Walt Disney’s revenue roars up

Walt Disney Company on Thursday reported better-than-expected quarterly results, fuelled by the release of blockbuster films Aladdin and The Lion

King as it prepared for its new streaming television service.

Disney profit in the recently ended quarter was $1.05 billion, down from $2.3 billion a year ago, on revenue that grew 34% to $19.1 billion. The slump in profits came as Disney absorbed key film and television operations of 21st Century Fox and geared up for its launch of the streaming service Disney+ that aims to compete globally against Netflix and others.

“We’ve spent the last few years completely transforming The Walt Disney Company to focus the resources and immense creativity across the entire company on delivering an extraordinary direct-to-consumer experience,” said Disney chief executive Robert Iger. “We’re excited for the launch of Disney+ on November 12.”

Iger said the company reached a deal for the service to be on Amazon’s Fire TV platform, the latest distribution agreement for Disney+.

Disney shares were up more than five percent in after-market trading following release of the earnings figures.

Revenues in the past quarter were boosted by a 52% rise in Disney’s studio operations with box office hits The Lion King, Toy Story 4 and Aladdin fuelling gains.

The entertainment giant expects revenue in the current quarter to be boosted by the forthcoming release

of a sequel to Frozen and the final installment of the

Star Wars film saga.

It will thereafter take

a hiatus from Star Wars box office films but has an array of spin-off shows planned exclusively for its streaming service.

– Citizen reporter