Disney stock leaps as earnings impress, cash flow forecast ignites dividend hopes

  • 📰 startelegram
  • ⏱ Reading Time:
  • 46 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 22%
  • Publisher: 63%

Business News News

Disney said it will seek board approval for a dividend, a key plank in CEO Bob Iger's turnaround plans, within the next year.

shares powered higher in early Thursday trading after the media and entertainment giant posted mixed fourth quarter earnings but forecast significant cash flow gains, alongside deeper cost cuts, that could restore the group's dividend over the coming year.

"As I reflect on our achievement this past year, I'm mindful of the fact that a lot of time and effort was spent on fixing, both contending with certain decisions made in the recent past and addressing the numerous challenges brought on by disruption and the pandemic," Iger told investors on a conference call late Wednesday.

Sports-focused profits for the fourth quarter were up 14% from the same period last year to $981 million, topping Street forecasts of around $862 million, with revenues pegged at $3.91 billion. "This continued robust free cash flow growth, alongside our strong balance sheet, will position us well to address our investments and shareholder return goals for the year and going forward," said interim CFO Kevin Lansberry."To that end, we will be recommending to the board that they declare a dividend by the end of this calendar year."

 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.
We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 248. in BUSİNESS

Business Business Latest News, Business Business Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Disney CEO Bob Iger Says Company Now in 'Building' PhaseDisney+ added 7 million core subscribers in the quarter, which also saw the company report its earnings in a new format that breaks out ESPN.
Source: THR - 🏆 411. / 53 Read more »

Disney CEO Bob Iger says company is looking to cut costs by $7.5 billionCEO Bob Iger is looking to further trim costs at the Disney, with the entertainment giant saying Wednesday it has 'increased our annualized efficiency target' to $7.5 billion.
Source: FoxBusiness - 🏆 458. / 53 Read more »