The Walt Disney Company reported stronger-than-expected quarterly results as newly appointed CEO Josh D’Amaro outlined plans to expand the entertainment giant’s streaming, sports and experiences businesses.
Key highlights
- Disney beats quarterly earnings and revenue estimates
- New CEO Josh D’Amaro outlines long-term growth strategy
- Streaming and parks businesses support results
- Disney stock jumps after earnings report
- Company sees double-digit EPS growth ahead
Disney beats Wall Street expectations
Disney reported adjusted earnings per share of $1.57 for the January–March quarter, ahead of analyst estimates.
Revenue also topped expectations, driven by stronger performances from streaming platforms, theme parks and cruise operations.
Shares of the company climbed sharply in early trading following the earnings release.
New CEO lays out growth roadmap
D’Amaro, who succeeded Bob Iger in March, said Disney would remain focused on creative content while accelerating growth across streaming and live sports.
He also stressed upon continued investment in theme parks, cruises and consumer experiences.
Streaming business continues to expand
Disney said its entertainment division benefited from higher subscription and advertising revenue from platforms including Disney+.
The company added that streaming revenue now considerably exceeds that of its traditional television business, which continues to shrink.
Popular film releases including Zootopia 2 and Avatar: Fire and Ash also supported results.
Theme parks and cruises remain key profit drivers
Disney’s experiences division posted higher operating income as visitors spent more across US parks and cruise operations.
However, finance chief Hugh Johnston said attendance at domestic parks softened partly because of fewer international visitors and increased competition from new attractions in Orlando.
ESPN transition to streaming continues
The sports division, home to ESPN, reported a decline in operating profit due to rising sports rights and production costs.
Disney executives said ESPN remains a core long-term asset as the company continues shifting sports content toward streaming platforms.
Disney highlights AI opportunities
D’Amaro said artificial intelligence could improve efficiency across content production and operations, though he stressed that human creativity would remain central to Disney’s business.
Disney outlook
Disney expects adjusted earnings growth of around 12% for fiscal 2026 and reiterated its expectation for double-digit growth in 2027.
Investors will closely watch subscriber growth, theme park demand and Disney’s broader streaming transition under its new leadership.
FAQs
Q1: Did Disney beat earnings expectations?
Yes. Disney reported earnings and revenue above Wall Street estimates.
Q2: Who is Disney’s new CEO?
Josh D’Amaro became CEO in March 2026, succeeding Bob Iger.
Q3: What businesses helped Disney’s results?
Streaming services, theme parks and cruise operations drove growth.
Q4: How is Disney approaching AI?
Disney says AI can improve efficiency but human creativity will remain central.
Q5: What is Disney forecasting for future growth?
The company expects double-digit adjusted earnings growth in fiscal 2026 and 2027.
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