MUMBAI: The Walt Disney Company?s net profit for the third quarter ended 30 June rose 24 per cent to $1.83 billion over the year ago period on the back of success of films like The Avengers and Brave.

Total revenues during the quarter stood at $11.08 billion registering a growth of 4 per cent over the corresponding fiscal?s $10.67 billion. The media conglomerate?s operating income grew 18 per cent to $3.23 million from $2.73 billion in the same quarter of previous fiscal.

"We had a phenomenal third quarter, delivering the largest quarterly earnings in the history of our company.Earnings per share were up 31 per cent over last year, driven by growth in every one of our businesses," said The Walt Disney Company Chairman and CEO Robert A. Iger.

Media Networks revenues for the quarter increased 3 per cent to $5.1 billion and segment operating income increased 2 per cent to $2.1 billion. Operating income at Cable Networks increased $14 million to $1.9 billion for the quarter due to growth at the domestic Disney Channels and ABC Family, partially offset by a decrease at ESPN.

Higher operating income at the domestic Disney Channels was due to increased affiliate revenue from contractual rate increases, while the increase at ABC Family reflected lower marketing and sales costs due to fewer series premieres. The decrease at ESPN was driven by lower recognition of deferred affiliate fees related to annual programming commitments.

However, the benefits of contractual rate increases and subscriber growth on affiliate fees along with higher advertising revenue more than offset increased programming and production costs at ESPN.

Broadcasting vertical?s operating income increased $18 million to $268 million due to higher affiliate and royalty revenue and lower programming and production costs, partially offset by lower Network advertising revenues. Advertising revenues at the Network decreased modestly as lower ratings were partially offset by higher rates.

Parks and Resorts Parks and Resorts revenues for the quarter increased 9 per cent to $3.4 billion and segment operating income increased 21 per cent to $630 million. Results for the quarter were driven by increases at Tokyo Disney Resort, Disney Cruise Line and the domestic parks and resorts.

Studio Entertainment Studio Entertainment revenues were essentially flat at $1.6 billion and segment operating income increased $264 million to $313 million. Higher operating income was primarily due to increases in worldwide theatrical results and worldwide television distribution, partially offset by a decrease in worldwide home entertainment.

Higher worldwide theatrical results reflected the performance of the current quarter releases including Marvel?s The Avengers and Brave compared to Pirates of the Caribbean: On Stranger Tides and Cars 2 in the prior-year quarter. The increase in worldwide television was driven by higher sales in international markets due to stronger performing titles available in the current quarter.

The decrease in worldwide home entertainment was primarily due to a decline in unit sales in the current quarter. Significant current quarter titles included John Carter and The Muppets while the prior-year quarter included Tron: Legacy, Tangled and Gnomeo & Juliet.

Consumer Products Consumer Products revenues increased 8 per cent to $742 million and segment operating income increased 35 per cent to $209 million. Higher operating income was primarily due to increases at Merchandise Licensing and at our retail business. Interactive revenue for the quarter decreased 22 per cent to $196 million and segment operating results improved from a loss of $86 million in the prior-year quarter to a loss of $42 million in the current quarter. Operating results were driven by improved performance from our games and online businesses.

MUMBAI: US media conglomerate Disney has reported a 12 per cent jump in net income to $1.4 billion for the first quarter ended 31 December as ESPN shows strong subscription growth.

Revenues increased marginally by one per cent to $10.7 billion.

Disney president, CEO Robert A. Iger said, ?We?re off to a good start in this fiscal year executing on our ongoing strategy, deriving greater value from our brands ? Disney, Pixar, Marvel, ESPN and ABC ? in the US and around the globe. We are confident that our commitment to creating and providing exceptional family entertainment on multiple platforms continues to position us to deliver long-term shareholder value.?

Operating income at Cable Networks increased $196 million to $967 million for the quarter due to growth at ESPN and, to a lesser extent, the worldwide Disney Channels. The increase at ESPN was driven by higher affiliate revenue reflecting contractual rate increases and a reduction in revenue deferrals related to annual programme commitments.

During the quarter, ESPN deferred $190 million of revenue compared to $266 million in the prior year quarter. The decrease was due to a change in the provisions related to annual programming commitments in an affiliate contract.

Ad revenues at ESPN were essentially flat as higher rates and units sold were offset by decreased ratings and a shift in the timing of the Rose Bowl, Fiesta Bowl and certain NBA games relative to the fiscal period end. Programming and production costs at ESPN were comparable to the prior-year quarter as the shift in the timing of college bowl and NBA games was offset by higher contractual rates for NFL and college football programming.

Higher operating income at the worldwide Disney Channels was due to increased ad and affiliate revenue, partially offset by higher programming and production costs. Higher advertising revenue was driven by higher units sold and improved rates internationally. Affiliate revenue growth reflected subscriber growth internationally and contractual rate increases domestically.

