Overview
- For the quarter ended Sept. 25, Disney reported net income of $1.31 billion, adjusted earnings of $1.11 per share and revenue of $22.46 billion, missing Wall Street sales forecasts as the stock fell about 8% by the close.
- Direct-to-consumer posted operating income of $352 million with revenue up 8%, and Disney+ paid subscribers reached roughly 132 million, reflecting continued streaming momentum.
- Experiences, which includes parks, cruises and consumer products, grew revenue 6% and lifted operating income 13% to $1.88 billion, with strong international park performance.
- Linear networks weakened as operating income fell 21% and revenue declined 16%, film distribution underperformed versus last year, and TV advertising was hit by $40 million less political spending.
- Management said talks continue after ESPN, ABC and other networks were pulled from YouTube TV on Oct. 30; Disney will stop reporting paid-subscriber counts for Disney+ and Hulu starting in fiscal Q1 2026 and plans to raise its dividend and double share buybacks in fiscal 2026.