In Q4 2024, The Walt Disney Company delivered revenue of $22.57 billion and generated meaningful free cash flow despite a mixed profitability backdrop. Reported metrics show a top-line yield of 2.2% year over year with a gross margin of 36.96% and EBITDA of $2.765 billion, translating to an EBITDA margin in the low 12% range. Net income of $460 million produced a modest earnings per share of $0.25, underscoring a still‑fragile near‑term profitability profile as Disney continues heavy investments across its Parks, Experiences and Products segment and its direct-to-consumer platforms.
Cash generation remained a meaningful positive delta for the company. Operating cash flow was $5.52 billion, and free cash flow reached $4.03 billion in the quarter, supporting ongoing capital allocation toward content creation, park revitalization, and debt management. Disney closed the period with cash and cash equivalents of about $6.10 billion and total debt of $49.52 billion, resulting in a net debt position of roughly $43.52 billion. The balance sheet remained robust, with total assets near $196.22 billion and stockholders’ equity around $100.70 billion, providing a strong liquidity runway even as Disney sustains substantial capex and working capital investments.
From an market perspective, the stock trades at a multiple that reflects a cash‑flow heavy asset base and a multi‑year path to profitability in streaming, while benefiting from a diversified, globally recognized IP portfolio and a large, location‑based parks footprint. Management commentary in the quarter focused on advancing streaming monetization, maximizing Parks recovery, and leveraging IP franchises to drive cross‑segment growth. Investors should monitor progress toward sustainable streaming profitability, attendance trends in parks, content slate execution, and debt maturity management going forward.