• Disney posted fiscal second-quarter earnings Wednesday that beat on the top and bottom lines.
• Results were boosted by better-than-expected subscriber growth for its Disney+ streaming platform. 
• The company upped some of its fiscal 2025 guidance and posted revenue growth in all three of its business segments.

posted fiscal second-quarter earnings Wednesday that beat on the top and bottom lines, boosted by better-than-expected subscriber growth for its Disney+ streaming platform. 

The company upped some of its fiscal 2025 guidance and posted revenue growth in all three of its business segments. It separately announced a

Shares of Disney gained about 10% in early morning trading Wednesday.

Disney, which had previously said it expected Disney+ subscribers to decline during the quarter, reported a 1.4 million increase in subscriptions to its flagship service, bringing its global base to 126 million. Wall Street had expected Disney to report 123.35 million Disney+ subscribers, according to StreetAccount. 

Disney expects a modest rise in these subscribers in its current quarter.

Revenue for its direct-to-consumer business rose to $6.12 billion, up 8% compared with the same period a year prior. Higher prices and increased subscriber numbers led to the growth, the company said.

Here is what Disney reported for the compared with what Wall Street expected, according to LSEG:

• Earnings per share: $1.45 adjusted vs. $1.20 expected
• Revenue: $23.62 billion vs. $23.14 billion

Disney now expects full-year adjusted EPS of $5.75, an increase of 16% compared with fiscal 2024. Previously, the company said it expected high-single-digit adjusted EPS growth.

Disney's net income for the most recent quarter increased to $3.28 billion, or $1.81 per share, up from a loss of $20 million, or a loss of 1 cent per share, during the same quarter last year.

Adjusting for one-time items, including the resolution of a tax matter, among other items, Disney reported earnings per share of $1.45. 

Disney's overall revenue was up 7% year over year to $23.62 billion.

Revenue for the entertainment segment – which includes the traditional TV networks, direct-to-consumer streaming and films – increased 9% year over year to $10.68 billion after a strong carryover from winter film titles.

While "Snow White" and "Captain America: Brave New World" underperformed, ticket sales from 2024 releases "Mufasa: The Lion King" and "Moana 2" buoyed content sales and licensing. 

Linear continued to drag on overall results, with revenue falling 13% to $2.42 billion.

Revenue for Disney's sports segment, made up primarily of ESPN, rose 5% to $4.53 billion on higher advertising revenue. The company aired three additional College Football Playoff games and one extra National Football League game during the quarter, leading to higher ad rates and viewership.

For fiscal 2025, Disney said Wednesday it expects its sports segment's operating income growth will be up 18% year over year, higher than the 13% growth it had previously forecast.

Over at its experiences business, which includes parks, cruises and resorts as well as consumer products, revenue rose 6% during the quarter to $8.89 billion.

Its domestic theme parks saw revenue rise 9% to $6.5 billion, while international park revenues dipped 5% to $1.44 billion.

The company attributed revenue gains to higher guest spend at its domestic parks and higher volumes on its cruise ships following the launch of the Disney Treasure.

Its consumer products division saw revenue up 4% to $949 million due to higher licensing revenue from the newly released video game Marvel Rivals.

This story is developing. Please check back for updates.