Driven by strong performance in its Studio Entertainment and Parks & Resorts segments, the Walt Disney Company reported a 9 percent revenue gain to $14.5B and a 23% increase in net income to $2.9B in Q2 ended March 31.

For its Consumer Products & Interactive Media division, revenue increased 2% to $1.1 billion but operating income decreased 4% to $354 million as “higher income from licensing activities was more than offset by a decrease in comparable retail store sales and an unfavorable foreign currency impact.”
Licensing revenue was helped by “higher minimum guarantee shortfall recognition and increased sponsorship revenue, partially offset by a decrease in settlements and lower licensing revenue from sales of merchandise and games. Higher minimum guarantee shortfall recognition was due to a favorable timing impact. Shortfalls are generally recognized at the end of the contract period. For contracts that ended on December 31, shortfalls were recognized in the second quarter of the current year whereas they were recognized in the first quarter of the prior year.”

Black Panther was the star of the Studio Entertainment operation, where revenue rose 21% and operating income jumped 29%. Quarterly results for Parks & Resorts, where revenue was up 13% and operating income rose 27%, were helped by an earlier Easter, and by “increased guest spending, attendance growth at Walt Disney World Resort and higher sponsorship revenue.” Guest spending was boosted by higher average ticket prices, average room rates and food, beverage and merchandise spending.