Walt Disney Co
For the period ended Jun 27, 2026. Filed Aug 5, 2026.
View on SEC.govAbout this filing
A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Jun 27, 2026 · Filed Aug 5, 2026
DIS$116.75-0.4%Stored close · as of Nov 6, 2026
What changed in Management’s Discussion and Analysis?
Read the current filingPrevious report: 10-Q
Period ended 2026-03-28; filed 2026-05-06.
0001744489-26-000037
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsCurrent report: 10-Q
Period ended 2026-06-27; filed 2026-08-05.
0001744489-26-000057
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsThe baseline is this issuer’s latest earlier reporting period of the same form that was filed before the current report. A previous 10-Q is a different quarter, not a year-over-year comparison. Amendments are excluded.
Compared 259 previous paragraphs and 258 current paragraphs.
140 unchanged; 79 reworded; 36 added; 33 removed; 7 previous and 3 current paragraphs rearranged.
Tables are not compared: 43 previous and 45 current tables excluded. Dates, whitespace, punctuation and numbering changes are ignored; changes to financial figures remain significant.
A changed paragraph is not evidence that risk increased or decreased. An unchanged paragraph does not establish that risk stayed the same.
Added paragraphs (36)
Current report
Product revenues for the quarter increased 6%, or $0.1 billion, to $2.6 billion due to growth in parks & experiences merchandise, food and beverage revenue.
Current report
Selling, general, administrative and other costs decreased 4%, or $0.2 billion, to $4.0 billion due to lower marketing costs.
Current report
The increase in interest expense was driven by higher average debt balances, partially offset by lower effective interest rates.
Current report
The decrease in net income attributable to noncontrolling interests was due to the Hulu Charge in the prior-year quarter.
Current report
•Restructuring and impairment charges of $900 million
Current report
•Acquisition Amortization of $334 million
Current report
•A $3,277 million non-cash tax benefit recognized upon a change in Hulu’s U.S. income tax classification recognized in “Income taxes” and $477 million Hulu Charge recognized in “Net income attributable to noncontrolling interest” (Hulu Transaction Impacts)
Current report
•Acquisition Amortization of $395 million
Current report
•Restructuring and impairment charges of $185 million
Current report
Selling, general, administrative and other costs increased 1%, or $0.1 billion, to $12.2 billion due to higher marketing costs, partially offset by the comparison to legal settlements in the prior-year period.
Current report
The decrease in net income attributable to noncontrolling interests was due to the Hulu Charge in the prior-year period, partially offset by the impact of the NFL Transaction in the current period.
Current report
Results for the nine months ended June 27, 2026 were impacted by the following:
Current report
•Restructuring and impairment charges of $1,139 million
Current report
•Acquisition Amortization of $947 million
Current report
Results for the nine months ended June 28, 2025 were impacted by the following:
Current report
•Hulu Transaction Impacts of $3,277 million recognized in “Income taxes” and $477 million recognized in “Net income attributable to noncontrolling interests”
Current report
•Acquisition Amortization of $1,188 million
Current report
Programming and production costs reflected increases of 4% from the Fubo Transaction and 2% from our streaming services, which were largely offset by decreases of 3% from lower film cost impairments and 2% from linear networks.
Current report
Selling, general, administrative and other costs decreased $187 million, to $2,301 million from $2,488 million, driven by lower marketing costs, partially offset by the Fubo Transaction.
Current report
Depreciation and amortization increased $20 million, to $218 million from $198 million, due to investments in technology.
Current report
Segment operating income increased $658 million, to $1,680 million from $1,022 million, due to an increase in subscription and affiliate fees.
Current report
Selling, general, administrative and other costs increased $68 million, to $344 million from $276 million, primarily due to higher sales and marketing costs.
Current report
Depreciation and amortization increased $16 million, to $29 million from $13 million, due to investments in technology.
Current report
(1)Global guests is used to analyze combined volume trends across our theme parks and cruise businesses and is defined as the sum of theme park attendance and passenger cruise days. Passenger cruise days is the number of passengers on a cruise multiplied by the number of days in the voyage.
Current report
Segment operating income increased $501 million, to $3,017 million from $2,516 million, due to higher revenues at Parks & Experiences and, to a lesser extent, Consumer Products, partially offset by higher costs.
