Strength in Disney‘s Experiences and Sports divisions propelled the media giant to better-than-expected results in its fiscal second quarter.
Revenue in the period ended March 29 increased 7% over the same quarter a year ago, reaching $23.6 billion. Earnings per share, excluding certain items, hit $1.45 on a diluted basis, up from $1.21 in the 2024 period. The top- and bottom-line figures were comfortably ahead of Wall Street analysts expectations.
Investors cheered the report, boosting shares more than 6% in pre-market trading. The upward movement was a welcome change for shareholders, as the stock has fallen 17% in 2025 to date, battered by Donald Trump’s tariffs and other forces. Speaking of Washington, executive remarks on the quarterly results from CEO Bob Iger and CFO Hugh Johnston, released alongside the numbers, contained barely a whisper about the economic climate. They glancingly referred to “monitoring macroeconomic conditions,” though will surely be pressed on the matter by analysts during the conference call later Wednesday morning.
The Sports division benefited from the expanded College Football Playoff and an additional NFL game compared with the year-earlier quarter. While production costs rose due to the three extra CFP games, domestic ad revenue in Sports surged 29%.
Total revenue in Sports leveled up 5%, but operating income took a hit due in part to the dissolution of the ill-starred Venu Sports joint venture with Fox Corp. and Warner Bros. Discovery. Venu shuttered early in the quarter.
Experiences was an overall highlight, with operating income up 9% to $2.5 billion. U.S. parks saw an upswing in attendance and per-capita spending by guests increased, while bookings for the new Disney Treasure cruise ship are also on the rise.
Revenue in Domestic Parks and Experiences and Consumer Products climbed by 13% and 14%, respectively.
Streaming also continues to show progress, with direct-to-consumer operating profit increasing by $289 million to $336 million. The company only a few quarters ago started turning a profit in streaming after a grueling five-year rollout of Disney+.
The streaming flagship hit 126 million subscribers, up 1.4 million from the previous quarter, ahead of the company’s own forecasts. Disney+ and Hulu together (including Hulu + Live TV) increased by 2.5 million to 180.7 million.
At the movie studio, strong carryover business from holiday releases Mufasa: The Lion King and Moana 2 was “largely offset” by the results of Snow White and Captain America: Brave New World, Disney said.
Content Sales/Licensing and Other, the line item encompassing studio returns, saw revenue shoot up 54% from the year-earlier period, to $2.15 billion. The company cited strength from Moana 2 as it moved from theatrical to home entertainment, as well as the timing of episodic deliveries for TV and VOD. Operating income swung from a loss of $18 million a year ago to $153 million.
The quarterly print “underscores our continued success building for growth and executing across our strategic priorities,” CEO Bob Iger said in the earnings release. “Following an excellent first half of the fiscal year, we have a lot more to look forward to, including our upcoming theatrical slate, the launch of ESPN’s new DTC offering, and an unprecedented number of expansion projects underway in our Experiences segment. Overall, we remain optimistic about the direction of the company and our outlook for the remainder of the fiscal year.”
English (US) ·