While everyone else looks at the big pictureThe Walt Disney (NYSE: DIS) Company runs into the economic version of the law of gravity, we've been waiting for a different set of numbers: Interactive Media, reporting as a segment for the first time and the results are mixed. Interactive Media revenues rose 13 percent to $313 million, but segment operating income dropped $58 million to a loss of $45 million.
The segment represents the Disney Interactive Media Group, headed by Disney digital vet Steve Wadsworth and formed last year by the integration of the Disney Interactive Group with video gaming unit Disney Interactive Studios, and "certain new business initiatives." The chief operating businesses are Disney Online and DIS. The company attributed the decrease "primarily" to a decline at Disney Interactive Studios " as higher sales volume was more than offset by an increase in unit cost of sales and higher marketing expenses in the current quarter." More to come.
By Staci D. Kramer