Current report
Total Parks & Experiences revenue increased $809 million, to $8,903 million from $8,094 million due to increases of 6% from higher volumes and 3% from increased guest spending.
Current report
The decrease in other revenue was attributable to the impact of our foreign exchange hedging program, partially offset by revenue increases including from higher intersegment allocations of revenues from the Experiences segment reflecting an increase in merchandise licensing royalties.
Current report
Selling, general, administrative and other costs increased $182 million, to $7,257 million from $7,075 million, due to higher theatrical marketing costs and the Fubo Transaction.
Current report
Depreciation and amortization increased $108 million, to $687 million from $579 million, due to investments in technology and production facilities and other equipment.
Current report
Depreciation and amortization increased $47 million, to $81 million from $34 million, due to investments in technology.
Current report
Selling, general, administrative and other costs increased $119 million, to $3,142 million from $3,023 million, primarily due to new guest offerings and inflation.
Current report
Depreciation and amortization increased $273 million, to $2,368 million from $2,095 million, primarily due to higher depreciation at our domestic parks and experiences primarily attributable to an increase at Disney Cruise Line.
Current report
Segment operating income increased $824 million, to $8,941 million from $8,117 million, due to higher revenues at Parks & Experiences and, to a lesser extent, Consumer Products, partially offset by higher costs.
Current report
Total Parks & Experiences revenue increased $1,967 million, to $26,079 million from $24,112 million primarily due to increases of 4% from higher volumes and 3% from increased guest spending.
Current report
Corporate and unallocated expenses decreased $76 million for the quarter, from $410 million to $334 million, primarily due to a favorable resolution of a legal matter in the current quarter compared to a legal settlement in the prior-year quarter and timing of allocations to the segments, partially offset by a gain on a land sale in the prior-year quarter.
Current report
Corporate and unallocated shared expenses for the nine-month period decreased $247 million, from $1,265 million to $1,018 million, attributable to a favorable resolution of a legal matter in the current period compared to legal settlements in the prior-year period.
Removed paragraphs (33)
Previous report
Product revenues for the quarter increased 5%, or $0.1 billion, to $2.5 billion due to growth at our parks and experiences businesses.
Previous report
Selling, general, administrative and other costs increased 2%, or $0.1 billion, to $4.1 billion due to higher marketing costs.
Previous report
After the current quarter impairment in A+E, our investment has a carrying value of approximately $2 billion. If the estimated fair value of our investment declines, for example by a decrease in forecasted cash flows or a transaction at an amount that is less than the carrying amount, we would be required to record an impairment charge in earnings, which could be material.
Previous report
•The current quarter included a non-cash tax charge of approximately 3 percentage points in connection with the NFL Transaction
Previous report
The increase in net income attributable to noncontrolling interests was primarily due to the NFL Transaction and, to a lesser extent, higher results at Shanghai Disney Resort.
Previous report
•Acquisition Amortization of $313 million
Previous report
•Restructuring and impairment charges of $239 million
Previous report
•A non-cash tax charge of $115 million resulting from the NFL Transaction
Previous report
•Acquisition Amortization of $396 million
Previous report
•Restructuring and impairment charges of $109 million
Previous report
Selling, general, administrative and other costs increased 4%, or $0.3 billion, to $8.2 billion due to higher marketing costs, partially offset by the comparison to a legal settlement in the prior-year period.
Previous report
The increase in net income attributable to noncontrolling interests was primarily due to the NFL Transaction and higher results at Shanghai Disney Resort.
Previous report
Results for the six months ended March 28, 2026 were impacted by the following:
Previous report
•Acquisition Amortization of $613 million
Previous report
•Restructuring and impairment charges of $239 million
Previous report
Results for the six months ended March 29, 2025 were impacted by the following:
Previous report
•Acquisition Amortization of $793 million
Previous report
The increase in programming and production costs was due to increases of 5% from the Fubo Transaction, 5% from streaming services and 3% from theatrical distribution.
Previous report
Depreciation and amortization increased $48 million, to $251 million from $203 million, due to a new facility and investments in technology assets.
Previous report
Lower advertising revenue was due to a decrease of 4% attributable to fewer impressions.
