In this image illustration, a close-up of a hand holding a TV remote control can be seen in front of the Disney+ logo.
Thiago Prudencio | SOPA images | flare | Getty Images
Disney’s shares rose 3% after Wednesday’s closing bell after the company reported stronger-than-expected growth in streaming subscribers across its media platforms.
Here are the results.
- Earnings per share: $1.08 adj.
- Revenue: $19.25 billion, including a $1 billion reduction due to the early termination of some licensing agreements
- Total Disney+ subscriptions: 137.7 million versus 135 million expected, according to StreetAccount
The stock move comes after the company’s shares hit a 52-week low of $104.79 earlier Wednesday.
Disney reported that total Disney+ subscriptions rose to 137.7 million in the fiscal second quarter, more than the 135 million analysts had forecast, according to StreetAccount.
“Our strong second quarter results, including the fantastic performance of our domestic parks and the continued growth of our streaming services – with 7.9 million Disney+ subscribers added in the quarter and total subscribers for all our DTC offerings in excess of 205 million – have once more proved that we are in a league of our own,” CEO Bob Chapek said in a statement on Wednesday.
Investors have been eager for Disney’s subscriber numbers after Netflix reported subscriber losses in the most recent quarter, and predicted more subscriber losses in the future.
Disney’s shares are down 30% since January and more than 40% from the same period last year, as investors question whether the company can sustain its streaming growth and how elevated inflation and a possible recession could impact its other business ventures.
The company showed signs of recovery from the Covid restrictions.
Disney’s Parks, Experiences and Products segment posted revenue of $6.7 billion for the quarter, more than doubling the prior-year period. The company said the growth was fueled by increased visitor numbers, hotel bookings and cruise ship travel, as well as higher ticket prices and higher spending on food, beverages and merchandise.
This is breaking news. Please check again for updates.