Disney misses expectations for Q4 earnings and revenue
- Disney press release (NYSE:DIS): Q4 Non-GAAP EPS of $0.30 misses by $0.26.
- Revenue of $20.15B (+8.7% Y/Y) misses by $1.29B.
- Direct-to-Consumer revenues for the quarter increased 8% to $4.9B.
- Segments: Disney Media and Entertainment Distribution of $12.73B; Disney Parks, Experiences and Products $7.43B.
- “2022 was a strong year for Disney, with some of our best storytelling yet, record results at our Parks, Experiences and Products segment, and outstanding subscriber growth at our direct-to-consumer services, which added nearly 57 million subscriptions this year for a total of more than 235 million,” said Bob Chapek, Chief Executive Officer, The Walt Disney Company. “Our fourth quarter saw strong subscription growth with the addition of 14.6 million total subscriptions, including 12.1 million Disney+ subscribers. The rapid growth of Disney+ in just three years since launch is a direct result of our strategic decision to invest heavily in creating incredible content and rolling out the service internationally, and we expect our DTC operating losses to narrow going forward and that Disney+ will still achieve profitability in fiscal 2024, assuming we do not see a meaningful shift in the economic climate. By realigning our costs and realizing the benefits of price increases and our Disney+ ad-supported tier coming December 8, we believe we will be on the path to achieve a profitable streaming business that will drive continued growth and generate shareholder value long into the future. And as we embark on Disney’s second century in 2023, I am filled with optimism that this iconic company’s best days still lie ahead."