Previous report
Depreciation and amortization increased $17 million, to $28 million from $11 million, due to investments in technology assets.
Previous report
The increase in parks licensing and other revenue was primarily due to an increase in co-branding revenue, the recognition of incentives received in the current quarter and higher sponsorship revenue.
Previous report
Selling, general, administrative and other costs increased $91 million, to $1,115 million from $1,024 million, primarily due to new guest offerings and inflation.
Previous report
Segment operating income increased $124 million, to $2,615 million from $2,491 million, primarily due to growth at domestic parks and experiences.
Previous report
Selling, general, administrative and other costs increased $369 million, to $4,956 million from $4,587 million, due to higher marketing costs at theatrical distribution and our streaming services.
Previous report
Depreciation and amortization increased $88 million, to $469 million from $381 million, due to a new facility and investments in technology assets.
Previous report
Segment operating income decreased $525 million, to $2,436 million from $2,961 million, driven by increases in programming and production costs and marketing costs, partially offset by an increase in subscription and affiliate fees and higher content sales revenue.
Previous report
Depreciation and amortization increased $31 million, to $52 million from $21 million, due to investments in technology assets.
Previous report
Revenues - Parks licensing and other
Previous report
Selling, general, administrative and other costs increased $105 million, to $2,077 million from $1,972 million, primarily due to new guest offerings and inflation.
Previous report
Depreciation and amortization increased $163 million, to $1,547 million from $1,384 million, primarily due to higher depreciation at Disney Cruise Line and at our international parks and experiences attributable to an increase at Disneyland Paris.
Previous report
Segment operating income increased $323 million, to $5,924 million from $5,601 million, primarily due to growth at domestic parks and experiences.
Previous report
Corporate and unallocated shared expenses for the six-month period decreased $171 million, from $855 million to $684 million, driven by the comparison to a legal settlement in the prior-year period.
Reworded paragraphs (79)
Previous wording
•Current Six-Month Period Results Compared to Prior-Year Six-Month Period
Current wording
•Current Nine-Month Period Results Compared to Prior-Year Nine-Month Period
Previous wording
Revenues for the quarter increased 7%, or $1.5 billion, to $25.2 billion; net income attributable to Disney decreased to $2.2 billion compared to $3.3 billion in the prior-year quarter; and diluted earnings per share (EPS) attributable to Disney decreased to $1.27 compared to $1.81 in the prior-year quarter. The net income and EPS decreases were due to the recognition of a tax benefit in the prior-year quarter related to the resolution of a tax matter.
Current wording
Revenues for the quarter increased 7%, or $1.6 billion, to $25.2 billion; net income attributable to Disney decreased to $2.6 billion compared to $5.3 billion in the prior-year quarter; and diluted earnings per share (EPS) attributable to Disney decreased to $1.51 compared to $2.92 in the prior-year quarter. The net income and EPS decreases reflected the comparison to a non-cash tax benefit recognized upon a change in Hulu’s U.S. income tax classification in the prior-year quarter and, to a lesser extent, an impairment of our investment in A+E in the current quarter. These decreases were partially offset by higher operating income at Entertainment and Experiences in the current quarter and the comparison to a charge for a payment to acquire Hulu in the prior-year quarter (Hulu Charge).
Previous wording
Service revenues for the quarter increased 7%, or $1.4 billion, to $22.7 billion, which included an approximate 2 percentage point increase from the Fubo Transaction and, to a lesser extent, NFL Transaction. Aside from this impact, service revenues increased due to higher subscription and affiliate fees, growth at our parks and experiences businesses and, to a lesser extent, an increase in content sales.
Current wording
Service revenues for the quarter increased 7%, or $1.5 billion, to $22.7 billion, which included an approximate 2 percentage point favorable impact from the Fubo and NFL Transactions. Aside from this impact, service revenues increased due to growth in resorts and vacations and theme park admissions revenue and higher subscription and affiliate fees.
Previous wording
Cost of services for the quarter increased 8%, or $1.0 billion, to $14.4 billion, which included an approximate 3 percentage point increase from the Fubo Transaction and, to a lesser extent, NFL Transaction. Aside from this impact, cost of services increased due to higher programming and production costs and, to a lesser extent, the impact of inflation and increased volumes at our parks and experiences businesses.
