The Walt Disney Company has reported stronger-than-expected quarterly earnings, driven by growth in its streaming services and theme park business, as new CEO Josh D’Amaro outlined an ambitious plan to accelerate expansion.
The entertainment giant posted adjusted earnings per share of $1.57 on revenue of $25.2 billion for the January–March quarter, surpassing analyst forecasts of $1.49 EPS and $24.78 billion in revenue. The positive results sent Disney shares up more than 4% in premarket trading.
D’Amaro, who took over from Bob Iger in March, is leading the company through a period of industry transformation marked by the shift toward streaming and the growing influence of artificial intelligence in media production.
In a letter to shareholders, D’Amaro projected adjusted earnings growth of around 12% for fiscal 2026 and reiterated expectations for double-digit growth into 2027. He emphasized plans to invest heavily in content creation, expand theme park experiences, and leverage technology to deepen audience engagement across both digital and physical platforms.
Disney’s experiences division, which includes its parks, cruise lines, and consumer products, reported a 5% rise in operating income, fueled by increased visitor spending at U.S. theme parks in Florida and California and higher cruise demand.
The entertainment segment also performed strongly, with operating income climbing 6% to $1.34 billion, supported by higher subscription and advertising revenue from streaming platforms like Disney+. Continued box office success from films such as Zootopia 2 and Avatar: Fire and Ash further boosted results.
However, Disney’s sports division, including ESPN, reported a 5% decline in operating income to $652 million, largely due to rising sports rights and production costs.
Despite broader economic uncertainty and rising consumer costs, D’Amaro said demand across Disney’s businesses remains resilient, positioning the company for sustained growth in the coming years.
