ITV

Tag: ABC Television Network

  • FY-2015: Disney revenue up 7.5%; net income up 11.7%

    FY-2015: Disney revenue up 7.5%; net income up 11.7%

    BENGALURU: The Walt Disney Company Inc reported 7.5 per cent YoY increase in consolidated revenue at $52,465 million for the year ended 3 October, 2015 (FY-2015, current year) as compared to the $48.813 million reported for the year ended 27 September, 2014 (FY-2014, previous year). Net income in the current year increased 11.7 per cent YoY to $8.382 million from $7,501 million.

     

    “We had a strong quarter, with adjusted EPS up 35 per cent, completing our fifth consecutive year of record performance. In Fiscal 2015 we delivered the highest revenue, net income and adjusted EPS in the Company’s history, reflecting the power of our great brands and franchises, the quality of our creative content, and our relentless innovation to maximize value from emerging technologies,” said Disney chairman and CEO Robert A Iger.

     

    For the quarter ended 3 October, 2015 (Q4-2015, current quarter), consolidated revenue increased 9.1 per cent YoY to $13.512 million as compared to $12,389 million in the quarter ended 27 September, 2014 (Q4-2014). Net Income in Q4-2015 increased 7.3 per cent to $1,609 million as compared to $1,499 million.

     

    Segment Results

     

    Four of the five Disney’s segments – Media Works, Parks and Resorts, Studio Entertainment and Consumer Products reported growth in revenue in FY-2015 and Q4-2015 as compared to FY-2014 and Q4-2014 respectively, while the fifth segment – Interactive – reported decline in revenues. However, all the five segments reported growth in segment operating income in the current year and quarter as compared to the previous year and year ago quarter respectively.

     

    Media Networks

     

    Media Networks revenue in FY-2015 increased 10 per cent to $23,264 million from $21,152 million in the previous year. Segment Operating income increased 6.4 per cent in the current year to $7,793 million as compared to $7,321 million in FY-2014.

     

    The segments revenue in the current quarter increased 11.7 per cent YoY to $5,286 million from $5,217 million. Operating income for the segment increased 26.6 per cent YoY to $1,819 million from $1,437 million.

     

    Disney says that Operating income growth at Media Networks was driven by higher affiliate fees, increased advertising revenue at ESPN and the ABC Television Network and higher operating income from program sales. These increases were partially offset by an increase in programming and production costs at ESPN and, to a lesser extent, the Disney Channels and the ABC Television Network.

     

    Two sub-segments contribute to Disney’s Media Networks – Cable Networks and Broadcasting.

     

    Cable Networks

     

    Cable Networks revenue in FY-2015 increased 9.7 per cent to $16,581million from $15,110 million in the previous year. Segment Operating income increased 4.9 per cent in the current year to $6,787 million as compared to $6,467 million in FY-2014.

     

    The sub-segments revenue in the current quarter increased 12.4 per cent YoY to $4,245 million from $3,776 million. Operating income for the sub- segment increased 29.8 per cent YoY to $1,655 million from $1,275 million.

     

    For Q4-2014, Disney says that Operating income at Cable Networks increased due to an increase at ESPN and, to a lesser extent, A&E Television Networks (A&E) and the Disney Channels. The increase at ESPN reflected higher affiliate and advertising revenues, partially offset by an increase in programming costs. Affiliate revenue growth was driven by contractual rate increases and an increase in subscribers. The increase in subscribers was due to a full quarter of the SEC Network, which launched in August 2014, partially offset by a decline in subscribers at certain of Disney’s networks.

     

    Growth in advertising revenue reflected higher units sold, partially offset by lower ratings. Higher programming costs reflected a full quarter for the SEC Network, additional rights for the US Open Tennis tournament and contractual rate increases for Major League Baseball and NFL rights, partially offset by the absence of rights costs for NASCAR.

     

    Higher equity income from A&E was due to lower programming and marketing costs, partially offset by lower advertising and affiliate revenue. The increase at Disney Channels was driven by higher affiliate revenues, partially offset by higher programming costs. Affiliate revenue growth reflected contractual rate increases domestically and subscriber growth internationally. The programming cost increase was driven by higher costs for original programming, including more hours of new series in the current quarter.

