Disney's 'Toy Story 5' fuels streaming business and merchandise sales for June quarter

Disney's Parks and experiences division reported revenue of nearly $10 billion, up 10% from a year ago, fueled by a 4% increase in attendance at its theme parks, globally, and a 3% increase at its domestic parks.

Analysts had expressed concern about Disney's U.S. parks, after Comcast attributed softening attendance trends at its Universal theme parks in Orlando to higher fuel prices and weaker consumer sentiment.

Operating income for the experiences segment rose to $3 billion, a 20% gain from a year ago, in part reflecting a $100 million tariff refund it received earlier in the quarter. The U.S. Treasury Department has been issuing refunds after the U.S. Supreme Court struck down President Donald Trump's global tariffs as illegal.

Disney's Entertainment group reported $11.3 billion in revenue for the quarter, a gain of 6% from a year earlier, reflecting the performance of "Toy Story" and a 15% increase in subscription fees for the company's Disney+ and Hulu streaming services. Segment operating income rose 64% to nearly $1.7 billion.