THE WALT DISNEY CO. REPORTS RESULTS
THE WALT DISNEY CO. REPORTS RESULTS BURBANK, Calif., Nov. 14 /PRNewswire/ -- The Walt Disney Company
(NYSE: DIS) today reported lower earnings for both the fourth quarter and fiscal year ended Sept. 30, 1991.
For the quarter, revenues were $1,739,356,000, a 2 percent increase over $1,712,266,000 for the comparable prior-year period. Earnings per share declined 24 percent to $1.31 from $1.72 reported a year ago, and net income decreased 25 percent to $174,054,000 from $232,662,000. For the fiscal year, revenues rose to $6,182,353,000, a 6 percent increase over $5,843,689,000 for the comparable prior-year period. Earnings per share declined 20 percent to $4.78 from $6.00 reported a year ago, and net income dropped 23 percent to $636,608,000 from $824,005,000. Earnings per share for both the quarter and fiscal year benefited from a lower number of shares outstanding. Operating income declined 19 percent to $323,303,000 compared to $397,005,000 for the quarter and 18 percent to $1,164,901,000 from $1,425,509,000 for the fiscal year. In a joint statement, Michael D. Eisner, chairman and chief executive officer, and Frank G. Wells, president and chief operating officer, said that the company's results reflected lower levels of domestic travel and tourism caused by the current economic recession and the Gulf War in the spring. For the quarter, revenues for the Theme Parks and Resorts segment declined 3 percent to $810,893,000 compared to $831,788,000 in the prior year, and operating income decreased 29 percent to $171,115,000 compared to $242,294,000 a year ago. For the fiscal year, revenues declined 5 percent to $2,864,728,000 from $3,019,569,000. Operating income decreased 31 percent to $616,955,000 compared to $889,306,000 a year ago. Continued lower attendance at the theme parks, decreased occupancy rates at the resorts and costs resulting from development and expansion were the primary factors in lower operating results for the quarter and fiscal year. Revenues for the Filmed Entertainment segment were up 2 percent at $737,012,000 for the quarter compared to $722,020,000 in the prior year. Operating income decreased 4 percent for the quarter to $100,852,000 compared to $104,646,000 a year ago. For the fiscal year, revenues rose 15 percent to $2,593,651,000 from $2,250,343,000. Operating income increased 2% to $318,119,000 from $313,000,000 a year ago. Revenues for the quarter and fiscal year reflected growth in both international and domestic home video markets. Increased television revenues reflected the growth of the Disney Channel along with increased activity in network television, pay television and international syndication. Operating income for the quarter and fiscal year benefited from the highly successful library releases of "Robin Hood" in the domestic home video market and "101 Dalmatians" in the domestic theatrical market. Results for the fiscal year also reflected the successful domestic home video library release of "Jungle Book." The weak domestic theatrical performances of certain releases during the quarter and fiscal year influenced operating results. Revenues for the Consumer Products segment rose 21 percent to $191,451,000 for the quarter from $158,458,000 in the prior year. Operating income increased 3 percent for the quarter to $51,336,000 compared to $50,065,000 a year earlier. For the fiscal year, revenues rose 26 percent to $723,974,000 from $573,777,000, and operating income increased 3 percent to $229,827,000 from $223,203,000. Most Disney consumer products businesses worldwide continued to show sound revenue growth. However, continuing weakness in the U.S. retail sector and the U.S. economy as a whole, combined with start-up costs associated with new business initiatives, had a substantial impact on results for the quarter and fiscal year. The expansion of The Disney Stores, which have a lower margin, contributed to the expected decline in operating margins. Increased corporate general and administrative expenses reflected the start-up costs and operating losses for Hollywood Records. Results are as follows: Quarter Ended September 30, 1991 1990 (unaudited) Revenues $1,739,356,000 $1,712,266,000 Net income $174,054,000 $232,662,000 Earnings per share $1.31 $1.72 Average shares outstanding 133,258,000 135,431,000 Fiscal Year Ended September 30, 1991 1990 (unaudited) Revenues $6,182,353,000 $5,843,689,000 Net income $636,608,000 $824,005,000 Earnings per share $4.78 $6.00 Average shares outstanding 133,167,000 137,238,000 -0- 11/14/91 /CONTACT: Tom Deegan of The Walt Disney Co., 818-560-1572/ (DIS) CO: The Walt Disney Co. ST: California IN: ENT SU: ERN CH -- LA030 -- 1213 11/14/91 17:00 EST
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|Date:||Nov 14, 1991|
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