     

    Broadcasting

     

    Cable Networks revenue in FY-2015 increased 10.6 per cent to $6,683 million from $6,042 million in the previous year. Segment Operating income increased 17.8 per cent in the current year to $1,006 million as compared to $854 million in FY-2014.

     

    The sub-segments revenue in the current quarter increased 9.7 per cent YoY to $1,581 million from $1,441 million. Operating income for the sub-segment was flat YoY to $164 million from $163 million.

     

    For Q4-2014, Disney says that growth in advertising and affiliate revenue was offset by higher programming costs, lower operating income from program sales, an equity loss from Hulu and higher marketing costs for the fall season launch. The increase in advertising revenue reflected higher units sold, including the benefit of the extra week of operations, and higher rates. Affiliate revenue growth was due to contractual rate increases and new contractual provisions. Higher programming costs reflected the impact of an additional week of operations. Lower operating income from program sales was driven by an increase in cost amortisation and lower sales. Program sales reflected decreases for My Wife and Kids and America’s Funniest Home Videos, partially offset by the sale of How to Get Away with Murder in the current quarter. The equity loss from Hulu was due to higher content and marketing costs.

     

    Parks & Resorts

     

    Parks and Resorts segment revenue in the current year increased seven per cent to $16,162 million as compared to the $15,099 in FY-2014. Segment Operating income increased 13.8 per cent in the current year to $3,301 million as compared to $2,663 million in FY-2014.

     

    The segments revenue in the current quarter increased 10.1 per cent YoY to $4,361 million from $3,960 million. Operating income for the segment increased 7.4 per cent YoY to $738 million from $687 million.

     

    Growth at Parks and Resorts was driven by Disney’s domestic operations due to higher average guest spending, attendance and occupancy, partially offset by increased costs driven by inflation and volumes. Results at Disney’s international parks and resorts operations reflected lower attendance and occupancy at Hong Kong Disneyland Resort and higher pre-opening expenses at Shanghai Disney Resort.

     

    Studio Entertainment

     

    Studio Entertainment segment revenue in the current year increased 1.2 per cent to $7,366 million as compared to the $7,278 in FY-2014. Segment Operating income increased 27.4 per cent in the current year to $1,973 million as compared to $1,549 million in FY-2014.

     

    The segments revenue in the current quarter was flat (increased 0.3 per cent) YoY to $1,783 million from $1,778 million. Operating income for the segment more than doubled (2.09 times) YoY to $530 million from $254 million.

     

    At Studio Entertainment, operating income growth was due to a higher revenue share with the Consumer Products segment reflecting the success of Frozen merchandise, an increase in television distribution revenue and higher domestic theatrical results. This growth was partially offset by a decline in home entertainment units sold reflecting the success of Frozen in the prior year.

     

    For Q4-2015, Disney says that Operating income growth was due to increased TV/SVOD distribution results, lower film cost impairments, improved theatrical results and a higher revenue share with the Consumer Products segment. These increases were partially offset by lower home entertainment results.

     

    The increase in TV/SVOD distribution was driven by a lower average production cost amortisation rate, the timing of title availabilities in international pay and domestic free television markets as well as SVOD revenue growth internationally. Lower production cost amortisation reflected a higher sales mix of catalogue titles in the current quarter.

     

    Operating income growth in theatrical distribution was driven by the performance of Inside Out and Ant-Man in the current quarter compared to Guardians of the Galaxy, Maleficent and no Pixar title in the prior-year quarter. Theatrical distribution revenues were lower in the current quarter as the prior-year quarter also included Planes: Fire and Rescue and The Hundred-Foot Journey, whereas the current year included no Disney feature animation or DreamWorks titles in release. Increased revenue share was due to the performance of Frozen merchandise in the current quarter.

     

    The decrease in home entertainment was due to lower net effective pricing and unit sales reflecting the prior-year quarter performance of Frozen internationally and Marvel’s Captain America: The Winter Soldier worldwide, partially offset by Marvel’s Avengers: Age of Ultron and Cinderella in the current quarter. These decreases were partially offset by lower per unit costs as well as decreased marketing spending in the current quarter.

