Disney Delivers Q3 Gains

Highlights of The Walt Disney Company’s third-quarter financials include a 45 percent boost in revenues to $17 billion and Disney+ subscribers soaring to 116 million.

The company reported a net profit for the period of $923 million, as compared with a whopping loss of $4.7 billion in the year-ago period as Covid-19 forced the closure of its theme parks.

“We ended the third quarter in a strong position and are pleased with the company’s trajectory as we grow our businesses amidst the ongoing challenges of the pandemic,” said Bob Chapek, CEO. “We continue to introduce exciting new experiences at our parks and resorts worldwide, along with new guest-centric services, and our direct-to-consumer business is performing very well, with a total of nearly 174 million subscriptions across Disney+, ESPN+ and Hulu at the end of the quarter and a host of new content coming to the platforms.”

At the Disney Media and Entertainment Distribution segment, overall revenues were up 18 percent to $12.6 billion. Linear networks brought in revenues of $6.9 billion, a 16 percent gain, with domestic channels up 13 percent to $5.6 billion and international up 29 percent to $1.4 billion. The direct-to-consumer business rose to revenues of $4.3 billion, a 57 percent increase, with a narrower operating loss. The segment ended the quarter with 116 million Disney+ subs, up from 57.5 million a year ago; 14.9 million ESPN+ customers, a 75 percent increase; and 42.8 million Hulu customers, a 21 percent increase. Content sales/licensing revenues dipped by 23 percent to $1.7 billion.

At Disney Parks, Experiences and Products, revenues surged to $4.3 billion from $1.1 billion as parks finally reopened and the segment saw strong merchandising revenues gains.