Written by The Business Journal Staff
(AP) — Disney reported quarterly earnings Tuesday that fell short of forecasts, and announced it is discontinuing its Disney Infinity line of video games.
The company based in Burbank, California, said it had second-quarter earnings of $2.14 billion, or $1.30 per share. Earnings, adjusted for non-recurring costs, came to $1.36 per share.
The adjusted results, which exclude the $147 million charge — or 6 cents per share — for shutting the Infinity division down, fell short of Wall Street expectations. The average estimate of 11 analysts surveyed by Zacks Investment Research was for earnings of $1.40 per share.
The entertainment company posted revenue of $12.97 billion in the period, also falling short of Street forecasts. Six analysts surveyed by Zacks expected $13.26 billion. Analysts were expecting better performance at the parks and in the consumer products division that houses the Infinity line.
Disney shares tumbled 6 percent in after-hours trading after the results were released, taking them into negative territory for the year.