Disney earnings jump as parks, 'Toy Story 5' deliver strong quarter

5th Aug 2026 13:45

(Sharecast News) - The Walt Disney Company reported strong third-quarter results on Wednesday, driven by growth across its theme parks and cruise operations and the box-office and consumer-products success of Toy Story 5.

Group revenue rose 7% year on year to $25.25bn, while income before taxes increased 14% to $3.65bn. Total segment operating income climbed 21% to $5.56bn, modestly exceeding Disney's previous guidance.

Adjusted earnings per share increased 28% to $2.06, although reported diluted EPS fell to $1.51 from $2.92. Free cash flow jumped 63% to $3.07bn.

Experiences revenue grew 10% to $9.97bn, supported by roughly 6% volume growth and a 3% increase in rates. Operating income from the division rose 20% to $3.02bn, as domestic parks revenue advanced 11%, global guest numbers increased 4% and domestic park attendance grew 3%.

Meanwhile, Toy Story 5 surpassed $1bn at the global box office, while merchandise sales linked to the film helped consumer-products revenue rise 7%. Entertainment operating income increased 64% to $1.68bn.

"Our accelerating global guests growth at Experiences, Toy Story 5's theatrical and consumer products success, and strong ESPN viewership gains all helped expand our consumer reach this quarter," the company said.

Disney reiterated its full-year adjusted EPS growth forecast of around 12%, and raised its share-buyback target to at least $9bn, up from $8bn previously.

At 1514 BST, Disney shares were up 2.3% at $100.45 in New York.