Reuters Right Now: Disney has to work on its studios
Wednesday, February 06, 2013 - 01:26
Reuters LA Bureau Chief Ron Grover says Disney's studio revenues do not look great and helped drag down overall profits.
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Pat -- is Ron Grover in Los Angeles Disney reported its earnings today. And they were down as expected they told the street basically that there are gonna get hit by higher programming costs and sports unit at ESP and and that they're gonna get hit with a bunch of other things like some timing issues of when holidays fell and and things like that. The problem is the studio numbers still don't look great yes they told the street. That the studio numbers were -- particularly great but earnings were off by about 5% that's a lot for the studios studio didn't do that spectacularly last time around. And so so the issue is can they get the studio up and running -- It has been at least for the last quarter or two they had been in the studio management. They just acquired Lucas films. They said in their earnings call that they can start making films. In addition to Star Wars from Lucas films so there there really is trying to beef up where they hand this quarter coming forward -- Lincoln have and I don't do particularly well for them have a couple of animated films but they have to prove. That's studios backward needs to be they have leadership and I think. That's there mission for the next -- next few weeks next few months quarters perhaps. The good thing for them as they did a great job -- Morton street to these numbers would be off. As resolved after hours trading stock is up by about 1% that doesn't happen too often when you. When you when you record earnings that are down. It is Ron Grover Los Angeles bureau chief thank you.
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