Disney Cable Nets Up Revs, ABC Dips

Walt Disney television networks posted strong double-digit percentage increases for its first fiscal quarter 2015 ending Dec. 27, 2014 -- but not specifically because of overall advertising revenue.

Overall, Disney’s cable networks were up 11% in revenue to $4.17 billion, with its broadcasting unit also 11% higher to $1.7 billion. Operating income was down among its cable networks -- 2% -- to $1.26 billion; but up 35% for its broadcasting business.

Disney says its ABC broadcast network and ESPN cable network unit witnessed lower advertising revenues during the period.

Broadcasting revenue rose due to higher affiliate fees and program sales for “Criminal Minds,” “Scandal” and “Once Upon A Time." At its cable network division, both ESPN and Disney Channels had higher U.S. affiliate revenue.

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An exception: ABC Family posted better revenue results, due to higher affiliate fees and increase advertising revenue. ABC’s owned TV stations also witnessed higher revenue because of more political advertising and an increase from higher prime-time unit prices.

Although Disney’s studio entertainment revenue declined -- 2% to $1.9 billion -- it grew a massive 33% in operating income to $544 million. Much of this came from higher revenue due to “Frozen” merchandise, as well as higher sales of movie/TV content to subscription video on demand services.

Disney’s Parks and Resorts was up 9% to $3.9 billion with operating income soaring 20% to $805 million. Consumer products grew 22% to $1.4 billion in revenue, with Disney interactive revenue sinking 19% to $384 million.

Overall, Walt Disney posted 9% higher revenues to $13.4 billion and 19% higher net income to $2.2 billion during the period.

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