In today’s fiscal third-quarter 2026 earnings report, the Walt Disney Company reported strong results due to higher theme park attendance, record streaming profitability, the box office success of Toy Story 5, and a $100 million tariff refund.
The results cover the three-month period that ended in June and marked Josh D’Amaro’s first full quarter as Disney CEO after succeeding Bob Iger in March.
Total operating income for Disney’s fiscal third quarter rose 21% to $5.6 billion, beating Wall Street forecasts, as did adjusted earnings per share of $2.06, up from $1.61.
Revenue of $25.2 billion rose 7% from the year earlier.
In a letter to shareholders today, D’Amaro said the results “reinforce our confidence that we are uniquely well positioned,” crediting Disney’s extensive intellectual property portfolio and continued investment across its businesses.
Disney also confirmed the planned sale of its 50% interest in A+E Global Media to an affiliate of co-owner Hearst for $1.2 billion in cash. The media giant is moving its consumer products business under Studios from the lucrative division’s longtime home in Experiences. And it unveiled a global, short-form content-sharing partnership with TikTok this morning.
“Decades of IP investment have built deep fan connections that translate into strong financial results,” D’Amaro said. “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.”
Experiences
Disney Experiences generated more than $3 billion in operating income, an increase of 20%, on nearly $10 billion in revenue as global guest attendance increased 4%, while attendance at Disney’s domestic parks rose 3% during the quarter. Average per-capita ticket revenue increased 5%.
International visitation to its U.S. parks continues to face headwinds, although those pressures are moderating. However, strong attendance growth at Disneyland Paris following the opening of World of Frozen was seen. Despite softer consumer demand in parts of Asia, the company expects global guest growth to continue during the fourth quarter.
The quarter also marked the first full reporting period to include operations from Disney Cruise Line’s two newest ships, the Disney Destiny and Disney Adventure.
Entertainment
Disney’s Entertainment segment reported $11.3 billion in revenue and $1.7 billion in operating income, a 64% increase over the prior year.
Disney credited much of the segment’s success to Toy Story 5, which has surpassed $1 billion at the global box office, along with the release of The Devil Wears Prada 2.
Disney acknowledged that both The Mandalorian and Grogu and the live-action Moana underperformed at the box office but said both projects continue to support the company’s broader franchise strategy.
Disney+
Disney no longer reports streaming subscriber totals; however, direct-to-consumer operating income more than doubled to $712 million, compared to $329 million during the same quarter last year. Streaming revenue increased 11% to $5.5 billion while subscription revenue grew 15%. D’Amaro wrote, “Our ambition is for Disney+ to become the digital centerpiece of The Walt Disney Company.”
Sports
Disney’s Sports segment generated $4.5 billion in revenue and $853 million in operating income, which is down 17% from last year.
Other Updates
Disney said it recorded approximately $100 million in a tariff refund for the quarter, reversing tariff payments earlier in the fiscal year.
Disney also completed the previously announced sale of its 50% stake in A+E Global Media to Hearst for $1.2 billion in cash.
The company announced it is moving its consumer products business from Disney Experiences to Disney Entertainment and announced a new global content partnership with TikTok.
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