Walt Disney Co (NYSE:DIS) reported a second-quarter beat Wednesday, posting earnings per share of $1.61 against a $1.58 consensus estimate and sales of $14.92 billion versus a $14.34-billion estimate.
The quarter is the first to reflect Disney's acquisition of Twenty-First Century Fox and the company said the business' revenue in the 11 days reflected in report totaled $373 million, with operating income of $25 million.
"We're very pleased with our Q2 results and thrilled with the record-breaking success of 'Avengers: Endgame,' which is now the second-highest grossing film of all time and will stream exclusively on Disney+ starting December 11," Robert Iger, Disney's chairman and CEO, said in a statement.
The report touched on Disney's acquisition of Fox's 30% stake in the streaming service Hulu for a total interest of 60%. Disney said it recorded a one-time gain of $4.9 billion as a result of re-measuring its initial 30% stake to fair value.
The Mouse's direct-to-consumer and international segment revenue increased 15% to $955 million in the second quarter, with a segment operating loss that jumped from $188 million to $393 million.
"The increase in operating loss was due to our ongoing investment in ESPN+, which was launched in April 2018, costs associated with the upcoming launch of Disney+, a loss from the consolidation of Hulu and higher losses from streaming technology services, partially offset by an increase at our International Channels," Disney said.
Disney shares started Thursday down 49 cents to $134.50
