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Disney Reports Q4 Profit Surge

Nov 18, 2004  •  Post A Comment

The Walt Disney Co. reported Thursday that its fiscal fourth-quarter profit surged 24 percent to $516 million from $415 million a year ago, driven by strong results at the company’s media networks and theme-park divisions, which offset weakness at its film studio. Revenue climbed 8 percent to $7.5 billion.

For the year ended Sept. 30, Disney’s profit climbed 85 percent to more than $2.3 billion on a 14 percent rise in revenue to $30.8 billion.

The media networks unit, which includes cable channels ESPN and Disney Channel as well as ABC, reported a segment profit increase of 79 percent to $2.2 billion for the year on an 8 percent revenue jump.

Collectively, the cable channels posted a 64 percent surge in segment profit to $1.9 billion on a 16 percent increase in revenue, the result of affiliate-fee and advertising growth at ESPN and higher ad revenue at the domestic and international Disney Channel networks.

ABC posted a segment profit of $245 million, compared with a year-earlier profit of $37 million, while revenue slipped 1 percent to $5.4 billion. Disney attributed the results to lower programming costs and higher advertising revenue.