Disney Home Entertainment Hardly 'Frozen'5 Aug, 2014 By: Erik Gruenwedel
Retail release of animated hit helps studio double quarterly profit to $411 million
THe animated movie Frozen is the gift that keeps on giving.
The Walt Disney Co. Aug. 5 credited the title with helping the Walt Disney Studios double third-quarter (ended June 28) net income to $411 million, compared with net income of $201 million during the prior-year period.
Studio revenue increased 14% to $1.8 billion despite lower domestic theatrical results from Captain America 2: The Winter Soldier, Maleficent and Million Dollar Arm in the current quarter compared with Iron Man 3, Wreck-It Ralph, Oz the Great and Powerful and Monsters University in the prior-year quarter.
The increase in worldwide home entertainment was driven by lower per unit costs, higher net effective pricing and unit sales growth reflecting the success of Frozen.
The movie, which generated $1.27 billion at the global office and $400.7 million domestically, also helped spike Disney Consumer Products operating income 25% to $273 million on revenue of $902 million. The unit is headed by former home entertainment executive Bob Chapek.