Walt Disney (NYSE: DIS) scampered into the earnings confessional just after the close to report third-quarter net income of $1.18 billion, a 4.7% increase from the previous year. Per-share earnings increased to 57 cents per share, or 58 cents excluding items. Analysts were expecting The Mouse House to bank just 55 cents per share, according to estimates compiled by Bloomberg. Sales were 6.7% higher at $9.05 billion, also edging out the consensus view of $9.01 billion. Revenue from parks and resorts rose 7.4% to $2.9 billion, cable-network revenue rose 4.5% to $2.3 billion, and media networks revenue was 5.6% higher at $3.8 billion.
In other news, Disney announced plans to buy Club Penguin - an online site that enables children to create their own virtual polar-friendly friend - for $350 million in cash. If Club Penguin meets certain performance goals through 2009, an additional $350 million will be paid. The Wall Street Journal notes that this is Disney's first foray into the world of virtual and social networking.
In after-hours trading, DIS shares have slipped about 0.70% after a 2.5% close higher in regular activity.
Beth Gaston Moon is an analyst at Schaeffer's Investment Research.
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Reader Comments (Page 1 of 1)
8-02-2007 @ 1:02AM
Flagstaff Arizona Auto Insurance, Car, Home Owner, Life Insurance said...
Go Mickey and Minnie and Donald!!
8-02-2007 @ 7:45AM
Michael Schneider said...
Disney has been turning in stable results- stock hasn't done much for awhile.
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