The company announced positive results for the last quarter, bolstered by the success of Toy Story 5 and its international releases, and revealed a new deal with TikTok to increase its slate of vertical content.
The Walt Disney Company announced its financial results for Q3, 2026, declaring revenues increased 7% to US$25.2 billion from US$23.7 billion in Q3 fiscal 2025. In addition, income before income taxes increased 14% to US$3.6 billion from US$3.2 billion, while total segment operating income increased 21% to US$5.6 billion from US$4.6 billion.
“Our strong fiscal Q3 results and reiterated full-year outlook reinforce our confidence that we are uniquely well positioned”, said the company in a letter to shareholders. “Decades of IP investment have built deep fan connections that translate into strong financial results. Our accelerating global guests growth at Experiences, Toy Story 5’s theatrical and consumer products success, and strong ESPN viewership gains all helped expand our consumer reach this quarter”.
“Together, our results show a unique ability to engage consumers at scale, both digitally and physically, even amid macro uncertainty”.
The company’s good quarter results were bolstered by the June 19 theatrical release of Toy Story 5, which has already surpassed US$1 billion in global box office, bringing the franchise’s lifetime global box office to more than US$4 billion. The film’s value also extends beyond the theatrical window. Its release further lifted the franchise on Disney+, which has over two billion hours streamed, while Toy Story merchandise helped deliver the company’s strongest quarter of year-over-year growth in Consumer Products revenue in 20 quarters.
The group also highlighted strong performances by The Devil Wears Prada 2, especially internationally; Star Wars: The Mandalorian and Grogu and live-action Moana.
On the direct-to-consumer front, the company celebrated the success of its international titles and announced a commitment to triple its investment in original production.
“Early success in our emerging international programming slate gives us confidence to further ramp investment. Rivals season 2 became the biggest EMEA region original premiere in the UK and Ireland on Disney+. The Perfect Crown became the most-watched Korean premiere on Disney+ globally to date. And Dear Killer Nannies is the #1 most viewed LATAM original premiere globally over the past year on Disney+”, the company said.
“Across the next three years we plan to roughly triple the number of local original series on Disney+ to drive new international users to the platform and reduce churn”.
The company unveiled success on the sports arena through ESPN: “We continue to bolster ESPN’s place as the front door for sports fans as we build out ESPN’s ‘marketplace of sports’, creating a single destination for fans. To date, we have relationships with the NFL, MLB, FOX One, and – launched just yesterday – the CW Network, where more than 800 annual hours of CW Sports will stream live on the ESPN app for viewers with an ESPN Unlimited subscription plan. We are encouraged that a growing number of subscribers are taking advantage of these options”.
Lastly, Disney announced a “first-of-its-kind” deal with TikTok, which will “will bring creators to the forefront of Disney+, with a curated feed of fan-created content featuring our characters and stories. The agreement brings a pipeline of creator content to Verts on Disney+, promotes discovery, and elevates creators through an ambassador program unique to Disney”.