Current wording
Cost of services for the quarter increased 5%, or $0.6 billion, to $13.7 billion, which included an approximate 2 percentage point unfavorable impact from the Fubo Transaction and, to a lesser extent, NFL Transaction. Aside from this impact, cost of services increased due to the impact of new guest offerings, inflation and increased volumes at our parks and experiences businesses.
Previous wording
Depreciation and amortization increased 6%, or $0.1 billion, to $1.4 billion driven by higher depreciation at Experiences and Entertainment, partially offset by lower amortization of intangible assets.
Current wording
Depreciation and amortization increased 6%, or $0.1 billion, to $1.4 billion primarily due to higher depreciation at Experiences, partially offset by lower amortization of intangible assets.
Previous wording
Charges in the current quarter were $147 million for an impairment of our investment in A+E Global Media (A+E) and $92 million for severance. Charges in the prior-year quarter were $109 million for content impairments.
Current wording
Charges in the current quarter were $812 million for an impairment of our investment in A+E and $88 million for severance. Charges in the prior-year quarter were $185 million primarily for an impairment of our investment in Tata Play Limited.
Previous wording
The increase in interest income, investment income and other was due to a net gain on investments in the current quarter compared to a net loss on investments in the prior-year quarter, and a favorable comparison related to pension and postretirement benefit costs, other than service cost.
Current wording
The increase in interest income, investment income and other was due to a favorable comparison related to pension and postretirement benefit costs, other than service cost.
Previous wording
The effective income tax rate was positive 26.8% in the current quarter compared to a negative effective income tax rate of 10.2% in the prior-year quarter. Significant items impacting the change in the effective income tax rate included the following:
Current wording
The effective income tax rate was 22.0% in the current quarter compared to negative 85.1% in the prior-year quarter. The prior-year quarter included a $3.3 billion non-cash tax benefit recognized upon a change in Hulu’s U.S. income tax classification.
Previous wording
CURRENT SIX-MONTH PERIOD RESULTS COMPARED TO PRIOR-YEAR SIX-MONTH PERIOD
Current wording
CURRENT NINE-MONTH PERIOD RESULTS COMPARED TO PRIOR-YEAR NINE-MONTH PERIOD
Previous wording
Revenues for the current period increased $2.8 billion, to $51.1 billion; net income attributable to Disney decreased $1.2 billion, to $4.6 billion; and EPS decreased to $2.61 from $3.21 in the prior-year period. The net income and EPS decreases were due to the recognition of a tax benefit in the prior-year period related to the resolution of a tax matter and, to a lesser extent, lower operating income at Entertainment. These decreases were partially offset by higher operating income at Experiences.
Current wording
Revenues for the current period increased $4.4 billion, to $76.4 billion; net income attributable to Disney decreased $3.8 billion, to $7.3 billion; and EPS decreased to $4.12 from $6.12 in the prior-year period. The net income and EPS decreases were due to the comparison to a tax benefit recognized related to a change in Hulu’s U.S. income tax classification, a favorable resolution of a tax matter in the prior-year period, and an impairment of our investment in A+E in the current period. These decreases were partially offset by higher operating income at Experiences in the current period and the comparison to the Hulu Charge in the prior-year period.
Previous wording
Service revenues for the current period increased 6%, or $2.6 billion to $45.9 billion, which included an approximate 1 percentage point net favorable impact from the Fubo, NFL and Star India Transactions. Aside from this impact, service revenues increased due to growth at our parks and experiences businesses, higher subscription and affiliate fees and, to a lesser extent, an increase in content sales.
Current wording
Service revenues for the current period increased 6%, or $4.0 billion to $68.6 billion, which included an approximate 1 percentage point net favorable impact from the Fubo, NFL and Star India Transactions. Aside from this impact, service revenues increased due to growth in resorts and vacations and theme park admissions revenue, higher subscription and affiliate fees and, to a lesser extent, an increase in content sales.
Previous wording
Product revenues for the current period increased 5%, or $0.3 billion, to $5.3 billion, due to growth at our parks and experiences businesses.
Current wording
Product revenues for the current period increased 5%, or $0.4 billion, to $7.8 billion, due to growth in parks & experiences merchandise, food and beverage revenue.
