Day: August 6, 2026

Disney’s parks, streaming operations and “Toy Story 5” helped The Walt Disney Company post adjusted third-quarter earnings above forecasts for the period ended June 27, 2026. The results show where the company gained momentum, how its businesses supported one another and why sports costs and international park performance remained important pressure points.

Key Takeaways

• Disney reported adjusted earnings of $2.06 per share, above the $1.86 average forecast cited by FactSet.
• Experiences revenue rose 10% to $9.97 billion, while operating income increased 20% to $3.02 billion.
• Disney+, Hulu and related streaming services generated $712 million in operating income, more than double the prior-year result.
• Disney said “Toy Story 5” contributed across theaters, streaming engagement and consumer products.
• Sports revenue increased, but operating income declined 17% as programming and production costs rose.

The Walt Disney Company reported stronger adjusted earnings for its fiscal third quarter as gains from Disney’s parks, streaming operations and “Toy Story 5” outweighed weaker profit results in sports and international destinations.

Adjusted earnings rose 28% to $2.06 per share from $1.61 a year earlier. That exceeded the $1.86 average forecast cited by FactSet. Revenue increased 7% to $25.25 billion, narrowly below the $25.39 billion expected by analysts.

Total segment operating income advanced 21% to $5.56 billion. Net income attributable to Disney was $2.64 billion for the three months ended June 27.

The quarter’s central development was not limited to one division. Domestic destinations produced higher attendance and guest spending, streaming profit expanded, and “Toy Story 5” supported several parts of the entertainment business.

Disney’s Parks Deliver a 20% Operating Income Increase

Disney’s Experiences segment remained the company’s largest source of operating income. Revenue rose 10% to $9.97 billion, while operating income increased 20% to $3.02 billion.

Theme park admissions revenue climbed 9% to $3.25 billion. Resorts and vacations revenue increased 17% to $2.77 billion, supported partly by additional cruise passenger days and more occupied hotel room nights. Merchandise, food and beverage revenue across the segment rose 7% to $2.28 billion.

Domestic destinations produced the strongest result. Domestic Parks and Experiences revenue increased 11% to $7.12 billion, while operating income rose 27% to $2.09 billion.

Disney reported a 3% increase in domestic park attendance and a 4% rise in per-capita guest spending. Hotel occupancy at domestic resorts reached 91%, compared with 86% a year earlier.

International results were less consistent. International Parks and Experiences revenue increased 6% to $1.79 billion, but operating income declined 13% to $369 million.

Across the full Experiences portfolio, Disney said global guest volume, which combines theme park attendance and cruise passenger days, increased 4%. The figures placed domestic parks, resorts and cruises among the quarter’s most important earnings drivers.

Streaming Profit More Than Doubles as Subscription Fees Rise

Disney’s streaming operations delivered one of the quarter’s largest profit improvements. Revenue from Disney+, Hulu subscription video and related services rose 11% to $5.53 billion.

Operating income reached $712 million, more than double the $329 million reported a year earlier. The streaming operating margin reached 13% for the quarter.

Subscription fee revenue increased 15% to $4.72 billion. Disney attributed most of that increase to subscriber growth, with higher effective rates and currency movements providing additional support.

Advertising revenue rose 3% to $851 million as greater viewing impressions were partly offset by lower advertising rates.

Disney+ also continued carrying franchise programming, including a new Star Wars series. That content pipeline gives the service recognizable titles between major theatrical releases.

The streaming improvement helped lift operating income for the wider Entertainment segment by 64% to $1.68 billion. Disney also reported lower churn across domestic and international Disney+ services.

Eligible Hulu subscribers gained access to connected profiles, viewing histories and account tools through Disney+, supporting the company’s effort to bring more streaming functions into one interface.

“Toy Story 5” Extends Beyond the Box Office

“Toy Story 5,” released in U.S. theaters on June 19, became a central factor in Disney’s quarterly results. According to the company, the film surpassed $1 billion at the global box office and lifted the franchise’s cumulative worldwide total above $4 billion.

The film had already drawn attention before release, including Tom Hanks’ Toy Story comments about an emotional scene involving Bonnie and digital communication.

Disney said the release also increased viewing of earlier “Toy Story” titles on Disney+. That effect extended the film’s role beyond theatrical ticket sales by directing attention toward the franchise catalog on the streaming service.

Consumer products provided another measurable contribution. Revenue in the division increased 7% to $1.07 billion, while operating income rose 26% to $560 million. Disney said “Toy Story” merchandise contributed to the year-over-year growth.

The release therefore appeared across several lines of Disney’s quarterly reporting. Theatrical revenue supported the studio business, catalog viewing contributed to streaming engagement, and licensed products added to merchandise activity.

The franchise also remains represented across Disney’s destination portfolio, connecting the film with attractions, merchandise and other guest experiences.

Sports Costs Temper a Broad Earnings Gain

Disney’s Sports segment produced higher revenue but lower operating income. Revenue rose 4% to $4.50 billion, supported by subscription, affiliate and advertising revenue.

Operating income declined 17% to $858 million as programming and production costs increased. Reuters reported that shorter NBA playoff series also affected the segment’s operating result.

The decline prevented the quarter from showing uniform growth across Disney’s major divisions. It also clarified the source of the adjusted earnings beat.

Entertainment and Experiences generated stronger operating income, while Sports absorbed higher costs and international destinations delivered a weaker profit result.

Disney maintained its fiscal 2026 forecast for adjusted earnings-per-share growth of about 12%, excluding an additional reporting week, or about 16% including it. The company also projected approximately $4.9 billion in total segment operating income for the fiscal fourth quarter.

The third-quarter figures show that Disney’s parks, streaming services and franchise activity carried most of the operating momentum. Higher sports costs and lower international parks profit remained the clearest areas of pressure within the stronger adjusted earnings result.

Frequently Asked Questions

What Were Disney’s Adjusted Earnings for the Third Quarter?

Disney reported adjusted earnings of $2.06 per share for the quarter ended June 27, 2026. The result was above the $1.86 average forecast cited by FactSet and represented a 28% increase from a year earlier.

How Did Disney’s Parks Perform?

Disney’s parks were part of an Experiences segment that generated $9.97 billion in revenue and $3.02 billion in operating income. Domestic park attendance rose 3%, while domestic per-capita guest spending increased 4%.

How Much Profit Did Disney’s Streaming Business Generate?

Disney+, Hulu and related streaming services produced $712 million in operating income. That was more than double the $329 million reported in the comparable prior-year quarter.

How Did “Toy Story 5” Affect Disney’s Results?

Disney said “Toy Story 5” supported theatrical revenue, streaming engagement and merchandise sales. The company also reported that the film surpassed $1 billion at the global box office.

Why Did Disney’s Sports Operating Income Decline?

Sports operating income fell 17% to $858 million as programming and production costs increased. Revenue still rose 4% to $4.50 billion during the quarter.