Walt Disney Co. (NYSE:DIS) has posted another blockbuster quarter.
Disney has returned to profitability on the continued strength of its Disney+ streaming service.
Subscribers to the video service grew to 94.9 million in the fourth quarter of 2020, Disney announced Thursday after markets closed. That exceeded the 90.7 million average of Wall Street estimates.
Sales and earnings at Disney also topped projections in the fourth quarter. Disney Chief Executive Bob Chapek pointed to more than 21 million new Disney+ streaming customers as a sign that the shift away from traditional media is paying off.
Disney+ has benefited from high-profile programming, including the second season of the Star Wars spinoff "The Mandalorian" and the Christmas debut of "Soul," a Pixar movie originally scheduled for a theatrical release.
The company announced plans to raise the monthly subscription fee of Disney+ in the U.S. by a dollar to $8 U.S. a month starting in March.
Excluding some items, profit for the first quarter ended January 2 came to 32 cents a share, far better than the loss of 38 cents that analysts had forecast. The company had posted rare losses in the second half of fiscal 2020 due to the pandemic. Revenue, while lower at $16.2 billion U.S., also beat estimates.
Disney shares rose as high as $198.77 U.S. in extended trading after the results were announced. The stock gained 25% in 2020.
