated with the exit from its joint project in Venu Sports with Warner Bros Discovery and Fox. Media companies abandoned their plans to serve the sport flow in January, after they faced great legal opposition.
The operational income in the release unit in Disney, which includes movies, television and broadcasting, has risen to $ 1.7 billion per quarter, or nearly twice the results from the previous year, partly due to the strong performance of “Moana 2.”
Animation sequel topped one billion dollars in the box office revenue on the weekend Martin Luther King Junior in January, becoming the fourth movie “Walt Disney Animation” to reach this financial landmark.
“Disney has turned into a fantasy stories who were hoping to get … it indicates that Disney is still a strong force that can be calculated when it comes to giving great strikes,” said Susanna Streter, head of money and markets at Hargreaves Lansdown.
Television
The traditional Disney TV works continued to wear. Operating income in the so -called linear networks decreased by 11 % to $ 1.1 billion. Bob Iger's CEO has described the company's esteemed television networks as “ASSET” that enhances its total TV, including broadcasting.
“Although I will not rule out the possibility of some smaller networks, in one form or another, they are formed differently in terms of how they are brought to the market, and perhaps even ownership,” Egger said. “But now, we actually feel satisfied with the hand we have.”
The notes come as Comcast prepares to start some cable networks in a separately circulating company.
The subscribers are sliding in the leading video service in the company, Disney+, by 1 % from the previous quarter to 124.6 million. The company warned of a modest decrease in subscribers due to the increase in prices that came into effect in October. It also expects a modest decrease in Disney+ subscribers in the second quarter, compared to the first.
Disney+ and Holo achieved a 293 million dollar profit in the quarter, which represents the third quarter in a row of profitability and turned from a loss of $ 138 million.
Disney said that adding ESPN to Disney+ had encouraged the participants to take samples of sports programming, which increases the time it spends in the application, a trend that you hope to benefit from with the addition of the daily “SPORTSCENTER” studio called “SC+” this year. All this paves the way to launch the pioneering ESPN display inside this fall.
In the experimental sector, which includes consumer products and a cruise line, as well as gardens, operating income was almost flat at $ 3.1 billion.
The profit decreased by 5 % in local gardens because the costs of hurricanes and cruises, while the income operating in international parks increased by 28 % from last year.
“Parks have always been from ACE-IN-THE-Hole, a large, profitable section that helped support the tremendous cost required to support the cash broadcast,” said Parkon Katz, a senior strategy expert in the entertainment industry in Parrot Analytics.
“It is important that Parks have now reported more soft results than expected in consecutive places.”
In the sports unit, which includes the ESPN and Star India network, operating income was $ 247 million, compared to a one -year loss, which reflects part of it in Star India operating results before Disney and Reliance Industries to complete a deal to combine them with Indian media assets.
EGR seemed to indicate Netflix entered the competition to live sport during the investor call, the Jake Paul-Mike Tyson Boxing and NFL games, saying that ESPN provides sports fans with 365 days per year, 24 hours a day.
“If you are a fan of sports, this does not represent about one day for a boxing event or one day of football.” “It comes to sports every day of the year and every hour of the day. This is a convincing proposal … the consumer's suggestion.”
