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Disney Q3 Results Beat Expectations

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...Still, with advertisers and consumers keeping close watch on budgets, several of the company's divisions remain under pressure. As just one example, room reservations at its Disney's parks are currently running down a troubling 10 percent from last year...

In the parks division, which encompasses Disney's theme parks, resorts, cruise lines and vacation and time share operations, operating income fell 2 percent.

Attendance was higher at its domestic parks, but guest spending was down alongside lower average ticket prices and a drop in spending on food and drink...

http://www.reuters.c...911471920100209

  • Author

Disney Profit Flat As Theme Parks Sag:

Walt Disney Co.'s fiscal first-quarter earnings were about flat with those of the year-earlier period, the company said Tuesday, as gains by its television networks and film and TV studios were offset by declines at its theme-park and consumer units....

http://www.marketwatch.com/story/walt-disney-profit-hurt-by-parks-consumer-units-2010-02-09?dist=afterbell

That's the great thing about a company as diverse as Disney...they've got a lot of revenue "legs" supporting them.

It wasn't too long ago that the theme parks & resorts division was carrying the water for the movie studio & broadcast TV divisions which were doing poorly. It'll swing around again at some point, and once again the theme parks will be the unit helping Iger hit EPS.

Of course, for companies like CF and SF where the parks are the only sources of revenue, it's a little more troubling...

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