Disney Reports Q1

The Walt Disney Company has reported net income of $1.3 billion, or $0.68 per share, on revenues of $10.7 billion for its first fiscal quarter ended Jan. 1, 2011, compared to net income of $844 million, or $0.44 per share, on revenues of $9.7 billion for the same quarter last year.

Earnings were offset by increased operating costs at Disney Cruise Line reported in the parks and resorts segment, which were attributed to the January launch of the Disney Dream and scheduled drydock maintenance.

At press time, Disney shares were up $2.55 or 6.2 percent, trading at nearly $44.00 compared to a 52-week low/high of $29.03 – $43.74. The 12-month consensus price target is $42.76.

In terms of segment results, media networks generated the most revenue, $4.6 billion, followed by parks and resorts at $2.9 billion; studio entertainment, $1.9 billion; consumer products, $922 million; and interactive media, $349 million.

Total operating income was $2.2 billion, with media networks generating $1.1 billion, or 50 percent; parks and resorts, $468 million, or 21.2 percent; studio entertainment, $375 million 17 percent; and consumer products, $312 million, or 14.1 percent; while interactive media posted a loss of $13 million, or 0.6 percent.

The operating margins were approximately 34 percent for consumer products, 23 percent for media networks, 19 percent for studio entertainment, and 16 percent for parks and resorts.
According to Disney, parks and resorts saw increases at both domestic and international parks and resorts, offset by the cruise line.

Higher operating income at domestic parks and resorts was driven by increased guest spending, attendance and hotel occupancy, partially offset by increased operating costs. Increased spending was primarily due to higher ticket prices and increased food and beverage and merchandise spending. Increased costs reflected labor cost inflation, in addition to higher pension and healthcare costs, according the company.

Results at international parks and resorts were driven by increased guest spending, hotel occupancy and attendance. Disney attributed the increased spending to higher food and beverage spending and hotel room rates.

Cruise Industry News Email Alerts

Cruise Industry News Email Alerts



Get the latest breaking cruise newsSign up.


51 Ships | 109,838 Berths | $35 Billion | View

New 2024 Drydock REPORT


  • Mkt. Overview
  • Record Year
  • Refit Schedule
  • 120 Pages
  • PDF Download
  • Order Today
New 2024 Annual Report


  • 2033 Industry Outlook 
  • All Operators
  • Easy to Use
  • Pre-Order Offer
  • Order Today