The entertainment giant's streaming sector saw a sharp decline in losses, but The Walt Disney Company nonetheless reported better-than-expected quarterly results on Tuesday.
Refinitiv data shows that Disney's profits per share for the three months ended March 31 came in at $1.21, above the $1.10 analysts were projecting. However, the company's sales of $22.08 billion came in just shy of Wall Street's estimates.
The stock did, however, drop almost 5% before to Tuesday's opening bell, even though the results were better than anticipated.
Disney anticipates that in the fourth quarter, its streaming division will make a profit for the first time. From $659 million at this time last year, losses dropped to only $18 million. In the meanwhile, the parks segment saw a 12% increase in earnings.
Disney has surpassed profit projections for the fourth quarter in a row, indicating that CEO Bob Iger's turnaround strategy is succeeding during a protracted proxy fight with activist investor Nelson Peltz.
"Our streaming business and Experiences segment played a major role in driving our results," Iger said in a statement. "Importantly, entertainment streaming was profitable for the quarter, and we remain on track to achieve profitability in our combined streaming businesses in Q4."
Refinitiv data shows that Disney's profits per share for the three months ended March 31 came in at $1.21, above the $1.10 analysts were projecting. However, the company's sales of $22.08 billion came in just shy of Wall Street's estimates.
The stock did, however, drop almost 5% before to Tuesday's opening bell, even though the results were better than anticipated.
Disney anticipates that in the fourth quarter, its streaming division will make a profit for the first time. From $659 million at this time last year, losses dropped to only $18 million. In the meanwhile, the parks segment saw a 12% increase in earnings.
Disney has surpassed profit projections for the fourth quarter in a row, indicating that CEO Bob Iger's turnaround strategy is succeeding during a protracted proxy fight with activist investor Nelson Peltz.
"Our streaming business and Experiences segment played a major role in driving our results," Iger said in a statement. "Importantly, entertainment streaming was profitable for the quarter, and we remain on track to achieve profitability in our combined streaming businesses in Q4."
