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Disney Q4 Licensing Income Declines on Lower Star Wars, Cars Product Sales image

Disney Q4 Licensing Income Declines on Lower Star Wars, Cars Product Sales

Operating income at Disney’s Consumer Products and Interactive Media division fell 10% to $337 million in Q4 ended Sept. 30, due partly to a decline in licensing income tied to decreased sales of Star Wars- and Cars-related products and “lower minimum guarantee shortfall recognition.” The decreased revenue was partly offset by increased sales of Spider-Man related products.

Overall, Disney’s net income grew 33% to $2.3 billion on a 12% gain in revenue to $14.3 billion.  Studio Entertainment income more than doubled to $596 million from $218 million as revenue jumped 50% to $2.2 billion on strong box office revenue from Incredibles 2 and Ant Man and the Wasp.

Meanwhile, Disney has named its new streaming service that is due in late 2019, Disney Plus. The new service will launch with a Star Wars Rogue One prequel series that will star Diego Luna, who appeared in the 2016 film of the same name.

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