Disneys Grows All Segment Revenues (DIS)

The Walt Disney Co. (NYSE: DIS) just followed trends seen at other media companies with better-than-expected earnings.  Third quarter earnings rose 31% to $0.67 EPS from $0.51 in the same quarter in 2009. Revenues grew 16% to $10.002 billion.  Thomson Reuters had estimates at $0.58 EPS and $9.38 billion in revenues.  The growth was attributed to solid performance at Media Networks and Studio Entertainment, although growth was there in all segments.

The current quarter included a gain that came from the sale of the Power Rangers property of $43 million and also included restructuring and impairment charges of $36 million.  Collectively, the items had no net impact on EPS.

While Disney said its two highlights led the results, all areas grew in revenues:

• Media Networks grew 19% to $4.729 billion;
• Parks & Resorts grew 3% to $2.831 billion;
• Studio Entertainment grew 30% to $1.639 billion;
• Consumer Products grew 19% to $606 million;
• Interactive Media grew 74% to $197 million.

Disney shares rose 0.37% to $35.29 in regular trading and the after-hours reaction has shares up around $35.80.  The 52-week trading range is $24.89 to $37.98.  At 4:15 PM EST there had been some 350,000 shares traded in Disney.

Formal guidance was not yet seen, so we’d treat this as ongoing business until Bob Iger offers up what Mickey and friends will bring in the fourth quarter and what the goals are into 2011.

JON C. OGG