Disney posted a fiscal third-quarter profit that sailed past Wall Street expectations, with operating income up 21% to $5.6 billion for the three months ended June 2026. Revenue reached $25.2 billion, a 7% rise year-over-year. Adjusted earnings per share came in at $2.06, up from $1.61 a year earlier — well ahead of the $25.48 billion revenue consensus analysts had pencilled in before the August 5 report (Deadline; Yahoo Finance).

This was Josh D'Amaro's first full quarter as CEO. He took the reins from Bob Iger in March 2026 and has spent the months since outlining his strategic priorities on earnings calls and at the annual shareholders meeting, where he teased Toy Story 5 as "a brand-new story" (Disney corporate). The film opened theatrically on June 19, 2026, and has since surpassed $1 billion in global box office (Deadline).

Disney's Entertainment division — which houses the film studios and the streaming business — posted profit of $1.7 billion, up 64% on revenue of $11.3 billion. Inside that, the streaming operation (what the trade calls SVOD, meaning subscription video on demand) more than doubled its operating income to $712 million from $329 million a year ago, on revenue of $5.5 billion, up 11% (Deadline).

For anyone with a Disney+ subscription, the company laid out two forward-looking plans. It intends to triple the number of Disney+ local original series — shows commissioned specifically for individual markets rather than dubbed or subtitled US content — over the next three years. And it expects to begin introducing elements of a broader "Disney+ membership ecosystem" vision in Spring 2027, a phrase that points toward tying the streaming service more tightly to other parts of the company (Deadline).

Two structural shifts also surfaced in the report. Disney is moving its consumer products business — the licensing of toys, apparel and merchandise — out of the Experiences division (parks and resorts) and under Studios, where it will sit alongside the film and television operations that create the characters those products are based on. The company also plans to sell its 50% stake in A+E Global Media to an affiliate of Hearst, its co-owner, for $1.2 billion in cash, exiting a cable-channel joint venture that traces back decades (Deadline).

The quarter's results follow a steadier fiscal second quarter and a mixed fiscal first quarter, when revenue rose 5% to $26.0 billion but diluted EPS slipped to $1.34 from $1.40 (Disney Investor Relations). What stands out this time is the breadth: box office, streaming profitability and an operating-income beat all landing in the same three months, under a CEO still in his first year.

For viewers, the practical effects are on the way. More locally commissioned Disney+ series mean more shows made in and for specific markets — not just American content with subtitles. The consumer-products reorganisation could change which division greenlights merchandise tied to a given film or show. And whatever the "membership ecosystem" turns out to be in Spring 2027, it will be designed to make a Disney+ account do more than stream video.