Disney (DIS) Stock: What to Expect from Earnings Today?

TLDR

• Disney reports fiscal Q1 earnings Monday with Wall Street expecting $1.57 EPS and $25.74 billion revenue
• Direct-to-consumer revenue projected to grow 9% to $6.65 billion as streaming remains profitable
• Experiences division expected to hit $9.92 billion despite concerns about theme park attendance and competition from Universal’s Epic Universe
• Traditional entertainment revenue forecast to decline from $10.87 billion to $10.82 billion as linear TV viewership drops
• CEO succession announcement expected in early 2026 with candidates including Josh D’Amaro and Dana Walden

Disney reports fiscal first-quarter earnings Monday morning. The results come at a pivotal moment for the entertainment giant.

The Walt Disney Company, DIS

Wall Street analysts surveyed by LSEG expect earnings per share of $1.57 on revenue of $25.74 billion. Last year’s same quarter delivered $1.76 per share on $24.7 billion revenue.

The company will host an investor call at 8:30 a.m. ET to discuss results.

Streaming performance continues to dominate investor attention. Disney+ has turned profitable in recent quarters after years of losses.

The direct-to-consumer segment is projected to bring in $6.65 billion. That represents a 9% jump from the prior year period.

Disney stopped reporting subscriber numbers. Investors now track revenue and profitability metrics instead.

ESPN launched its direct-to-consumer platform last year. Hulu integration into Disney+ also moved forward during this period.

Analysts want updates on ESPN’s streaming traction. They’re also watching for impacts from recent price increases on Disney+.

Traditional TV Weighs on Entertainment Segment

The shift from cable to streaming creates headwinds for Disney’s linear networks. Declining bundle subscribers hurt advertising revenue across the portfolio.

Total entertainment revenue is expected to drop slightly. Forecasts call for $10.82 billion versus $10.87 billion last year.

This decline offsets gains in streaming. The traditional TV business continues to shrink as viewers cut the cord.

The experiences division remains Disney’s profit engine. Theme parks, resorts, and cruise ships drive cash flow for the company.

Revenue in this segment is forecast at $9.92 billion. That beats last year’s $9.42 billion figure.

Disney’s cruise line showed strength last quarter. The company launched its Destiny ship in November.

Theme Park Attendance Faces Pressure

Domestic theme park attendance fell 4% in the September 2025 quarter. High ticket prices and living costs affect demand.

Universal opened Epic Universe last year. The new park adds competitive pressure in Orlando.

Deutsche Bank analyst Bryan Kraft called attendance concerns “a cyclical issue that is arguably priced in.” He maintains a Buy rating with a $135 price target.

Disney committed $60 billion to theme park investments over the next decade. The company is developing a new park and resort in Abu Dhabi.

Box office performance provided a bright spot in 2025. The live-action “Lilo & Stitch” remake topped charts.

A third “Avatar” film also dominated theaters. These releases helped Disney reclaim box office leadership.

The earnings call happens during a closely watched CEO succession process. Bob Iger plans to retire, potentially before his contract ends December 31.

Board Chair James Gorman told shareholders Disney would announce the next CEO in early 2026. Two internal candidates lead the speculation.

Josh D’Amaro chairs Disney Experiences. Dana Walden serves as co-chair of Disney Entertainment.

The Wall Street Journal reported Friday that Iger told associates he plans to step back from daily management before year-end. Disney has not commented on the report.

J.P. Morgan analyst David Karnovsky doesn’t expect succession discussion during Monday’s call. He rates the stock Buy with a $138 price target.

Disney closed Friday at $112.80 per share.

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