The Walt Disney media company has moved to allay concerns over ESPN after confirming its Media Networks division, which houses the sports broadcaster, achieved better-than-expected revenue during the three months through to the end of September.
Disney’s Media Networks arm posted revenue of $1.8bn (€1.7bn) for the third quarter, which represents a rise of 27 per cent on the corresponding period last year.
Concerns had been raised over ESPN after the broadcaster last month confirmed that it is to cut around 300 jobs, which represents approximately four per cent of ESPN’s total workforce.
In August, Disney also reduced its television profit outlook due to a fall in subscribers for ESPN. The broadcaster receives money from US cable and satellite companies that carry its channels, and is the most expensive of all basic pay-television channels in the country.
Bob Iger (pictured), chief executive of Walt Disney, said that the third-quarter results will help allay fears over ESPN, stating that the media company remains “bullish” over the broadcaster.
“The fact remains that the industry did lose some [subscribers] last year,” Iger told business and financial news channel CNBC. “Now is that a reason to panic? Absolutely not. People still love television, they still love ESPN and they love live sports.”
News of year-on-year revenue growth within Disney’s Media Networks came as the company announced a partnership between the division and Sony Network Entertainment International, a subsidiary of Japanese global conglomerate Sony Group.
Under the agreement, Disney’s Media Networks will now feature on PlayStation Vue, a cloud-based live television service accessible via Sony’s PlayStation games consoles.
Channels to be made available through PlayStation Vue will include ESPN as well as ABC-owned local stations, Disney Channel, ABC Family and other networks. PlayStation Vue will also feature a library of video-on-demand content from both Disney and ESPN.