Disney games division reduces losses
As rest of group enjoys positive financials during second quarter
Disney's interactive media division, which houses its online and traditional gaming businesses, recorded a loss of $55 million for the quarter ended April 3, 2010, compared to the $61 million loss for the same period last year.
Revenues for the division were up to $155 million compared to $129 million in 2009, with higher subscriptions to social space Club Penguin offset by higher internet product development and sales and marketing costs.
Disney's Interactive Media Group includes online portals Club Penguin and Toontown Online, as well as console development studios Black Rock, Wideload, Junctions Point and Propaganda Games.
Outside of games, the Media Networks, Parks and Resorts, Studio Entertainment and Consumer Products divisions all recorded revenue gains during the quarter, with revenues across the entire business up to $8.6 billion compared to $8.1 billion, and profits at $953 million.
"The incredible box office performance of Disney’s Alice in Wonderland and acquisition of Marvel, whose Iron Man 2 has grossed $334 million in global box office in its first two weeks, clearly show the benefits of investing in high quality branded content," commented Robert A. Iger, President of The Walt Disney Company.
"With the economy showing signs of improvement, we're confident our strategy is the right one to provide consumers the best in entertainment while building long-term value for our shareholders."