Disney Profits Gain 22 Percent

BURBANK, May 7: The Walt
Disney Company released its second-quarter results late yesterday, delivering a
22-percent rise in profits to $1.1 billion on a 10-percent revenue increase to
$8.7 billion.

Diluted earnings per share
(EPS) for the second quarter increased 32 percent to $0.58. And operating
income was up 21 percent to $2.1 billion.

For the six months ended
March 29, 2008, meanwhile, revenues gained 9 percent to $19.2 billion, with a
segment operating income of $4.4 billion, reflecting an 18-percent gain. Net
income, meanwhile, fell from $2.6 billion to $2.4 billion.

“We had an outstanding
quarter financially and creatively at The Walt Disney Company,” said Robert A.
Iger, the company’s president and CEO. “This performance demonstrates how ‘The
Disney Difference’ gives us a critical and sustainable market advantage. That
difference centers on our proven ability to create high-quality content across
our wide-ranging distribution and promotional platforms, allowing us to leverage
our hits and grow our company.”

At the Media Networks,
second-quarter revenues gained 5 percent to $3.6 billion and segment operating
income increased 14 percent to $1.3 billion. The division was boosted by a
9-percent rise in cable networks revenues to $2.1 billion, delivering a segment
operating income of $1.1 billion, up 14 percent. These gains offset a 2-percent
fall in broadcasting revenues to $1.5 billion, while segment operating income
was up 17 percent to $223 million.

Parks and Resorts revenues
for the quarter increased 11 percent to $2.7 billion and segment operating
income increased 33 percent to $339 million.

Studio Entertainment
revenues were up 18 percent to $1.8 billion and segment operating income
increased 61 percent to $377 million, led by U.S. home entertainment and
worldwide theatrical distribution.

Consumer Products revenues
for the quarter increased 10 percent to $551 million and segment operating
income decreased 14 percent to $107 million.

—By Mansha Daswani