     

    Consumer Products

     

    Consumer Products segment revenue in the current year increased 12.9 per cent to $4,499 million as compared to the $3,985 in FY-2014. Segment Operating income increased 29.2 per cent in the current year to $1,752 million as compared to $1,356 million in FY-2014.

     

    The segments revenue in the current quarter increased 11.5 per cent YoY to $1,195 million from $1,072 million. Operating income for the segment increased 9.8 per cent YoY to $416 million from $379 million.

     

    Consumer Products operating income growth was due to higher merchandise licensing revenue reflecting the strength of Frozen, Avengers and Star Wars Classic merchandise.

     

    Interactive

     

    Interactive segment revenue in the current year reduced 9.6 per cent to $1,174 million as compared to the $1,299 in FY-2014. Segment Operating income increased 13.8 per cent in the current year to $132 million as compared to $116 million in FY-2014.

     

    The segments revenue in the current quarter reduced 4.1 per cent YoY to $347 million from $362 million. Operating income for the segment increased 72.2 per cent YoY to $31 million from $18 million.

     

    Interactive growth was driven by the ongoing success of the Tsum Tsum mobile game and lower product development and marketing costs, primarily at Disney’s mobile businesses, partially offset by lower operating income from Disney Infinity console games.

  • 10 Animated Shorts advance in Oscar Race, finale on 22 February next year

    10 Animated Shorts advance in Oscar Race, finale on 22 February next year

    NEW DELHI:  Ten animated shorts have been shortlisted by the Academy of Motion Picture Arts and Sciences today for the voting process for the 87th Academy Awards. 58 pictures had originally qualified in the category.

     

    The 10 films are listed below in alphabetical order by the title along with their production companies:

     

    1.      ‘The Bigger Picture’ director Daisy Jacobs and producer Christopher Hees. (National Film and Television School)

     

    2.      ‘Coda,’ director Alan Holly. (And Maps And Plans)

     

    3.      ‘The Dam Keeper’. Directors Robert Kondo and Dice Tsutsumi (Tonko House)

     

    4.      ‘Duet’. Director Glen Keane (Glen Keane Productions and ATAP)

     

    5.      ‘Feast’. Director Patrick Osborne and producer Kristina Reed (Walt Disney Animation Studios)

     

    6.      ‘Footprints’. Director Bill Plympton. (Bill Plympton Studio)

     

    7.      ‘Me and My Moulton’. Director Torill Kove (Mikrofilm in co-production with the National Film Board of Canada)

     

    8.      ‘The Numberlys’. Directors William Joyce and Brandon Oldenburg (Moonbot Studios)

     

    9.      ‘A Single Life’ Director Joris Oprins (Job, Joris and Marieke)

     

    10.  ‘Symphony No. 42’ Director Réka Bucsi (Moholy-Nagy University of Art and Design Budapest)

     

    The Academy’s short films and feature animation branch reviewing committee viewed all the eligible entries for the preliminary round of voting at screenings held in New York and Los Angeles. The branch members will now select three to five nominees from among the 10 titles on the shortlist.  Branch screenings will be held in Los Angeles, London, New York and San Francisco in December. The 87th Academy Awards nominations will be announced on 15 January in the Academy’s Samuel Goldwyn Theater.

    The Oscars will be held on 22 February at the Dolby Theatre at Hollywood and Highland Center in Hollywood, and will be televised live by the ABC Television Network. The Oscar presentation also will be televised live in more than 225 countries and territories worldwide.

  • 86th Oscars shifted to March to avoid clash with Winter Olympics

    86th Oscars shifted to March to avoid clash with Winter Olympics

    MUMBAI: The Academy of Motion Picture Arts and Sciences has announced that the 86th edition of the Academy Awards now known as Oscars will happen in March next year to avoid a clash with the closing ceremony of Winter Olympics in Russia.
     
    The 86th Oscars, which will be held on 2 March, 2014, would have clashed with closing ceremony of Winter Olympics in Russia had the organisers kept its traditional last-Sunday-of-February slot.
     
    The 87th Oscars will be back to its routine in 2015 and will happen on 22 February, 2015.
     
    The 86th and 87th Oscars ceremonies will be held at the Dolby Theatre at Hollywood & Highland Center in Hollywood, and will be televised live by the ABC Television Network.

