Disney Posts Q3 Profit

The Walt Disney Company reported flat year-over-year results for its Q3 earlier this week. Disney post net income of $1.8 billion, or $1.01 per share, on revenues of $11.6 billion, for its quarter ended June 29, 2013, compared to net income of $1.8 billion, or $1.01 per share, on $11.0 billion last year.

For the nine-month period, Disney reported net income of $4.7 billion, or $2.61 per share, on revenues of $33.5 billion, up from net income of $4.4 billion, or $2.44 per share, on revenues of $31.5 billion last year.

The company’s largest segment was media networks with revenues of $5.5 billion and operating income of $2.3 billion this year; parks and resorts, which includes Disney Cruise Line, with revenues of $3.7 billion and operating income of $689 million.

Parks and resorts saw a revenue increase of 7 percent and a 9 percent rise in operating income, driven by increases at domestic parks and resorts. Increased guest spending was due to higher average ticket prices and food and beverage spending.

Coincidentally, Disney also pointed that its effective income tax rate was 34.2 percent for its last quarter.

Disney’s shares traded just below $66.00 at press time, compared to a 52-week low/high of $46.53 and $67.89. The consensus 12-month price target is $72.11.

 

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