The entertainment giant recorded 7% revenue growth in Q3 FY26, with stronger streaming, theme park performance and franchise momentum supporting its results.
The Walt Disney Company has reported a strong third quarter for fiscal 2026, with revenue rising 7% year-on-year to $25.25 billion for the quarter ended June 27, 2026. The company attributed the performance to continued investment in its intellectual property (IP), growing streaming engagement and healthy demand across its Experiences business.
Disney’s segment operating income increased 21% to $5.56 billion, while income before taxes rose 14% to $3.65 billion. Adjusted diluted earnings per share climbed 28% to $2.06. Operating cash flow grew 33% to $4.87 billion, with free cash flow jumping 63% to $3.07 billion.
Across its divisions, Entertainment revenue increased 6% to $11.35 billion, while operating income surged 64% to $1.68 billion. Sports revenue rose 4% to $4.5 billion, although operating income declined 17%. Experiences delivered 10% revenue growth to $9.97 billion, with operating income up 20% to $3.02 billion.
Disney’s franchise strategy remained a key growth driver. Toy Story 5, released in June, crossed $1 billion globally, taking the franchise’s lifetime box office beyond $4 billion. The film also contributed to more than two billion hours of Toy Story content being streamed on Disney+ and helped drive the strongest year-on-year Consumer Products revenue growth in five years.
In India, Disney’s share of losses from its joint venture with Reliance Industries, JioStar, narrowed to $44 million from $50 million a year earlier.
For FY26, Disney expects adjusted EPS growth of approximately 12%, excluding the 53rd week, and plans to return at least $9 billion to shareholders through share buybacks.
