'Frozen' Helps Disney Beat Expectations With Second-Quarter Earnings

[crazy4wdw]

From the Hollywood Reporter:

'Frozen' Helps Disney Beat Expectations With Second-Quarter Earnings

1:19 PM PDT 5/6/2014 by Paul Bond

Shares were advancing as much as 3 percent in after-hours trading as the conglomerate reports 35 percent revenue growth at its film studio.

The Walt Disney Co. said Tuesday it earned $1.11 per share, excluding some items, in the second quarter on $11.65 billion revenue, beating expectations on both the top and bottom lines.

Disney was expected to earn 96 cents per share on revenue of $11.24 billion.

A year ago in the same quarter, Disney earned $1.04 per share -- excluding some items -- on revenue of $10.55 billion.

Shares of Disney closed fractionally lower to $81.03 on Tuesday but initially jumped 3 percent in after-hours trading.

The company's "studio entertainment" unit recorded 35 percent revenue growth to $1.8 billion, helped by international theatrical results of Frozen and Thor: The Dark World. Television and subscription VOD titles like Monsters University and Iron Man 3 also made big contributions.

 

[crazy4wdw]

2nd Quarter results for the theme parks:

Parks and Resorts

Parks and Resorts revenues for the quarter increased 8% to $3.6 billion and segment operating income increased 19% to $457 million. Results for the quarter include an unfavorable impact due to a shift in the timing of the Easter holiday relative to our fiscal periods.

Higher operating income was due to growth at our domestic parks and resorts driven by increased guest spending at Walt Disney World Resort, higher attendance at Disneyland Resort and increased occupied room nights at both resorts. Higher guest spending was due to higher average ticket prices and food, beverage and merchandise spending. These increases were partially offset by higher costs which were driven by spending on MyMagic+ and labor and other cost inflation, partially offset by lower pension and postretirement medical costs.

Operating income at our international parks and resorts was comparable to the prior-year quarter as increased guest spending and attendance at Hong Kong Disneyland Resort was largely offset by lower guest spending and attendance at Disneyland Paris.