Walt Disney Co.'s (DIS) fiscal fourth-quarter net income fell 13% as earnings declined at its media, movie and theme-park operations.
"This is clearly a difficult and unpredictable time and, while our businesses aren't immune, the strength of our assets, brands, and management team positions us well for the long term," said President and Chief Executive Robert A. Iger.
For the quarter ended Sept. 27, the media and entertainment giant reported net income of $760 million, or 40 cents a share, down from $877 million, or 44 cents a share, a year earlier. Excluding bad-debt charges and year-ago tax gains, earnings rose to 43 cents a share from 42 cents.
Revenue climbed 6% to $9.45 billion.
A Thomson Reuters analyst survey projected per-share earnings of 49 cents on revenue of $9.34 billion.
In after-hours trading, Disney shares were down 1.9% to $22.87.
Profits fell 42% in the studio-entertainment division, which books movie box- office receipts and sales of DVDs, while revenue fell 5%. The results reflected fewer movies being released in the U.S. and increased marketing expenses for releases after the end of the quarter, including the hit "Beverly Hills Chihuahua."
Earnings in the media-network segment, made up of the ABC broadcast network and cable channels fell 4%, while revenue rose 4%. Earnings rose 11% at the cable networks, while the broadcasting loss widened to $150 million as a result of weakness at the ABC network and advertising woes at Disney's television stations.
Profits in the theme parks and resort business fell 4% as revenue rose 7%. The U.S. operations suffered higher costs for labor and other items. Spending at Disney's theme parks held up in the first half of the year despite the economic slowdown, but the rise of prices for airline tickets and gasoline over the summer led analysts to take a dimmer view of Disney's prospects.