Disney profits rise 27 per cent
Media conglomerate The Walt Disney Co has reported a 27 per cent increase in second-quarter profits, thanks to the surprise success of the movie "Wild Hogs" and higher advertising rates at ABC television.
Disney, the second-largest media company in the US after Time Warner, reported on Tuesday a net income of $931 million, or 44 cents per share, up from $733 million, or 37 cents per share, a year earlier. Revenue edged up just 1 per cent to $8.07 billion.
"Wild Hogs", which earned $216 million at the worldwide box office, drove the movie unit to $235 million in operating profit, a 60 per cent increase from a year earlier. The broadcast unit, which includes ABC television, saw profits up 33 per cent to $212 million thanks to hit shows like "Ugly Betty", "Desperate Housewives" and "Grey's Anatomy".
"Disney's second-quarter results confirm the strength of our strategic vision and the quality of the management team that is executing on it," Disney president and chief executive Robert Iger said in a statement.