Walt Disney Co. (NYSE:DIS)

The analysis of the annual financial data reveals several notable trends and shifts over the examined periods.

Revenue Trends

Overall revenues have exhibited consistent growth, increasing from $65.4 billion in 2020 to $94.4 billion by 2025. This growth is driven primarily by services revenue, which rose steadily from approximately $59.3 billion to $84.6 billion, while products revenue demonstrated a more moderate increase from $6.1 billion to $9.8 billion.

Cost and Gross Profit Dynamics

Costs associated with both services and products also increased but at a slower pace compared to revenues, with total cost of revenues excluding depreciation and amortization growing from roughly $43.9 billion in 2020 to $58.8 billion in 2025. Consequently, gross profit improved significantly, rising from $21.5 billion to $35.7 billion, reflecting enhanced operational efficiency or potentially higher-margin revenue mix.

Operating Expenses and Income

Selling, general, administrative, and other operating expenses exhibited an upward trend, increasing from $12.4 billion in 2020 to $16.5 billion in 2025. Depreciation and amortization expenses remained relatively stable, fluctuating modestly around the $5 billion mark. Restructuring and impairment charges showed considerable volatility, peaking notably in 2023 and 2024 before declining sharply in 2025. Operating income improved dramatically from a loss of $1.9 billion in 2020 to a positive $13 billion in 2025, evidencing a strong turnaround and improved profitability at the operational level.

Non-operating Items and Interest

Other income and expenses, including gains from certain equity investments such as DraftKings and fuboTV, showed variability but generally had minimal aggregate impact. Interest expense increased slightly over time, reaching $1.8 billion in 2025, while interest and investment income fluctuated; net interest expense tended to decline moderately. Equity earnings from investees decreased from $651 million in 2020 to $295 million in 2025.

Income Tax and Net Income

Income taxes on continuing operations exhibited inconsistency, including some periods with tax benefits, with a notable tax income of $1.4 billion reported in 2025. Net income from continuing operations improved substantially from a loss of $2.4 billion in 2020 to a positive $13.4 billion in 2025. The net income attributable to the company’s shareholders followed a similar trajectory, recovering from a $2.9 billion loss in 2020 to a significant profit of $12.4 billion in 2025.

Discontinued Operations and Minority Interests

Losses from discontinued operations were minor and diminished to zero in the latter periods reported. Net income attributable to noncontrolling and redeemable noncontrolling interests fluctuated, increasing in magnitude in the most recent years, which slightly moderated the net income attributable to the parent company.

In summary, the data points to a sustained recovery and growth in revenues, especially driven by services, accompanied by improved gross and operating profitability. Expense management appears effective, despite rising SG&A costs, while significant improvements in operating income and net income suggest a successful execution of strategic initiatives and cost control measures over the period analyzed.