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Disney shares rise on huge increase in streaming users, improved earnings

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Jon Swartz is a senior reporter for MarketWatch in San Francisco, covering many of the biggest players in tech, including Netflix, Facebook and Google. Jon has covered technology for more than 20 years, and previously worked for Barron's and USA Today. Follow him on Twitter @jswartz.

Walt Disney Co.’s stock edged up 2% in extended trading Wednesday after the media giant announced earnings that beat estimates, a huge jump in streaming users and vowed to increase its annual efficiency cost reductions to $7.5 billion from $5.5 billion.

Disney DIS, -0.11% reported fiscal fourth-quarter net income of $264 million, or 14 cents a share. After adjusting for restructuring costs and other effects, Disney reported earnings of 82 cents a share. Revenue rose to $21.24 billion, from $20.15 billion a year ago. Disney+ added 7 million subscribers globally, leading to a lower quarterly loss of $387 million, from $1.5 billion a year ago. Iger credited the popularity of movies like “Elemental,” “Little Mermaid,” and “Guardians of the Galaxy Vol. 3,” as well as original series “Ahsoka” and the Korean original series “Moving.”

 

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