Chief executive officer and chairman of The Walt Disney Company Bob Iger and Mickey Mouse look on before ringing the opening bell at the New York Stock Exchange, November 27, 2017 in New York City.
Here are the key numbers:
- Earnings per share: $1.53 per share vs. $1.44 per share expected, according to analysts surveyed by Refinitiv
- Revenue: $20.86 billion vs. $20.79 billion expected, per Refinitiv
The results mark Disney’s first earnings report since the launch of its new streaming service, Disney+, last November. In the earnings release, Disney CEO Bob Iger said the service has “exceeded even our greatest expectations.”
Disney+ now has 26.5 million subscribers, which is up from the 10 million sign-ups it registered for the service after it launched November 12. Disney said the average monthly revenue per paid Disney user was $5.56.
However, it’s not clear how many, if any, of those subscribers were added through free trials with Verizon and other partners. Disney defines a paid subscriber as “a subscriber for which we recognized subscription revenue.” Customers who got Disney+ through free trials may not re-subscribe once the trial is up.
ESPN+ now counts 6.6 million subscribers and Hulu has 30.4 million total subscribers. Hulu reported average monthly revenue per paid subscriber of $59.47 during the quarter. Meanwhile, ESPN+ reported average monthly revenue per paid subscriber of $4.44, which was a 5% decline from the year ago period. Disney blamed the decline on a “shift in the mix of subscribers to our bundled offering.”
Revenue for Disney’s Parks, Experience and Products segment grew 8% year over year to $7.4 billion during the quarter, while operating income increased 9% to $2.3 billion. The company said operating income growth was partially offset by lower results at its international parks and resorts.
This story is developing. Check back for updates.