  • Disney reports Q4 profit of $782 million

    Disney reports Q4 profit of $782 million

    MUMBAI: US media conglomerate Disney has reported a fourth-quarter net profit of $782 million, or 36 cents per share, compared with $379 million, or 19 cents per share, a year before.

    Disney’s revenue rose 14 per cent to $8.78 billion from last year’s $7.73 billion. Analysts expected a top line of $8.69 billion. Diluted earnings per share (EPS) for the fourth quarter increased 89% to $0.36, compared to $0.19 in the prior-year period, reflecting growth at studio entertainment, parks and tesorts, and media networks. For the year, EPS increased 34 per cent to $1.64, compared to $1.22 in the prior year, reflecting growth at each operating segment.

    Disney president and CEO Robert Iger says, “Disney had a spectacular year, posting record revenues, record net income, and record cash flow. It is a result of the incredible creativity at our company.” Media networks revenues for the year increased 11 per cent to $14.6 billion and segment operating income increased 12 per cent to $3.6 billion. For the quarter, revenues increased 10 per cent to $3.7 billion and segment operating income increased 18 per cent to $883 million.

    Operating income at cable networks increased $259 million to $3.0 billion for the year primarily due to growth at ESPN from higher affiliate and advertising revenues. Higher affiliate revenues were due to contractual rate increases and, to a lesser extent, subscriber growth while advertising revenue growth was driven by higher ratings and rates. The revenue increases at ESPN were partially offset by higher programming expenses primarily due to the new Major League Baseball (MLB) and National Football League (NFL) rights agreements and an additional NFL game.

    Increased costs for the ESPN branded mobile phone service, which the Company recently announced would be transitioned into its existing wireless licensing business, and higher general and administrative costs also impacted results for the year.

    For the quarter, operating income at cable networks increased $156 million to $854 million due to growth at ESPN. The increase at ESPN was driven by higher affiliate and advertising revenues and lower marketing expenses. Higher affiliate revenues were due to the recognition of increased deferred revenues and higher contractual rates. During the quarter, ESPN recognized $171 million of previously deferred programming commitment revenues compared to $84 million in the prior-year quarter.

    These increases in ESPN operating income were partially offset by the higher programming expenses from the new MLB and NFL rights agreements and the additional NFL game.

    Operating income at the broadcasting sector increased by $142 million to $606 million for the year driven by improved primetime performance at ABC and increased sales of Touchstone Television series, partially offset by higher costs at the Internet Group and radio, and the increased number and costs of pilot productions.

    The improved primetime performance at ABC was driven by higher ad rates, strong upfront sales, and continued strength in ratings, partially offset by higher programming expenses. The increase in sales at Touchstone were driven by higher international syndication revenues and DVD unit volumes of dramas Lost, Grey’s Anatomy and Desperate Housewives as well as higher license fees for Scrubs, which completed its fifth season on network television.

    Ad revenues for the year at broadcasting also benefited from the Super Bowl, however this revenue increase was essentially offset by related programming expenses.

    The cost increase at the Internet Group was primarily due to the launch of Disney branded mobile phone services as well as the costs of other new initiatives. Higher costs at Radio included an impairment charge related to FCC licenses, primarily at ESPN Radio, reflecting an overall market decline in certain radio markets in which we operate.

    However for the quarter, operating income at broadcasting decreased by $19 million to $29 million as improved performance at ABC and higher DVD unit sales of Touchstone Television series were more than offset by the increased costs associated with the roll-out of Disney branded mobile phone services and the FCC license impairment charge. The improved performance at ABC Television Network was driven by higher advertising rates, increased advertising spots from programming changes, and benefits from replacement programming for Monday Night Football, partially offset by the impact of lower ratings.

    On the film front revenues for the year decreased by one per cent to $7.5 billion and segment operating income increased from $207 million to $729 million. Operating income growth was primarily due to improvements in worldwide theatrical motion picture distribution and worldwide home entertainment.

    For the quarter, revenues increased by 33 per cent to $2 billion and segment operating income increased $527 million to $214 million. The increase in operating income was primarily due to improvements in worldwide theatrical motion picture distribution and worldwide home entertainment.

