Disney scrapped its earnings forecast in its first quarter 2022 report;Shares rose ahead of the ipo

2022-06-16 0 By

On February 9th, Walt Disney (DIS) released an excellent report for the first quarter of 2022.The entertainment company saw a sharp drop in earnings and reported a big increase in subscriptions.DIS shares rose 7.57% premarket today.In the first quarter of this year, Disney posted a profit of $1.1 billion on revenue of $21.8 billion and earnings per share of $1.06.Forecasters only expect earnings of about 57 cents to 58 cents a share for the quarter.Disney + subscriptions also increased during the quarter, adding 11.8 million subscribers, while “total subscriptions significantly increased” in the company’s streaming portfolio, which now stands at 196.4 million.Theme park Recovery: COVID-19 theme parks brought in $7.2 billion in revenue in the first quarter of 2022, more than double the revenue in the first quarter of 2021.Disney said that for fiscal year 2022, its “domestic parks and experience pavilions typically operate without significant mandatory COVID-19-related capacity constraints, such as those implemented last quarter…”While the company continues to “manage capacity to address ongoing COVID-19 concerns regarding the health and safety of guests and performers.”According to the company’s earnings report, earnings per share rose significantly for the first fiscal year ending January 1, 2022.For the quarter, Walt Disney reported earnings per diluted share of $0.63, up from $0.02 in the previous quarter.”We had a very strong start to the fiscal year with significant earnings per share growth, record revenue and operating income for our domestic parks and resorts, the launch of new franchises with Encanto, significant increase in total revenue to 196.4 million subscribers to our streaming portfolio,This includes 11.8 million Disney + subscribers added in the first quarter, “said Bob Chapek, CEO of the Walt Disney Company.”This marks the final year of the Walt Disney Company’s first century, and this performance, combined with our unmatched collection of assets and platforms, creative capabilities, and unique place in culture, gives me confidence that we will continue to define the next 100 years of entertainment.”With the launch of a large-scale coronavirus vaccine, particularly in the US, Walt Disney’s business has reopened and is slowly recovering from the pandemic crisis.However, with the resurgence of Omicron’s variance, more uncertainty lurks in the near term.