Disney's Streaming and Parks Momentum Boosts Q3 Earnings

Walt Disney Company's (DIS) third-quarter fiscal 2026 report showed stronger-than-expected results, driven by growing streaming profitability and theme-park demand.

The company reported a 7% year-over-year increase in revenues to $25.25 billion, with total segment operating income climbing 21% to $5.6 billion. Adjusted earnings per share reached $2.06, up from $1.61 the previous year.

The Experiences segment, which includes parks, cruises, and consumer products, generated a record $10 billion in fiscal third-quarter revenues, with global guest counts increasing by 4% and per-capita spending at domestic parks also rising by 4%. The growth was driven in part by the addition of new capacity from Disney Cruise Line's newest ships.

Disney+ and Hulu combined operating income more than doubled to $712 million, with revenues up 11% to $5.53 billion and an expanding operating margin of around 13%. Entertainment segment operating income jumped 64% to $1.68 billion, aided by the box-office success of Toy Story 5.

The company expects Toy Story 5 to arrive on Disney+ by the end of 2026, while deeper Hulu integration is targeted for the same timeframe. A new content partnership with TikTok will pilot in the United States this year before expanding to other markets in early 2027.