ABC - DISNEY REPORTS SOLID PROFITS -- EXCEPT AT MOVIE STUDIO

DISNEY REPORTS SOLID PROFITS -- EXCEPT AT MOVIE STUDIO

The Walt Disney Company is the latest media conglomerate to report stronger-than-expected earnings in the last quarter. Even as a shake-up of its executives continue on Wednesday with its finance chief, Tom Staggs, and the head of its parks division, Jay Rasulo swapping jobs, the company reported a 4.5-percent rise in quarterly revenue. "They crushed forecasts, based on very strong cable results and material outperformance on the parks," David Bank, an analyst with RBC Capital Markets, told Reuters. Particularly strong was the ESPN cable network, while the ABC television network made some modest gains. On the other hand, Disney CEO Robert Iger acknowledged, "Our studio had an extremely disappointing year in 2009. ... "This is primarily due to the performance of our live action slate but we also see challenges to the motion picture industry business model and we are taking steps to address them." He did not specify the challenges. (The Disney/Pixar animated feature Up , on the other hand, earned nearly $300 million domestically and more than $500 million overseas.)

13/11/2009