Disney Cable, Broadcast Nets Enjoy Rev Hike

New sports programming at Disney’s cable networks perked up in recent quarterly revenue -- in particular higher ad sales. But operating income declined.

Cable network revenue climbed 11% to $4.0 billion, with operating income slipping 2% to $2.1 billion from improved advertising revenues, due to the new BCS Championship playoff on ESPN, the new SEC network, and a added NFL wild card game.

Broadcast revenue was up 19% to $1.8 billion as a result of higher advertising growth as well as better affiliate fees and improved program sales. The company did not provide advertising details.

Overall, Disney’s Media Networks -- broadcasting and cable -- had 13% higher revenues, at $5.8 billion.

The Disney theatrical business slipped 6% to $1.7 billion due to unfavorable comparisons to the prior-year quarter when “Frozen” pulled in big home entertainment and international theatrical business. Still, consumer products business gained from higher “Frozen” sales. Overall consumer products revenue grew 10% to $971 million.



Parks & Resorts business grew 6% to $3.8 billion due to increases in guest spending. Disney’s Interactive business was down 12% to $235 million, with operating income nearly doubling to $26 million. Disney had good success from its mobile game Tsum Tsum.

Walt Disney revenues improved 7% to $12.5 billion for its second-quarter fiscal period, with net income rising 10% to $2.1 billion.

Mid-day trading of Disney’s stock was virtually unchanged -- 0.15% higher to $111.33.

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