The Walt Disney Company has reported earnings for its first quarter ended December 27th 2025, with revenues up 5 per cent to $26 billion (€21.9bn) in Q1 fiscal 2025, beating analyst estimates.
The media giant saw significant gains in entertainment revenue, particularly boosted by box office hits, whilst the company’s Experience sector (ie theme parks) saw a record quarterly revenue.
Streaming revenues stood at $5.3 billion, with operating income of $450 million. The company projects SVoD operating margin will reach 10 per cent for the full fiscal year. This quarter marks the first in which Disney has stopped disclosing Disney+ subscriber numbers.
“We are pleased with the start to our fiscal year, and our achievements reflect the tremendous progress we’ve made,” commented Bob Iger, Chief Executive Officer, The Walt Disney Company. “We delivered strong box office performance in calendar year 2025 with billion-dollar hits like Zootopia 2 and Avatar: Fire and Ash [pictured], franchises that generate value across many of our businesses. As we continue to manage our company for the future, I am incredibly proud of all that we’ve accomplished over the past three years.”
Key Highlights:
• Entertainment: Revenue increased 7 per cent compared to Q1 fiscal 2025. Operating income (OI) declined $0.6 billion to $1.1 billion, resulting in Entertainment segment operating margin of 9.5 per cent, as higher programming and production and marketing costs in the quarter more than offset an increase in subscription and affiliate fees and higher theatrical revenue
◦ SVoD: Revenue increased 11 per cent compared to Q1 fiscal 2025 (growth reflects a 1 ppt adverse impact from the inclusion of Star India revenue in the prior-year quarter). SVoD operating income increased $189 million to $450 million, resulting in SVoD operating margin of 8.4 per cent. Segment advertising revenue decreased 6 per cent compared to Q1 fiscal 2025, and reflects a net adverse impact of 11 ppts from the inclusion of Star India and higher political advertising in Q1 fiscal 2025 and Fubo in Q1 fiscal 2026
• Sports: Q1 segment OI of $191 million, a decrease of $56 million compared to Q1 fiscal 2025, as advertising revenue growth of 10 per cent was more than offset by higher programming and production costs and a decrease in subscription and affiliate fees. The temporary suspension of YouTube TV carriage had an adverse impact to segment operating income of approximately $110 million.
• Experiences: Record quarterly revenue of $10 billion and segment OI of $3.3 billion. Domestic Parks & Experiences OI growth of 8 per cent. Attendance at domestic parks was up 1 per cent in the quarter, and per capita spending was up 4 per cent.
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‘ Some details of this article were extracted from the following source www.advanced-television.com ’
