Disney has declared a cash dividend of $1 per share, a 33% increase over the 75 cent per share dividend paid to shareholders during fiscal year 2024.
The new dividend will be payable in two 50 cent per share installments on Jan. 16 and July 23, 2025 to shareholders of record as of Dec. 16, 2024 and June 24, 2025, respectively.
The move comes on the heels of Disney’s latest earnings report, which saw the company swing to a combined streaming profit of $321 million for its fiscal fourth quarter and $134 million for the full year.
Diluted earnings per share grew 79% to 25 cents for the quarter and more than doubled to $2.72 for the year. Excluding certain items, EPS grew 39% to $1.14 for the quarter and 32% to $4.97 for the year. Total revenue grew 6% to $22.6 billion for the quarter and 3% to $91.4 billion for the year.
Disney shares, which finished Wednesday’s trading session at $116.99 apiece, are up 27% in the past year and 29% year to date.
“It’s been a highly successful year for The Walt Disney Company, stemming from the extensive strategic work across the company to improve quality, innovation, efficiency, and value creation,” Disney CEO Bob Iger said in a statement. “With the company operating from a renewed position of strength, we are pleased to increase the dividend for shareholders while continuing to invest for the future and drive sustained growth through Disney’s world-class portfolio of assets.”
Disney expects high single-digit growth in adjusted EPS in fiscal 2025, which will accelerate to double-digit growth in 2026 and 2027. It also anticipates about $15 billion in cash in fiscal 2025, $8 billion in capital expenditures and $3 billion in stock repurchases.
The entertainment segment will post double-digit percentage growth for operating income, weighted to the first half of the year and driven by the timing of theatrical releases. Entertainment DTC expects to report an $875 million increase compared to the previous year, which includes an adverse impact from the India business of about $200 million. It also expects a “modest decline” of Disney+ core subscribers compared to Q4 2024. The content sales, licensing and other segment’s operating income for the first quarter of 2025 is expected to be relatively in-line with the fourth quarter.
Sports will grow operating income 13% for fiscal 2025, which includes an adverse impact of $636 million related to Star India. When excluding the India business impact, Disney expects a decrease of 10% due to key sports rights investments, including a new deal with the SEC and the shift of an additional NFL game into the year offset by advertising revenue growth.
For Experiences, Disney forecast growth of 6% to 8% in operating income, weighted to the second half of the year. The first quarter will include an adverse impact to segment operating income of $130 million due to hurricanes Helene and Milton and $90 million due to Disney Cruise Line pre-launch costs.
The growth for Experiences factors in a mix of pricing and attendance and the opening of rival Comcast’s Epic Universe theme park in May 2025.
In fiscal 2026, Disney also expects double-digit growth in cash and Entertainment segment operating income, and a 10% operating margin for its Entertainment DTC businesses, excluding Hulu + Live TV. The Sports segment will see a low single-digit increase in operating income, while Experiences will see a high single-digit increase.
