Disney Beats Wall Street Forecasts with Strong Q1 Earnings

Disney’s entertainment streaming business delivered its second straight profitable quarter, driven by strong box office performance from its studios, including the hit film “Moana 2.” The company reported revenue of $6.07 billion and operating income of $293 million, exceeding analyst expectations.

The flagship Disney+ service lost a net 700,000 customers worldwide, but Hulu gained 1.6 million subscribers after price increases went into effect in October. Overall, Disney’s first fiscal quarter revenue rose 9% to $24.69 billion, with total segment operating income increasing by 31% to $5.1 billion.

CEO Bob Iger attributed the strong performance to “outstanding box-office performance from our studios” and the company’s strategic initiatives over the past two years. Disney is forecasting high-single digit adjusted earnings per share growth for full-year fiscal year 2025 and expects sports segment operating income to be “adversely impacted” due to various factors.

The company’s Experiences division revenue increased 3% to $9.4 billion, while International Parks & Experiences operating income jumped 28%. However, Disney Cruise Line will incur pre-opening expenses of approximately $40 million in the March quarter.

In other news, Disney+ globally closed out last year with 124.6 million subscribers and is forecasting a “modest decline” in total subscribers compared to the previous fiscal Q1. The company’s complete buyout of Comcast’s one-third stake in Hulu is still pending, but it has announced plans to combine its streaming operations with Fubo’s services.

Source: https://variety.com/2025/tv/news/disney-plus-subscribers-earnings-moana-2-streaming-profit-1236297514