Disney Offers Profit Forecast

Walt Disney Co. expects profit from continuing operations to rise at least 30% in the current fiscal year and the ABC television network to return to profitability in fiscal 2005, Chief Financial Officer Thomas Staggs said Wednesday.

Analysts on average expect the Burbank-based company to report fiscal 2004 profit of 87 cents a share, according to Thomson First Call. That’s up 34% from the 65 cents a share that Disney earned in the fiscal year ended in September.

Staggs’ forecast, delivered at an investor conference in New York, is consistent with the company’s previous comments,” said Jeffrey Thomison, an analyst at Hilliard Lyons, who rates Disney shares “buy.”

Disney previously had declined to say when ABC, currently ranked fourth in total prime-time viewers, would make a profit. The company is relying on its cable networks to boost profit: Disney is renegotiating the contract between its ESPN sports channel with cable operator Cox Communications Inc.