Disney Raises Profit Outlook Amid Streaming Gains and Linear TV Declines

Disney's fiscal third-quarter earnings surpassed expectations, buoyed by robust performance in domestic parks and a turnaround in streaming profitability. The company lifted its full-year profit forecast to $5.85 per share, exceeding Wall Street estimates.

Linear television declines dampened investor sentiment, with shares dipping 2% in pre-market trading. ESPN's preliminary deal to acquire key NFL Media assets—including NFL Network and RedZone—signals strategic moves to bolster content offerings ahead of its standalone service launch in August.

Analysts view ESPN's streaming debut as a catalyst for future bundling opportunities with Disney+ and Hulu, as the industry grapples with subscriber retention. The NFL equity swap and content licensing agreement underscore Disney's push to dominate sports media.