Disney beat on earnings despite massive miss from its cable networks

Disney, the media giant, reported slightly higher than expected earnings for their fiscal first quarter on Tuesday.

Earnings per share came in better than expected at $1.55 per share against analysts’ estimates of $1.49 per share. Additionally, revenue came in lower than expected at $14.8 billion, lower than analysts’ expectations of $15.4 billion.

Perhaps bigger than that, the profit from Disney’s cable networks — including ESPN — missed estimates by a wide margin. Profit for the sector came in at just $864 million for the quarter, much lower than $1.08 billion that was estimated.

“Cable Networks revenues for the quarter decreased 2% to $4.4 billion and operating income

decreased 11% to $0.9 billion. The decrease in operating income was due to a decrease at ESPN,” according to a press release from Disney.

Other segments were also weaker than last year for Disney, with Studio Entertainment profit down 17% from the same quarter a year ago and Consumer Products & Interactive Media profit down 25% year-over-year.

“We’re very pleased with our financial performance in the first quarter. Our Parks and Resorts delivered excellent results and, coming off a record year, our Studio had three global hits including our first billion-dollar film of fiscal 2017, Rogue One: A Star Wars Story,” said CEO Bob Iger in a press release.

Following the news, shares of the entertainment giant slid by 1.7% in post-market trading.

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