Walt Disney Co. beat Wall Street estimates on earnings and revenue in the fiscal first quarter.

The Burbank entertainment and media giant reported on Tuesday net income of $2.8 billion ($1.86 a share) on revenue of $15.3 billion for the quarter ending Dec. 29. That compares with net income of $4.4 billion ($2.91) on revenue of $15.4. billion in the same period a year earlier.

Analysts forecast earnings of $1.55 a share on revenue of $15.2 billion, according to Thomson Financial Network.

Of the four business units, studio entertainment had the highest decrease in revenue going down by 27 percent to $1.8 billion. The company attributed this to a drop in theatrical distribution sales as the first quarter did not have the big-name films that it had a year ago with “Star Wars: The Last Jedi” and “Thor: Ragnarok.”

Media networks revenue increased by 7 percent to $5.9 billion and parks, experiences and consumer products went up by 5 percent to $6.8 billion. Direct-to-consumer and international decreased by 1 percent to $918 million which Disney said was due to an unfavorable foreign currency impact.

Chief Executive Robert Iger said that the company was looking forward to "a transformative year" with the closing of the deal to acquire 21st Century Fox and the launch of the Disney+ streaming service.

“Building a robust direct-to-consumer business is our top priority, and we continue to invest in exceptional content and innovative technology to drive our success in this space,” Iger said in a statement.

Disney released its quarterly earnings after the market closed. Shares of Disney (DIS) closed up 86 cents, or just less than 1 percent, to $112.66 on the New York Stock Exchange.