Walt Disney Stock Rises Slightly On Strong Fourth-Quarter Profit


Walt Disney Co (NYSE: DIS)

Walt Disney reported upbeat fiscal 2018 fourth-quarter and full-year financial results aided by its studio-entertainment and parks-and-resorts segments.

Shares of the company gained 1.9% in the extended trading session following the results on Thursday. The stock has gained 7.9% since the beginning of the year, while the Standard & Poor’s 500 index has gained 5%.

DIS Earnings

For its fourth quarter ended September 29, 2018, net income was $2.32 billion, or $1.55 per share, up 33% from $1.75 billion, or $1.13 per share, in the same period last year. Earnings adjusted for non-recurring items came to $1.48 per share.

Adjusted earnings were $1.48 per share, surpassing the average consensus of $1.34 per share. Net sales totaled $14.3 billion, up 12% from $12.8 billion and ahead of estimates of $13.7 billion.

The company generated revenue of $5.96 billion from its media networks business, up 9% from $5.47 billion in the prior year period. The company’s parks and resorts segment posted $5.07 billion in revenue, an increase of 9% up from $4.67 billion in the fourth quarter of last year.

Meanwhile, revenue its studio entertainment unit jumped 50% to $2.15 billion from $1.43 billion in the earlier-year quarter, aided by solid box office numbers from Star Wars: The Last Jedi, Incredibles 2, Avengers: Infinity War and Black Panther.

Full-year profit was $12.6 billion, up from $8.98 billion, while revenue jumped to $59.43 billion from $55.14 billion in fiscal 2017.

Walt Disney CEO Comments

“We’re very pleased with our financial performance in fiscal 2018, delivering record revenue, net income and earnings per share,” said Robert A. Iger, Chairman and Chief Executive Officer, The Walt Disney Company.

“We remain focused on the successful completion and integration of our 21st Century Fox acquisition and the further development of our direct-to-consumer business, including the highly anticipated launch of our Disney-branded streaming service late next year.”

Walt Disney Company Profile

The Walt Disney Co. is a diversified international family entertainment and media enterprise. It operates through four business segments: Media Networks, Parks & Resorts, Studio Entertainment and Consumer Products & Interactive Media.

The Media Networks segment includes cable and broadcast television networks, television production and distribution operations, domestic television stations, radio networks and stations. The Parks and Resorts segment owns and operates the Walt Disney World Resort in Florida; the Disneyland Resort in California; Aulani, a Disney Resort & Spa in Hawaii; the Disney Vacation Club; the Disney Cruise Line; and Adventures by Disney.

The Studio Entertainment segment produces and acquires live-action and animated motion pictures, direct-to-video content, musical recordings and live stage plays. The Consumer Products and Interactive Media segment licenses the company’s trade names, characters and visual and literary properties to various manufacturers, game developers, publishers and retailers throughout the world.

It also develops and publishes games, primarily for mobile platforms, and books, magazines and comic books. The Walt Disney was founded by Walter Elias Disney on October 16, 1923 and is headquartered in Burbank, CA. – CNN Money