Previous wording
Cost of services for the current period increased 8%, or $2.3 billion, to $29.4 billion, which included an approximate 2 percentage point net favorable impact from the Fubo, NFL and Star India Transactions. Aside from this impact, cost of services increased due to higher programming and production costs and, to a lesser extent, the impact of inflation and increased volumes at our parks and experiences businesses.
Current wording
Cost of services for the current period increased 7%, or $2.9 billion, to $43.1 billion, which included an approximate 1 percentage point net unfavorable impact from the Fubo, NFL and Star India Transactions. Aside from this impact, cost of services increased due to higher programming and production costs and, to a lesser extent, the impact of new guest offerings, inflation and increased volumes at our parks and experiences businesses.
Previous wording
Depreciation and amortization increased 5%, or $0.1 billion, to $2.7 billion, driven by higher depreciation at Experiences and Entertainment, partially offset by lower amortization of intangible assets.
Current wording
Depreciation and amortization increased 5%, or $0.2 billion, to $4.1 billion, driven by higher depreciation at Experiences and Entertainment, partially offset by lower amortization of intangible assets.
Previous wording
Charges in the current period were$147 million for an impairment of our investment in A+E and$92 million for severance. Charges in the prior-year period were $143 million for impairment of goodwill in connection with the Star India Transaction and $109 million for content impairments.
Current wording
Charges in the current period were$959 million for impairments of our investment in A+E and$180 million for severance. Charges in the prior-year period were $185 million primarily for an impairment of our investment in Tata Play Limited, $143 million for impairment of goodwill related to Star India and $109 million for content impairments.
Previous wording
The decrease in interest expense was primarily due to lower average rates.
Current wording
The decrease in interest expense was due to lower average rates, partially offset by higher average debt balances.
Previous wording
Income from equity investees increased $22 million, to $150 million from $128 million, due to a lower loss from the India joint venture, partially offset by a decrease in income from A+E.
Current wording
Income from equity investees increased $30 million, to $233 million from $203 million, driven by a lower loss from the India joint venture, partially offset by a decrease in income from A+E.
Previous wording
The effective income tax rate was 29.9% in the current period compared to 10.4% in the prior-year period. Significant items impacting the change in the effective income tax rate included the following:
Current wording
The effective income tax rate was 27.2% in the current period compared to negative 20.4% in the prior-year period. Significant items impacting the effective income tax rate included the following:
Previous wording
•The current period included non-cash tax charges of approximately 6 percentage points in connection with the Fubo and NFL Transactions and an unfavorable impact of approximately 2 percentage points from adjustments related to prior years
Current wording
•The current period included an unfavorable impact of approximately 4 percentage points from non-cash tax charges in connection with the Fubo and NFL Transactions.
Previous wording
•The prior-year period included a favorable impact of approximately 16 percentage points from adjustments related to prior years and a non-cash tax charge of approximately 4 percentage points in connection with the Star India Transaction
Current wording
•The prior-year period included a favorable impact of approximately 33 percentage points from a non-cash tax benefit recognized upon a change in Hulu’s U.S. income tax classification and a favorable impact of approximately 12 percentage points from adjustments related to prior-year tax matters, partially offset by a non-cash tax charge of approximately 2 percentage points in connection with the Star India Transaction.
Previous wording
Certain Items Impacting Results in the Six Month Period
Current wording
Certain Items Impacting Results in the Nine Month Period
Previous wording
•Non-cash tax charges resulting from the Fubo and NFL Transactions of $307 million and $115 million, respectively
Current wording
•Non-cash tax charges resulting from the Fubo Transaction and NFL Transaction of $307 million and $115 million, respectively
Previous wording
•Restructuring and impairment charges of $252 million and a non-cash tax charge of $244 million
Current wording
•Restructuring and impairment charges of $437 million and a non-cash tax charge of $244 million, which was related to the Star India Transaction.
Previous wording
The Company’s businesses are subject to the effects of seasonality. Consequently, the operating results for the six months ended March 28, 2026 for each business segment, and for the Company as a whole, are not necessarily indicative of results to be expected for the full year.
Current wording
The Company’s businesses are subject to the effects of seasonality. Consequently, the operating results for the nine months ended June 27, 2026 for each business segment, and for the Company as a whole, are not necessarily indicative of results to be expected for the full year.
