Net income increased by 12 percent in the first quarter for The Walt Disney Co. despite poor showings in the feature film and interactive business units.
The Burbank-based entertainment and media conglomerate reported net income of $1.5 billion, or $0.80 per diluted share, on revenues of $10.8 billion for the quarter ending Dec. 31. For the same period in the prior year, Disney reported net income of $1.3 billion, or $0.68 per diluted share, on revenues of $10.7 billion.
The studio entertainment division brought in $1.6 billion in revenue or 16 percent less when compared to a year ago. The company attributed the drop to fewer Disney branded films released in the October through December period.
The interactive division also showed poor first quarter results of $279 million, or a 20 percent drop from the $349 million in revenue from the first quarter of the fiscal 2011 year. The decrease is a result of the company gradually getting out of the console game business in favor of social network games, the company said.
The Disney media networks, theme parks and consumer products divisions showed improved earnings from a year ago.
Disney got the fiscal year off to a good start with its strategy of deriving greater value from tis Disney, Pixar, Marvel, ESPN and ABC brands, said President and CEO Robert Iger.
“We are confident that our commitment to creating and providing exceptional family entertainment on multiple platforms continues to position us to deliver long-term shareholder value,” Iger said in a prepared statement.
Mark R. Madler