more at:A dramatic turnaround at its film studio and surging profit at its television operations helped Disney post strong financial results in its fiscal third quarter.
The company said Tuesday that overall revenue rose 16% to a little more than $10 billion while net income leapt 40% to $1.3 billion.
The overall results included a positive $43 million from the sale of the Power Rangers franchise and a negative $36 million in restructuring and impairment charges.
Every segment showed improving sales during the quarter, with Interactive Media, by far Disney's smallest business, leading the charge by growing its revenue 74% to $197 million. The unit, though, lost $65 million, up from a loss of $75 million a year earlier.
Media Networks, Disney's largest business, grew revenue 19% to $4.7 billion and grew its operating income by 43% to $1.9 billion. As is usual nowadays, cable did the heavy lifting, notching 28% growth in revenue to $3.3 billion and a 50% gain in operating income to $1.7 billion while broadcasting posted far more muted gains of 4% and 2%, respectively.
Studio Entertainment, the third largest of Disney's five segments, posted 30% growth in revenue to $1.7 billion and managed to reverse last year's $12 million loss by posting $123 million in operating income.
On a conference call with analysts, CEO Bob Iger noted that three of the year's Top 5 global film hits were from Disney: "Alice in Wonderland," "Toy Story 3," from its Pixar acquisition, and "Iron Man 2," from its Marvel acquisition.
Merchandising reached "new heights" due to "Toy Story 3," Iger said. That unit, called Consumer Products," posted a 19% revenue gain to $606 million and a 22% gain in operating income to $117 million.
Other Disney properties earning a mention by Iger during the call included "Phineas and Ferb" from Disney XD and "Good Luck Charlie" from the Disney Channel, along with "The Secret LIfe of the American Teenager" and "Pretty Little Liars" on ABC Family, ESPN World Cup soccer coverage and the new "World of Color" water show, which he called "the first of our next-generation of attractions" at Disney's California Adventure Park.
Disney's Q3 boosted by TV operations profit