Previous wording
(1)Reflects fees paid by (a) the entertainment vMVPD services to the sports and entertainment linear networks for the right to air the networks on the Hulu Live TV and Fubo services and (b) the Entertainment segment to the Sports segment to program certain sports content on ABC Network and Disney+.
Current wording
(1)Reflects fees paid by (a) the entertainment vMVPD services to the sports and entertainment linear networks for the right to air the networks on the Hulu Live TV and Fubo services and (b) the Entertainment segment to the Sports segment to program certain sports content on ABC Network and Disney+. The increase in eliminations for the quarter and nine-month period was due to the Fubo and NFL Transactions.
Previous wording
Growth in subscription and affiliate fees was due to increases of 5% from higher effective rates, 5% from the Fubo Transaction, 1% from more subscribers and 1% from a favorable foreign exchange impact.
Current wording
Growth in subscription and affiliate fees was due to increases of 4% from the Fubo Transaction, 3% from higher effective rates, 3% from more subscribers and 1% from a favorable foreign exchange impact.
Previous wording
The decline in advertising revenue was due to decreases of 4% from lower rates and 3% from the Star India Transaction, partially offset by increases of 4% from higher impressions and 1% from the Fubo Transaction. Rates and impressions included an impact from less political advertising.
Current wording
The decrease in advertising revenue was attributable to a decrease of 4% from lower rates, partially offset by increases of 1% from more impressions and 1% from the Fubo Transaction.
Previous wording
The decrease in other revenue was attributable to the impact of our foreign exchange hedging program.
Current wording
The decrease in other revenue was attributable to the impact of our foreign exchange hedging program, partially offset by revenue increases including from higher intersegment allocations of revenues from the Experiences segment reflecting an increase in merchandise licensing royalties.
Previous wording
The increase in other operating expenses was primarily attributable to higher technology and distribution costs.
Current wording
The increase in other operating expenses was attributable to higher technology and distribution costs.
Previous wording
Income from equity investees decreased $16 million, to $108 million from $124 million, due to lower income from A+E attributable to decreases in advertising and affiliate revenues, partially offset by an increase in program sales income.
Current wording
Income from equity investees decreased $10 million, to $92 million from $102 million, due to lower income from A+E attributable to a decrease in advertising revenue.
Previous wording
(2)Charges in the current quarter were $147 million for an impairment of an equity investment and $69 million for severance. Charges in the prior-year quarter were due to content impairments.
Current wording
(1)Charges in the current quarter were$812 million for an impairment of our investment in A+E and$60 million for severance. Charges in the prior-year quarter were primarily for an impairment of our investment in Tata Play Limited.
Previous wording
(1)In the current quarter, amortization of intangible assets was$225 million and amortization of step-up on film and television costs was $64 million. In the prior-year quarter, amortization of intangible assets was $251 million and amortization of step-up on film and television costs was $66 million.
Current wording
(2)In the current quarter, amortization of intangible assets was$236 million and amortization of step-up on film and television costs was $64 million. In the prior-year quarter, amortization of intangible assets was $251 million and amortization of step-up on film and television costs was $66 million.
Previous wording
Growth in subscription and affiliate fees reflected increases of 6% from higher effective rates and 3% from the NFL Transaction, partially offset by a decrease of 3% from fewer subscribers.
Current wording
Growth in subscription and affiliate fees reflected increases of 5% from higher effective rates and 4% from the NFL Transaction.
Previous wording
Advertising revenue growth was due to an increase of 4% from higher rates.
Current wording
Advertising revenue growth was due to higher impressions.
Previous wording
The decrease in other revenue was primarily due to the comparison to Ultimate Fighting Championship (UFC) pay-per-view revenue in the prior-year quarter.
Current wording
The decrease in other revenue was primarily due to the comparison to Ultimate Fighting Championship (UFC) pay-per-view revenue in the prior-year quarter. Our UFC rights expired in December 2025.
Previous wording
Programming and production costs increased in the current period compared to the prior-year period primarily due to contractual rate increases and costs for new sports rights. These increases were partially offset by the absence of certain rights costs, primarily for UFC content, and the timing of rights costs recognition as a result of contract renewals. The renewals resulted in a decrease in NBA rights costs and an increase in college sports rights costs in the current period compared to the prior-year period. NBA rights costs shifted from the current period to the third quarter and college sports rights costs shifted from the prior-year fourth quarter to the current period.
