Disney (NYSE:DIS) Continues to Create Magical Figures


According to Disney (NYSE:DIS)’s finances in its quarterly fiscal report for calendar year 2014, there has been a 7% growth in its revenue, followed by an increase of 16% to its adjusted earnings, that has brought the share price to $ 0.89 per share. The sudden upsurge in the company’s earnings is mainly due to the Disney (NYSE:DIS)’s recurring success in its entertainment division, producing box office hits like Guardians of galaxy and Maleficent .Guest spending and overall increase in the attendance in its theme parks also generated considerable revenue.

The only small hiccup Disney (NYSE:DIS) came across was a 1% decline in the operating income of its cable networks, due to an increase in the programming costs of ESPN.

All in all, once again Disney (NYSE:DIS) has kept its market growth stable and shown improvement, in studio as well as theme park divisions.

According to Forbes predictions, $548.4 billion estimated revenues can be expected for year 2014 by Disney (NYSE:DIS), with EPS at $ 4.00. Forbes had also estimated the current Disney (NYSE:DIS) shares price of $94 per share.

If one goes in to the detail of the revenues generated by the company’s entertainment division, a sudden jump of figures can be seen, bringing the net total to $ 1.78billion depicting an 18% increase. Also, there was more than a 100% increase in the Operating income that brought the net total to $254 million.

Year 2014 has proven to be a huge financial success for Disney (NYSE:DIS), due to the gross box office hits, generating a revenue of $ 3 billion. An increase in the EBTDA, to $1.2 billion is expected by the end of calendar year 2014, if the 19% estimated margin of EBTDA is achieved.

Disney (NYSE:DIS) is already producing and working on new productions, which are likely to increase its revenues and gain more financial strength and growth.

The growth in Disney (NYSE:DIS)’s theme park division can be attributed to the new ticketing system knows as magic +, recently launched by the company, which showed an increase in the operating income and its market trends.

The company showed a 20% increase in its operating income, bringing its profits to $687 million, whereas, revenues just for September quarter showed a growth of 7%, in U.S alone .Disney (NYSE:DIS) is planning to launch avatar land to its Florida park and star wars to its theme park. Also, planning is underway for Disney (NYSE:DIS)’s Shanghai’s resort, which is believed to show continuous growth by the end of year 2015.

Overall, the company’s performance for the fiscal year 2014 has shown profits and increase in market growth, with just a slight loss in its cable networks, which was mostly due to the increase in the contractual rate of the ESPN networks. But, in addition to the Forbes estimates, an increase of 4% market growth will bring the company media generated profits to $ 215 billion. These figures clearly indicate the strong position, the Disney (NYSE:DIS) franchise enjoys in the market.