Walt Disney posted disappointing quarterly earnings Tuesday, as the media giant enjoyed huge box-office success but saw growth in its key media networks and parks segments fall short of estimates.
The company reported adjusted earnings of $1.36 per share on $12.97 billion in revenue for its fiscal 2016 second quarter. Its earnings per share missed analysts' estimates for the first time in five years. Still, adjusted EPS rose 11 percent from the prior-year period, while sales climbed 4 percent.
Analysts expected Disney to report earnings of $1.40 per share on $13.19 billion in revenue, according to a Thomson Reuters consensus estimate. Shares dropped about 6 percent in after-hours trading.
Disney also said it took a $147 million charge to cancel its sagging Infinity video game line and will focus only on licensing characters for games going forward. The company added that "lower results" for Infinity contributed to operating income in its consumer products and interactive media segment falling 8 percent year over year to $357 million.