Disney Posts Strong Numbers
By George Mannes
Senior Writer
8/10/2004 4:11 PM EDT
Disney (DIS:NYSE - news - research) posted another strong earnings performance late Tuesday.
For its third quarter ended June 30, the Burbank, Calif., media giant earned $604 million, or 29 cents a share. That's up from the year-ago $502 million, or 24 cents a share. Revenue jumped to $7.47 billion from $6.38 billion a year earlier.
The latest-quarter earnings included the effect of a 2-cent-a-share restructuring charge. The numbers were well ahead of the Thomson First Call analyst consensus estimate, which called for earnings of 27 cents a share on revenue of $7.15 billion.
"The continued growth in our earnings this quarter, led by ESPN and our other cable networks, positions us well to deliver more than 50% growth in earnings for the year, as we predicted last quarter," said CEO Michael Eisner. "Equally important, our strong earnings and cash flow growth demonstrate the overall strength of our businesses. During the recent downturn, we have remained focused on managing the company for long term performance and extending the Disney legacy and we believe that the positive trends in our businesses validate that approach."
The news comes as Disney seeks to show investors that current management is indeed building shareholder value. Disney shares have languished in recent years under Eisner's leadership, but investors more or less ignored a February hostile bid from Comcast (CMCSA:Nasdaq - news - research) after the company stripped Eisner of his chairman's post and pledged to shore up its governance.
On Tuesday, Disney rose 53 cents to $22.47.
By George Mannes
Senior Writer
8/10/2004 4:11 PM EDT
Disney (DIS:NYSE - news - research) posted another strong earnings performance late Tuesday.
For its third quarter ended June 30, the Burbank, Calif., media giant earned $604 million, or 29 cents a share. That's up from the year-ago $502 million, or 24 cents a share. Revenue jumped to $7.47 billion from $6.38 billion a year earlier.
The latest-quarter earnings included the effect of a 2-cent-a-share restructuring charge. The numbers were well ahead of the Thomson First Call analyst consensus estimate, which called for earnings of 27 cents a share on revenue of $7.15 billion.
"The continued growth in our earnings this quarter, led by ESPN and our other cable networks, positions us well to deliver more than 50% growth in earnings for the year, as we predicted last quarter," said CEO Michael Eisner. "Equally important, our strong earnings and cash flow growth demonstrate the overall strength of our businesses. During the recent downturn, we have remained focused on managing the company for long term performance and extending the Disney legacy and we believe that the positive trends in our businesses validate that approach."
The news comes as Disney seeks to show investors that current management is indeed building shareholder value. Disney shares have languished in recent years under Eisner's leadership, but investors more or less ignored a February hostile bid from Comcast (CMCSA:Nasdaq - news - research) after the company stripped Eisner of his chairman's post and pledged to shore up its governance.
On Tuesday, Disney rose 53 cents to $22.47.