Disney’s Third Quarter Profits Beat Wall Street Expectations
With ‘hit it out of the park’ successes like “Toy Story 3,” “Alice in Wonderland,” and “Iron Man 2″ nobody should be surprised that Disney’s box office profits increased by 30 percent this quarter. Although, some other contributing factors helped the company to project a profit increase magical enough to beat Wall Street expectations.
“The Walt Disney Corporation’s revenues went up by $1.3 billion or 67 cents per share. This was around 40 percent from last year’s third quarter. This was 9 cents per share higher than the expected earnings of 58 cents per share as polled by Thomson Reuters.” (- Seers Press)
One of the biggest contributing factors to a 31% increase in advertising income in ESPN was the “World Cup,” as Disney CEO Bob Iger pointed out in the third quarter report. Even without big events like the “World Cup,” ESPN continues to grow due to projected profits and it’s programs.
Analysts had previously estimated $9.4 billion in revenue from sales, but Disney beat that projection reporting that their sales rose to $10 billion in the third quarter.