NEW DELHI: The Walt Disney Company reported total revenue of $14,707 million in Q4, witnessing a decline of 23 per cent year-on-year (y-o-y). While parks, entertainment, products, studio entertainment business continued to register a dip, direct-to-consumer & international and media revenue saw an upsurge.

The media revenues for the quarter stood at $7213 million, up 11 per cent year on year. The d2c & international revenue stood at $4853 million for the quarter and witnessed an upsurge of 41 per cent y-o-y. 

Diluted earnings per share (EPS) from continuing operations for the fourth quarter was a loss of $0.39 compared to income of $0.43 in the prior-year quarter. Excluding  certain items affecting comparability, diluted EPS for the quarter was a loss of $0.20 compared to  income of $1.07 in the prior-year quarter. EPS from continuing operations for the year was a loss of $1.57 compared to income of $6.26 in the prior year. Excluding certain items affecting comparability, EPS for  the year decreased to $2.02 from $5.76 in the prior year. 

The most significant adverse impact in the current quarter and year from Covid2019 was approximately $2.4 billion and $6.9 billion, respectively, on operating income at parks, experiences and products segment due to revenue lost as a result of the closures or reduced operating capacities. 

Media Networks revenues for the quarter increased 11 per cent to $7.2 billion, and segment operating  income increased 5 per cent to $1.9 billion. 

Cable Networks revenues for the quarter increased 11 per cent to $4.7 billion and operating income  decreased 7 per cent to $1.2 billion. The decrease in operating income was due to lower results at ESPN,  partially offset by increases at FX Networks and the domestic Disney channels. 

Broadcasting revenues for the quarter increased 10 per cent to $2.5 billion and operating income increased  47 per cent to $553 million. The increase in operating income was due to affiliate revenue growth and lower  network programming and production costs and decreased marketing expenses, partially offset by a timing  impact from new accounting guidance. 

Advertising revenues were comparable to the prior-year quarter as lower average network viewership was offset by the benefit of an additional week in the current quarter, higher network rates and an increase  in political advertising at the owned television stations. 

Parks, Experiences and Products revenues for the quarter decreased 61 per cent to $2.6 billion, and segment  operating results decreased $2.5 billion to a loss of $1.1 billion. Lower operating results for the quarter  were due to decreases at both the domestic and international parks and experiences businesses. 

Studio Entertainment revenues for the quarter decreased 52 per cent to $1.6 billion and segment operating  income decreased 61 per cent to $419 million. The decrease in operating income was due to lower theatrical and  home entertainment results. 

Direct-to-Consumer & international revenues for the quarter increased 41 per cent to $4.9 billion and  segment operating loss decreased from $751 million to $580 million. The decrease in operating loss was  primarily due to improved results at Hulu and ESPN+, partially offset by higher costs at Disney+, driven  by the ongoing rollout and a decrease at our international channels. 

The improvement at Hulu was due to subscriber growth and increased advertising revenues driven by  higher impressions, partially offset by an increase in programming and production costs due to higher  subscriber-based fees for programming the live television service. 

Higher results at ESPN+ were driven by subscriber growth and higher income from Ultimate Fighting  Championship pay-per-view events. 

The Walt Disney Co CEO Bob Chapek said, “Even with the disruption caused by Covid2019, we’ve been able to effectively manage our  businesses while also taking bold, deliberate steps to position our company for greater long-term growth. The real bright spot has been our  direct-to-consumer business, which is key to the future of our company, and on this anniversary of the  launch of Disney+ we’re pleased to report that, as of the end of the fourth quarter, the service had more  than 73 million paid subscribers – far surpassing our expectations in just its first year.”