Streaming Profits Are Up 72% Yet Disney Shares Are Down 17% This Year
Briefly

Streaming Profits Are Up 72% Yet Disney Shares Are Down 17% This Year
"Walt Disney posted $25.98 billion in Q1 FY2026 revenue, beating estimates and delivering $450 million in streaming operating income, up 72% year-over-year. Experiences revenue hit a record $10.01 billion, with domestic per capita spending up 4%."
"Free cash flow came in at -$2.28 billion, a swing of -408% year-over-year, driven largely by accelerated tax payments tied to California wildfire relief."
"Social sentiment for Disney dropped sharply, with the proprietary Reddit sentiment score falling from 46 to as low as 22, primarily due to posts alleging Bob Iger's involvement in the Epstein files."
Walt Disney achieved $25.98 billion in Q1 FY2026 revenue, surpassing estimates and generating $450 million in streaming operating income, a 72% increase year-over-year. Experiences revenue reached a record $10.01 billion, with domestic spending up 4%. However, free cash flow was -$2.28 billion due to accelerated tax payments. Social sentiment around Disney declined sharply, driven by controversy surrounding former CEO Bob Iger's alleged connection to the Epstein files, overshadowing earnings discussions. The sentiment score fell significantly on Reddit, reflecting investor concerns.
Read at 24/7 Wall St.
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