Okay Quarter At Disney

November 12, 2009 at 2:38 pm  ·  Category: Macro Economics, Market Commentary, Stocks

Disney (DIS) reported earnings after the close but the numbers were distorted by an extra week in the current quarter.  Therefore, they beat on revenue and earnings but I’m not sure analysts were accounting for the extra week.

Revenues and operating income were strong in their core Cable Networks division which includes ESPN and the Disney Channels.  Part of the strength here was due to $128 million more recognition of net deferred revenues from programming commitments than the prior year quarter. 

Revenue in the overall Media Networks division, which includes ABC, ESPN and Disney Channel, were up about $600 million, 14%, and drove any strength in the overall report.

Revenue in the Parks and Resorts division were off 4% – despite the extra week – and operating income was off 17%. 

Anyways, I’m not overly impressed with the quarter, though it was by no means bad, and valuation is full at these levels.

dis-1-year-chart

Disclosure: Top Gun has no position in Disney (DIS) shares.

Posted by Greg Feirman  ·  Trackback URL  ·  Link
 

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