Current wording
Programming and production costs increased in the current quarter compared to the prior-year quarter primarily due to contractual rate increases, costs for new sports rights and an impact from the timing of rights costs recognition as a result of the NBA contract renewal. These increases were partially offset by the absence of certain rights costs compared to the prior-year quarter, primarily for UFC content. The NBA contract renewal resulted in a shift of costs from the first half of the year to the third quarter.
Previous wording
Segment operating income decreased $35 million, to $652 million from $687 million, as an increase in revenues was more than offset by higher programming and production costs.
Current wording
Segment operating income decreased $179 million, to $858 million from $1,037 million, as an increase in subscription and affiliate fees was more than offset by higher programming and production costs.
Previous wording
Theme park admissions revenue growth was due to increases of 4% from higher average per capita ticket revenue and 1% from a favorable foreign exchange impact.
Current wording
Theme park admissions revenue growth was due to increases of 5% from higher average per capita ticket revenue and 3% from increased attendance.
Previous wording
Higher resorts and vacations revenue was attributable to increases of 7% from additional passenger cruise days, reflecting the launches of the Disney Destiny in November 2025 and the Disney Adventure in March 2026, and 2% from an increase in average daily hotel room rates.
Current wording
Higher resorts and vacations revenue was attributable to increases of 10% from additional passenger cruise days, 2% from an increase in average daily hotel room rates and 2% from higher occupied hotel room nights. The increase in passenger cruise days reflected the launches of the Disney Destiny in November 2025 and the Disney Adventure in March 2026.
Previous wording
Parks & Experiences merchandise, food and beverage revenue growth was due to increases of 2% from higher average guest spending, 2% from a favorable foreign exchange impact and 1% from volume growth.
Current wording
Parks & Experiences merchandise, food and beverage revenue growth was due to increases of 4% from volume growth and 3% from higher average guest spending.
Showing the first 40 of 79 pairs. Open the source sections for the rest.
Rearranged current paragraphs (3)
Current report — wording carried from elsewhere
Lower content sales revenue was due to a decrease of 8% from TV/VOD and home entertainment distribution revenue.
Current report — wording carried from elsewhere
Advertising revenue growth was due to higher rates.
Current report — wording carried from elsewhere
Programming and production costs increased in the current period compared to the prior-year period primarily due to contractual rate increases and costs for new sports rights, partially offset by the absence of certain rights costs, primarily for UFC content.
Rearranged previous paragraphs (7)
Previous report — wording carried elsewhere
Income from equity investees increased $21 million, to $57 million from $36 million, due to a lower loss from the India joint venture.
Previous report — wording carried elsewhere
•The prior-year quarter included a favorable impact of approximately 33 percentage points from the resolution of a tax matter
Previous report — wording carried elsewhere
•Resolution of a prior-year tax matter of $1,016 million
Previous report — wording carried elsewhere
Programming and production costs increased in the current quarter compared to the prior-year quarter due to contractual rate increases, costs for new sports rights and an impact from the timing of rights costs recognition as a result of contract renewals. These increases were partially offset by the absence of certain rights costs compared to the prior-year quarter, primarily for UFC content. The contract renewals resulted in an increase in college sports rights costs and a decrease in NBA rights costs in the current quarter compared to the prior-year quarter. College sports rights costs shifted from the prior-year fourth quarter and the first quarter to the current quarter and NBA rights costs shifted from the first half of the current year to the third quarter.
Previous report — wording carried elsewhere
Selling, general, administrative and other costs decreased $10 million, to $337 million from $347 million, due to the benefit from a comparison to the write-off of an investment in the prior-year quarter, partially offset by higher sales and marketing costs.
Previous report — wording carried elsewhere
Higher content sales revenue was due to an increase of 16% from theatrical distribution attributable to the performance of Zootopia 2, Avatar: Fire and Ashand Hoppersin the current period compared to Moana 2, Mufasa: The Lion King and Captain America: Brave New World in the prior-year period.
Previous report — wording carried elsewhere
The decrease in other revenue was attributable to the impact of our foreign exchange hedging program.