Disney ($DIS) Stock Soars: Streaming Wins & Theme Park Boom Fuel Q3 Earnings Surge

Mickey's money printer goes brrr—again.

Disney's Q3 earnings just dropped, and Wall Street's scrambling to adjust its mouse-ear-shaped projections. The House of Mouse posted serious gains, thanks to a one-two punch of streaming growth and theme park demand that refuses to die.

Streaming: Where the real magic happens

Disney+ isn't just surviving the streaming wars—it's carving out kingdoms. Subscriber numbers keep climbing while rivals bleed cash trying to keep up. No exact figures here, but let's just say Bob Iger's probably not losing sleep over Netflix's password-sharing crackdown.

Parks: Printing money since 1955

Those $15 churros? Worth every penny. Theme park revenue smashed expectations as families keep prioritizing 'core memories' over, say, retirement savings. Gen Z might kill cable, but they'll still queue 90 minutes for a Instagrammable ride photo.

The bottom line? Disney's proving old media can still dance—even if it's doing so wearing those awkward AR filter Mickey ears. Meanwhile, hedge funds suddenly remember why they bought this 'boring' blue chip back in 2022. How quaint.

TLDR

• Q3 EPS rose to $2.92; adjusted EPS beat expectations at $1.61
• Revenue increased 2% to $23.7 billion, slightly below estimates
• Disney+ and Hulu subs rose to 183 million, up 2.6 million from Q2
• Experiences segment led with $2.5 billion in income, up $294 million
• ESPN signed deals with the NFL and WWE to boost its future content portfolio

The Walt Disney Company (NYSE: DIS) reported strong earnings for its third fiscal quarter ended June 28, 2025. Shares were trading at $112.52, down 2.30% at midday on August 7th.

The Walt Disney Company (DIS)

The company posted earnings of $2.92 per share, compared to $1.43 last year. Adjusted EPS came in at $1.61, beating analyst estimates of $1.46. Revenue grew 2% to $23.7 billion, just shy of Wall Street’s $23.68 billion projection.

The Walt Disney Company, $DIS, Q3-25. Results:

📊 Adj. EPS: $1.61 🟢
💰 Revenue: $23.7B 🔴
📈 Net Income: $5.3B
🔎 Streaming turnaround continues with Direct-to-Consumer segment swinging to $346M profit and Disney+ + Hulu subs hitting 183M. pic.twitter.com/j6XPmobp2v

— EarningsTime (@Earnings_Time) August 6, 2025

Streaming Business Turns Profitable

Disney’s direct-to-consumer segment, which includes Disney+ and Hulu, posted operating income of $346 million, a sharp turnaround from a $19 million loss a year earlier. Revenue ROSE 6%. Total Disney+ and Hulu subscriptions reached 183 million, up 2.6 million from Q2. Disney+ counted 128 million subscribers, a 1.8 million increase over the previous quarter.

While domestic Disney+ subscribers remained flat, international subscriptions rose 2%. For Q4, Disney expects more than 10 million new subscribers, mainly from Hulu’s Charter deal. The company will stop reporting individual subscriber numbers starting fiscal 2026.

ESPN Scores NFL and WWE Deals

ESPN signed two major nonbinding agreements, signaling a new phase in its direct-to-consumer shift. The NFL will sell its NFL Network, NFL Fantasy, and RedZone rights to ESPN in exchange for a 10% equity stake. A second agreement gives ESPN rights to NFL content and IP.

In another deal, ESPN will become the exclusive U.S. home of all WWE Premium Live Events, including WrestleMania and SummerSlam, starting in 2026. These moves expand ESPN’s streaming appeal and solidify its position in sports entertainment.

Parks and Experiences Drive Growth

The Experiences division earned $2.52 billion in operating income, up 13%. Domestic parks rose 22% to $1.7 billion, while international park income fell 3%. The quarter benefited from $40 million related to Easter holiday timing and faced $30 million in pre-opening cruise line expenses. Disney also plans to build a seventh theme park in Abu Dhabi.

Guidance and Succession Plans

Disney raised its full-year adjusted EPS forecast to $5.85, up from $5.75. The company projects double-digit growth for the entertainment segment and 18% growth for sports. A $200 million equity loss from the India JV and $185 million in cruise pre-opening costs are expected.

CEO Bob Iger, set to stay until the end of 2026, said succession planning is underway. Internal candidates include ESPN’s Jimmy Pitaro, Parks Chair Josh D’Amaro, and Disney Entertainment co-chairs Alan Bergman and Dana Walden.