Disney Reports $6.7 Billion Revenue Increase and More Financial Updates

From the Parental Rights in Education Bill (what critics call the “Don’t Say Gay” bill) to the latest comments regarding potential changes on copyright protection and the situation with the Reedy Creek Improvement District, Disney’s name has been in the news a lot recently.

Following some of the news, Disney’s stock has gone down in terms of value. But just what does the Walt Disney Company’s financial standing right now? How “good” or “bad” are Disney+ subscriber numbers, parks revenue, and more? We just found out and we’re breaking down everything you need to know right here!

Disney recently released their Quarterly Earnings Report for the Second Quarter of Fiscal Year 2022 and held an earnings call on the topic. We previously heard about Disney’s financial standing in February of 2022. During Q1, Disney had its second best quarter of ALL TIME in terms of profit.  But now it’s time for an update. Here’s the latest:

Financial Results Overview

For the 2nd quarter of FY 2022, Disney announced that its diluted earnings per share from continuing operations for the quarter decreased from $0.50 to $0.26 from the prior-year quarter, and the diluted EPS (excluding certain items) increased from $0.79 to $1.08.

During the previous quarter (Q1 of FY 2022), Disney’s diluted earnings per share from continuing operations was $0.63, and the diluted EPS for the quarter (excluding certain things) was $1.06.

Revenue grew 23% for the quarter and 29% over six months, even in spite of the Walt Disney Company reducing $1 billion for the amount as a result of the early termination of film and television license agreements so that the content could be used for direct-to-consumer purposes.

Here’s a look at the overall financial standing for Q2 of FY 2022:

Now let’s go through some individual areas.

Disney Parks, Experiences, and Products

On the parks, experiences, and products side, in this past quarter revenues saw an increase of more than double the amount of the prior-year quarter.

During Q2 of FY 2022, the revenues for the Disney Parks, Experiences, and Products division increased to $6.7 billion compared to $3.2 billion at the same time last year.

In Q1 this figure was $7.2 billion, essentially double its revenue compared to the prior-year quarter.

In terms of supplemental operating income, Disney reported results that increased by $2.2 billion to an income of $1.8 billion, compared to a loss of $0.4 billion in the prior-year quarter.

When it comes to guest spending, during Q1 of FY 2022, Disney reported that there was an increase in guest spending, attendance, occupied room nights, and cruise ship sailings. In Q2, guest spending growth increased due to average per capita ticket revenue, higher room rates, and more food and merchandise spending. The increase in ticket revenue was due to a mix of favorable attendance, Genie+, and Lightning Lanes in Q1.

Disney+ Subscribers

What about Disney+ numbers? As of January 1st, 2022, Disney+ had 129.8 million subscribers. That number has since changed, and as of April 2022, Disney+ has a total of 137.7 million subscribers. That is an increase of 33% in subscribers since the same time last year and an addition of 7.9 million subscribers since Q1.

Some were concerned about what Disney+’s subscriber numbers would look like, especially following Netflix’s loss of hundreds of thousands of subscribers, but it looks like Disney+ is still growing.

We’ll be updating this post with more details from the earnings report and earnings call, so be sure to come back for more details.

Read more about the increase in Disney+ subscribers here.

What do you think of Disney’s latest earnings report?

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