Operating income at the broadcasting division decreased $69 million to $226 million driven by lower political ad revenues at the television stations and higher marketing costs, partially offset by lower programming and production costs due to the absence of The Oprah Winfrey Show at the owned television stations. The increase in marketing costs was driven by an increase in the number of new series launches at the ABC Television Network.

Ad revenue at the ABC was essentially flat as higher ad rates were offset by decreased ratings and units sold.

Studio Entertainment revenues decreased by 16 per cent to $1.6 billion and segment operating income increased 10 per cent to $413 million. The revenue decline was driven by fewer Disney branded titles in wide theatrical release in the current quarter along with an adverse impact from the timing of title availabilities in television markets and lower DVD volumes. Higher operating income was primarily due to an increase in worldwide theatrical results and lower film cost write-downs, partially offset by decreases in television distribution and worldwide home entertainment results.

Improved worldwide theatrical results reflected the benefit of lower distribution and marketing costs and production cost amortisation which more than offset the revenue decline due to fewer Disney branded films in wide theatrical release. Key titles in the prior-year quarter included ?Tangled? and ?Tron: Legacy? while the current quarter included ?The Muppets?.

Lower results in television distribution were driven by the timing of title availabilities, relative to our fiscal period end, in international markets. The decrease in worldwide home entertainment was primarily due to a decline in unit sales, partially offset by improved net effective pricing driven by a higher Blu-ray sales mix. The decrease in unit sales reflected the strength of ?Toy Story 3?, ?Beauty and the Beast? Platinum Release, ?A Christmas Carol? and ?Sorcerer?s Apprentice? in the prior-year quarter compared to ?Cars 2?, ?The Lion King? Platinum Release, ?Pirates of the Caribbean: On Stranger Tides? and ?The Help? in the current quarter, as well as lower sales of catalogue titles.

Consumer Products operating income of $313 million for the quarter was comparable to the prior-year quarter while revenues increased by three per cent to $948 million. At the retail business, increased revenue was driven by new stores in the US and holiday season promotions. Retail sales were driven by ?Cars? and ?Tangled? merchandise in the current quarter compared to ?Toy Story? in the prior-year quarter. The revenue increase at retail was largely offset by higher operating costs associated with increased volume.

At merchandise licensing, operating income for the quarter was comparable to the prior-year quarter as the strength of ?Cars? merchandise was largely offset by lower performance of ?Toy Story? and ?Tangled? merchandise.

Interactive Media revenues for the quarter decreased 20 per cent to $279 million and segment operating results decreased by $15 million to a loss of $28 million. Lower operating results were driven by a decrease at our console game business partially offset by improved social game results, consistent with our ongoing shift from console games to social and other interactive platforms. Social game results were driven by lower acquisition accounting impacts which were adverse to the prior year quarter and improved title performance in the current quarter.

The decrease at the console game business was primarily due to fewer releases and the strength of Epic Mickey in the prior-year quarter. Titles in the current quarter included Disney Universe while the prior-year quarter included ?Toy Story 3? and ?Tron: Evolution? in addition to Epic Mickey.

Parks and Resorts revenues for the quarter increased by 10 per cent to $3.2 billion and segment operating income increased by 18 per cent to $553 million. Results for the quarter were driven by increases at our domestic parks and resorts and Disney Cruise Line. Higher operating income at the domestic parks and resorts was driven by increased guest spending and attendance, partially offset by increased costs.

MUMBAI: US media conglomerate Disney?s net income for the fiscal was up 21 per cent to $4.8 billion.

Disney president, CEO Robert A. Iger said, ?Fiscal 2011 was a great year financially and strategically, demonstrating the strength of our brands and businesses with record revenue, net income and earnings per share. We are confident the company is well-positioned to deliver long-term value for our shareholders with our focus on quality content, compelling uses of technology and global asset growth.?

Media Networks revenues for the year increased by nine per cent to $18.7 billion and segment operating income increased 20 per cent to $6.1 billion. For the quarter, revenues also increased by per cent to $4.8 billion and segment operating income increased by 20 per cent to $1.5 billion.

Operating income at Cable Networks increased $760 million to $5.2 billion for the year due to growth at ESPN and the worldwide Disney Channels and an increase in equity income. The increase at ESPN reflected higher advertising and affiliate revenue, partially offset by higher programming and production, labour and marketing costs. Higher advertising revenue was driven by higher rates while the increase in affiliate revenue reflected contractual rate increases.

The programming and production cost increase was driven by the addition of college football programming including Bowl Championship Series games and contractual rate increases for NFL, college football, NASCAR and Major League Baseball programming. These increases were partially offset by the absence of programming costs for the FIFA World Cup which was broadcast in the prior year.

