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Disney beats earnings forecast as shares surge

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Walt Disney exceeded Wall Street’s earnings projections, propelled by robust performances at its theme parks and ongoing cost-cutting measures, despite falling short of revenue estimates.

In addition to surpassing earnings expectations, Disney’s board of directors approved a $3 billion share repurchase program for the current fiscal year and announced a dividend of 45 cents per share, payable on July 25 to shareholders of record on July 8.

This represents a 50% increase from the previous dividend paid in January.

The company reported earnings of $1.22 per share, excluding certain items, surpassing analysts’ consensus forecast of 99 cents per share for the October to December period.

Following the earnings report, shares surged more than 7% after hours to $106.70.

Relatively flat

Although quarterly revenue remained relatively flat compared to the previous year, at $23.5 billion, it fell short of projections of $23.6 billion.

Disney disclosed that it had slashed $500 million in costs across its business during the quarter and remains on track to achieve or exceed $7.5 billion in savings by the end of the fiscal year.

The conglomerate faces pressure from activist investor Nelson Peltz, who is advocating for increased profitability in its streaming business, enhanced box office performance for its movies, and greater transparency regarding plans to bolster ESPN as a dominant digital platform.

CEO Bob Iger expressed confidence in Disney’s trajectory, stating, “Just one year ago, we outlined an ambitious plan to return the Walt Disney Company to a period of sustained growth and shareholder value creation. Our strong performance this past quarter demonstrates we have turned the corner and entered a new era of growth for our company.”

Record revenue

Disney’s Experiences unit, encompassing theme parks and consumer products, achieved record revenue, operating income, and operating margins.

The company reaffirmed guidance that its streaming business would reach profitability by September, with streaming operating losses reduced to $138 million in the quarter, a significant improvement from the previous year’s nearly $1 billion loss.

Despite shedding 1.3 million Disney+ subscribers, double analysts’ forecasted losses, following an October price increase, Disney remains optimistic about subscriber growth, projecting an increase of 5.5 million to 6 million subscribers in the second quarter.

The Entertainment unit’s streaming business, inclusive of Hulu and Disney+ Hotstar in India, reported revenue of $5.5 billion, slightly exceeding forecasts and marking a 15% improvement from a year ago.

7% decline

However, overall revenue for the Entertainment segment, covering Disney’s traditional TV business, streaming, and film, declined by 7% from a year earlier to $9.98 billion, impacted by lower ad revenue at ABC and decreased fees from cable subscriber losses.

Disney’s sports division saw a 4% revenue gain from a year ago, driven by ESPN, the ESPN+ streaming service, and Star in India, although operating losses deepened at Star in India.

Notwithstanding challenges, Disney’s theme parks unit reported robust revenue of $9.1 billion and operating income of $3.1 billion, buoyed by successful openings at Hong Kong Disneyland and Shanghai Disney Resort.

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Israel and Hamas agree to landmark hostage deal

Israel and Hamas agree to release hostages in U.S.-brokered deal, marking a potential turning point in Gaza conflict.

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Israel and Hamas agree to release hostages in U.S.-brokered deal, marking a potential turning point in Gaza conflict.


In a major diplomatic breakthrough, Israel and Hamas have agreed to release all remaining Israeli hostages under a U.S.-brokered framework. The deal pairs prisoner exchanges with an Israeli troop pullback and expanded aid access, marking a potential turning point in the two-year Gaza conflict.

The agreement, set for approval by Israel’s cabinet, could pave the way for lasting peace if both sides uphold the terms. It follows weeks of negotiations led by U.S. envoys and regional mediators in Egypt, Qatar, and Türkiye.

As international agencies prepare to facilitate aid and logistics, the world watches to see whether this fragile deal can hold and bring relief to millions affected by the war.

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Google leads Australia media tax rankings

Google leads in Australian media tax payments, unlike Netflix and others, igniting discussions on fairness and corporate responsibility.

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Google leads in Australian media tax payments, unlike Netflix and others, igniting discussions on fairness and corporate responsibility.


Google is currently on the of top of Australian media tax payments, while Netflix, Dentsu, and Singtel pay nothing, sparking a fresh debate over fairness and corporate responsibility in the industry.

#TaxTransparency #Google #Netflix #CorporateResponsibility #AustraliaBusiness


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Trump eyes Middle East visit as Gaza ceasefire talks advance

Trump may visit Middle East this weekend as Kushner seeks Gaza ceasefire amid positive Egypt talks and Turkey’s confirmation.

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Trump may visit Middle East this weekend as Kushner seeks Gaza ceasefire amid positive Egypt talks and Turkey’s confirmation.


President Trump may visit the Middle East this weekend as Jared Kushner and envoy Steve Witkoff push for a Gaza ceasefire.

Recent Egypt talks and cooperation from Israel and Hamas raise hopes for a deal, with Turkey confirming progress.

#GazaCeasefire #TrumpMiddleEast #Kushner #PeaceTalks #IsraelHamas


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