Walt Disney Company reported first-quarter sales and earnings that handily beat analysts’ forecasts, buoyed by its namesake theme parks. Subscribers to the flagship streaming service Disney+ jumped to 129.8 million.
Earnings increased to $1.06 a share, the Burbank, California-based entertainment giant said on Wednesday, beating the 57-cent average of analysts’ estimates. Sales in the period ended January 1 increased to $21.8 billion, topping expectations of $20.8 billion.
The big surprise was new subscriptions to Disney+, which came in at 11.8 million, above the 8.17 million that Wall Street had projected. Disney shares tumbled in November after the company announced subscriber numbers that fell short of Wall Street projections. Netflix added to investor worries about streaming growth with a tepid outlook.
Disney’s theme parks prospered in a big way, generating $2.45 billion in operating income, compared with a loss a year earlier. Park revenue doubled from lows during the pandemic.
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