Pic: JHVEPhoto - stock.adobe.com
Despite the revenue increase, Disney reported a nominal loss in diluted EPS at $0.01 for the quarter, a stark contrast to the income of $0.69 per share reported in the same period last year. This shift to a loss was primarily attributed to goodwill impairments, although this was partially mitigated by higher operating income. However, when excluding certain items, the diluted EPS actually increased to $1.21 from $0.93, the company said in a press release.
Looking forward, Disney has adjusted its outlook for the fiscal positively, based on its second-quarter outperformance. The company now targets a 25 per cent growth in full-year adjusted EPS. Furthermore, Disney remains anticipates approximately $14 billion in cash generated from operations and over $8 billion in free cash flow for the fiscal year.
“Our strong performance in Q2, with adjusted EPS up 30 per cent compared to the prior year, demonstrates we are delivering on our strategic priorities and building for the future,” said Robert A Iger, chief executive officer, The Walt Disney Company.
Fibre2Fashion News Desk (DP)