Disney’s 1Q results fueled by growth at its theme parks

By ALEX VEIGA
AP Business Writer

LOS ANGELES (AP) — The Walt Disney Co.’s latest quarterly results topped Wall Street’s forecasts, as solid growth at the entertainment giant’s theme parks helped offset tepid performance in its video streaming and movie business.

Disney said Wednesday that it earned $1.28 million, or 70 cents per share, in the three months through Dec. 31. That compares with net income of $1.1 billion, or 60 cents per share, a year earlier.

Excluding one-time items, Disney earned 99 cents per share. Analysts, on average, were expecting adjusted earnings of 78 cents per share, according to FactSet.

Revenue grew 8% to $23.51 billion from $21.82 billion a year earlier. Analysts were expecting revenue of $23.44 billion.

The latest results marked the first quarterly snapshot since Bob Iger’s return as CEO in November following a challenging two-year tenure by his handpicked successor, Bob Chapek.

In a statement, Iger said the company is embarking on a “significant transformation” that management believes will lead to improved profitability at the company’s streaming business.

The company said Disney+ ended the quarter with 161.8 million subscribers, down 1% from since Oct. 1. Hulu and ESPN+ each posted a 2% increase in paid subscribers during the quarter.

Shares in Disney, which is based in Burbank, California, rose 3% in after-hours trading.