Proactive Investors - Walt Disney (NYSE:DIS) Co after Wednesday’s close reported fourth quarter 2023 adjusted earnings per share (EPS) of $0.82, up from $0.30 a year earlier and better than the $0.70 analyst consensus forecast according to Zacks Equity Research.
The entertainment giant’s bottom-line results were boosted by the profit at ESPN+ as well as higher attendance and ticket prices at its theme parks.
Its revenue for the period, meanwhile, rose 5% year over year to $21.24 billion, but narrowly missed Wall Street expectations of $21.33 billion due to weaker ad sales.
The fall in ad revenue was primarily from Disney’s ABC Network and other owned TV stations, which saw lower political advertising revenue during the quarter.
Notably, the company added seven million new core Disney+ subscribers over the past three months, bringing its total membership to 150.2 million, which topped the estimate of 148.15 million.
Disney also stated that it plans to cut its yearly costs by $7.5 billion, up from $5.5 billion it expected previously.
"As we look forward, there are four key building opportunities that will be central to our success: achieving significant and sustained profitability in our streaming business, building ESPN into the preeminent digital sports platform, improving the output and economics of our film studios, and turbocharging growth in our parks and experiences business," Disney CEO Robert Iger said in a statement.
Shares of Disney rose nearly 5% in Wednesday’s after-hours session.