Growth at the worldwide Disney Channels was driven by higher affiliate revenue due to higher contractual rates domestically and subscriber growth internationally, sales of Disney Channel programming and increased advertising revenues internationally. These increases were partially offset by higher programming and production costs due to more episodes of original programming. Increased equity income was driven by the absence of programming write-offs and higher advertising and affiliate revenues at A&E/Lifetime (AETN).

For the quarter, operating income at Cable Networks increased by $191 million to $1.3 billion due to growth at the worldwide Disney Channels, increased equity income and an improvement at ESPN. The increase at the worldwide Disney Channels was driven by sales of Disney Channel programming, higher affiliate revenue due to contractual rate increases domestically and advertising revenue growth internationally.

The increase at ESPN reflected higher contractual rates for affiliate fees and, to a lesser extent, growth in advertising revenue, partially offset by an increase in programming and production, labor and marketing costs. Advertising revenue growth was driven by higher rates, partially offset by fewer units sold and lower ratings, in part reflecting the absence of the FIFA World Cup. Programming and production cost increases were driven by higher contractual rates for college football and NFL programming, partially offset by the absence of programming costs for the FIFA World Cup. Increased equity income reflected the absence of programming write-offs at AETN.

Operating income at Broadcasting increased $254 million to $913 million for the year driven by lower programming and production costs at the ABC Television Network, higher advertising revenues at the Network and owned television stations, and higher affiliate fees, partially offset by a decrease in the cost charged to ESPN for programming aired on the Network. Decreased Network programming and production costs reflected a lower cost mix of programming in primetime due to a shift in hours from original scripted programming to reality programming, the shift of the Rose Bowl and BCS National Championship game to ESPN and lower news and daytime production costs. Higher Network advertising revenues reflected higher rates, partially offset by lower ratings.

For the quarter, operating income at Broadcasting increased $54 million to $201 million driven by lower programming and production costs and higher Network advertising revenues, partially offset by decreased political advertising at the owned television stations. Lower programming costs were driven by decreased write-offs. Higher Network advertising revenues were due to higher rates, improved news ratings and higher sports units sold, partially offset by lower primetime ratings.

Studio Entertainment revenues for the year decreased by five per cent to $6.4 billion and segment operating income decreased by 11 per cent to $618 million.

For the quarter, revenues decreased by eight per cent to $1.5 billion and segment operating income increased 13% to $117 million. Lower results for the year reflected decreased worldwide theatrical and home entertainment results and higher technology infrastructure spending, partially offset by lower film cost write-downs and a higher revenue share with the Consumer Products segment primarily due to the performance of Cars merchandise.

Decreased theatrical results reflected the stronger overall performance of key prior-year titles, Toy Story 3, Alice in Wonderland, Iron Man 2 and Princess and the Frog compared to the current-year performance of Cars 2, Pirates of the Caribbean: On Stranger Tides, Tangled, Thor and Captain America. This decrease was partially offset by the poor performance of prior year summer releases, The Prince of Persia and Sorcerer?s Apprentice.

Decreased home entertainment results reflected a change in the transfer pricing arrangement between Studio Entertainment and Media Networks for the distribution of Media Networks home entertainment product and lower domestic sales volume. These decreases were partially offset by higher unit sales and improved net effective pricing internationally which benefitted from a higher Bluray sales mix.

Improved results for the quarter were driven by lower film cost write-downs and improved domestic theatrical results, partially offset by decreased international theatrical and worldwide home entertainment results. In both domestic and international theatrical markets, Cars 2 did not perform in line with the strong prior year performance of Toy Story 3.

However, domestic theatrical results improved due to the better overall performance of The Lion King 3D and The Help in the current quarter, compared to The Sorcerer?s Apprentice, You Again and Step Up 3 in the prior year quarter. Domestic theatrical results also benefitted from lower pre-release marketing expense. Decreased home entertainment results reflected lower overall sales volume domestically and decreased sales of catalog titles internationally. Consumer Products revenues for the year increased by 14 per cent to $3.0 billion and segment operating income increased by 21 per cent to $816 million.

For the quarter, revenues increased 12 per cent to $816 million and segment operating income increased 13 per cent to $207 million. The increase in segment operating income for the year and quarter was driven by higher Merchandise Licensing revenues reflecting the strong performance of Cars merchandise and higher revenue from Marvel properties. The increase in revenue from Marvel properties reflected the impact of acquisition accounting which reduced revenue recognition in the prior-year periods. These increases were partially offset by a higher revenue share with the Studio Entertainment segment primarily due to the performance of Cars merchandise. The increase in revenue from Marvel properties for the year also included an additional quarter of operations for Marvel which was acquired at the end of the first quarter of the prior year.

Additionally, results for the year reflected an improvement at the Disney Store North America driven by higher comparable store sales. Interactive Media Interactive Media revenues for the year increased by 29 per cent to $982 million and operating results decreased $74 million to a loss of $308 million. For the quarter, revenues increased by 19 per cent to $223 million and operating results improved $10 million to a loss of $94 million.