Disney Posts $25.2B Revenue, Streaming Surpasses Linear
Get the Culture newsletter
Daily culture — film, music, books, the trends and ideas worth your attention. Free.
- Disney reported $25.2 billion in revenue for Q2, a 7% year-over-year increase, surpassing analyst expectations and marking the first quarter under CEO Josh D’Amaro.
- Disney Entertainment saw operating income jump 88% to $582 million, fueled by subscriber growth, price hikes, and ad gains from hits like Zootopia 2 on Disney+.
- Josh D’Amaro and CFO Hugh Johnston outlined a strategic vision centered on investing in IP, enhancing customer engagement, and leveraging technology in a shareholder letter.
- Disney+ surpassed 1 billion hours of viewing for the Zootopia franchise, boosted by the film’s $1.9 billion global box office and swift transition to streaming.
- ESPN’s parent division posted a 2% revenue rise to $4.6 billion but saw operating income fall 5% to $652 million due to higher sports rights costs and no football in the quarter.
- Disney Experiences generated $9.5 billion in revenue, up 7%, though domestic park attendance dipped 1% amid softer international visitation and inflation pressures.
Why it matters: Disney’s shift from linear TV to streaming is now revenue-positive, with SVOD surpassing traditional TV in subscription and ad income—a structural reversal that validates its pivot despite macro headwinds. The 88% operating income surge in entertainment signals that IP monetization across platforms is delivering durable cash flow, a win for investors skeptical of the streaming transition.
