Disney revenue hit $23.6 billion during the recent quarter, a 7 percent increase year-over-year, with net income vaulting to $3.28 billion, up from a $20 million loss during the same period last year. The results outperformed on the top and bottom lines, sending shares surging by about 10 percent on Wednesday morning. Disney’s strong fiscal second quarter was propelled by better-than-expected Disney+ subscriber growth of +1.4 million subscribers and energetic overall performances in Entertainment as well as Experiences. The icing on the earnings cake was news of a new theme park planned for Abu Dhabi, announced by CEO Bob Iger.

“The results — fueled by the higher streaming profit, domestic theme parks and home video sales of ‘Moana 2’ — easily topped Wall Street expectations,” writes Variety, noting that “total revenue from Disney+ and Hulu increased 8 percent, to $6.12 billion, driven in part by higher retail pricing, and operating income shot up more than sevenfold, to $336 million.”

The Wrap highlights “a 61 percent jump in entertainment profits and 9 percent increase in experiences profit” for fiscal Q2, when sports division profit saw a 12 percent decline, “largely on a write-off cost.” Total segment operating income increased 15 percent for Q2 to $4.4 billion from $3.8 billion in Q2 fiscal 2024, per the earnings report.

Iger announced Abu Dhabi theme park plans the morning that Q2 earnings were released. The seventh Disney theme park resort “will be authentically Disney and distinctly Emirati,” Iger said in a statement.

Though a timeline was not provided, The Wall Street Journal reports the planned theme park is part of a broader expansion of Disney’s “lucrative Experiences business that will give the entertainment company an anchor in a major new market.” Indeed, the Disney theme parks in France and China have been brand amplifiers, according to WSJ, which says they’ve “helped boost its other businesses such as films, streaming and consumer products.”

“Our outstanding performance this quarter — with adjusted EPS up 20 percent from the prior year driven by our Entertainment and Experiences businesses — underscores our continued success building for growth and executing across our strategic priorities,” Iger said in his earnings message.

The company “expects double-digit increases in operating income for its entertainment and sports segments, and 6 percent to 8 percent growth in operating income for its theme park and consumer products biz” for fiscal 2025, notes Variety.

Related:
The New Theme Park Hot Spot: The Middle East, The Wall Street Journal, 5/8/25