    The improvement in worldwide theatrical motion picture distribution for the year was primarily due to lower distribution costs resulting from fewer domestic Miramax releases and the performance of Pirates of the Caribbean: Dead Man’s Chest. Other successful current year titles included The Chronicles ofNarnia: The Lion, The Witch and The Wardrobe and Disney/Pixar’s Cars.

    Worldwide home entertainment growth for the year was primarily due to reduced marketing and trade programs, lower distribution costs driven in part by fewer returns, and improved margins from increased sales of television series DVD box sets, partially offset by a decline in unit sales resulting from a higher number of strong performing titles in the prior year. Significant current year titles included The Chronicles of Narnia: The Lion, The Witch and The Wardrobe, Cinderella Platinum Release, and Chicken Little, while prior-year titles included Disney/Pixar’s The Incredibles, National Treasure, Aladdin Platinum Release, and Bambi Platinum Release.

  • Walt Disney 2Q earnings climb 19 per cen

    Walt Disney 2Q earnings climb 19 per cen

    MUMBAI: Riding on the strong ratings success of ABC Network and cable channels shows coupled with the increased attendance at its theme parks, The Walt Disney Company’s profits in the second quarter have risen by 19 per cent.

    The company’s net income rose to $733 million from $657 million. Sales advanced 2.5 per cent to $8.03 billion in the period ended 1 April. Diluted earnings per share (EPS) for the second quarter increased 19 per cent to $0.37, compared to $0.31 in the prior year quarter. For the six months period, diluted EPS increased 16 per cent to $0.74 compared to $0.64 in the prior year period.

    “Disney’s ongoing commitment to creative and operational excellence is evident in our strong second quarter results. At the same time, the strategic initiatives we pursued during the quarter help position us for future creative success, new opportunities to reach consumers with our products, and long term value creation for our shareholders,” said the Walt Disney Company president and CEO Robert A Iger.

    The company’s Media Networks revenues for the quarter increased 18 per cent to $3.6 billion and segment operating income increased 20 per cent to $969 million driven by strong performance at broadcasting.

    The operating income at Cable Networks increased $41 million to $ 809 million for the quarter primarily due to growth at ESPN, which was driven by higher affiliate revenues from increased contractual rates. This increase was partially offset by higher revenue deferrals at ESPN, investments in ESPN branded mobile phone service, increased programming and production expenses and higher administrative costs at ESPN. ABC’s hit dramas such as Desperate Housewives and Grey’s Anatomy also help boost the network’s revenues.

    Revenue deferrals at ESPN increased by $31 million versus the prior year quarter due to new programming commitments in an affiliate contract and higher affiliate rates. Revenue deferrals for the six month period increased $137 million as compared to the prior six month period. Cable Networks also experienced modest profit growth at the Disney Channel and ABC Family.

    Broadcasting

    Operating income at broadcasting increased $122 million to $160 million for the quarter primarily due to improved performance at the ABC Television Network and Television Production and Distribution, partially offset by investments in new initiatives at the Internet Group.

    The growth at ABC Television Network was due to increased primetime advertising revenues resulting from strong upfront sales and continued strength in ratings. Ad revenues also increased due to the Super Bowl and the timing of Bowl Championship Series games, although this increase was essentially offset by related programming and production expenses. The increase at television production and distribution was driven by higher third party license fees for Scrubs, as this series entered its fifth season of network television, and increased international sales of Touchstone Television dramas.

    Parks and Resorts

    Parks and Resorts revenues for the quarter increased seven per cent to $2.3 billion and segment operating income increased 17 per cent to $214 million. Operating income growth at the resorts was due to increased theme park attendance, higher hotel guest spending and occupancy and strong sales at Disney Vacation Club.

    Studio Entertainment

    Studio Entertainment revenues for the quarter decreased 22 per cent to $1.8 billion and segment operating income decreased 39 per cent to $ 147 million. This was mainly because the company’s DVD releases have not sold well. “Lower segment operating income was due to a decline in worldwide home entertainment partially offset by increases in domestic theatrical motion pictures distribution and worldwide television distribution,” an official statement said.

    Consumer Products

    Consumer products revenues for the quarter decreased three per cent to $451 million and the operating income decreased eight per cent to $104 million. The decrease in operating income was driven by lower results at Buena Vista Games and Merchandise Licensing.