Disney quarterly profit misses as programming costs surge
Walt Disney Co
Shares of the company, which have gained nearly 9 percent this year, fell 1.9 percent to $113.66 after the bell.
Disney`s cable networks business has been under pressure as viewers shift to streaming services such as Netflix Inc
As a counter, Disney is buying the film and television assets of Rupert Murdoch`s Twenty-First Century Fox Inc
Revenue from the cable networks business, which includes ESPN and the Disney Channels, rose 2.5 percent to $4.19 billion. Analysts on average had expected $4.28 billion, according to Thomson Reuters I/B/E/S.
Revenue from Disney`s studio business, which produces and acquires live-action and animated motion pictures, rose 20.3 percent to $2.88 billion, missing the average analyst estimate of $2.94 billion.
Net income attributable to Disney rose to $2.92 billion, or $1.95 per share, in the third quarter ended June 30, from $2.37 billion, or $1.51 per share, a year ago.
On an adjusted basis, Disney earned $1.87 per share, below estimates of $1.95 per share.
Total revenue rose 7 percent to $15.23 billion, but missed analysts` expectation of $15.34 billion.
(This article has not been edited by Zeebiz editorial team and is auto-generated from an agency feed.)
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