Disney beats forecasts as streaming struggles improve

NEW YORK - Disney on Wednesday reported higher than expected profit in the final three months of last year as it strives to adapt to a shift from television to streaming.

During the earnings announcement, Disney chief Robert Iger also revealed that the entertainment giant is acquiring a "small equity stake" in Fortnite-maker Epic Games, and will release a sequel to its high-grossing animated film "Moana".

Iger also boasted that Disney+ streaming service will be the exclusive online stage for Taylor Swift's recent concert film starting on March 15.

"Audiences are going to absolutely love the chance to relive the electrifying Taylor Swift Eras tour whenever they want," Iger said of bringing it to Disney+.

Disney is looking to tap into the passion for video games in general and "Fortnite" in particular with a $1.5-billion stake in Epic, according to Iger.

The plan is to integrate Disney storytelling into Fortnite, and expand the franchise into its theme parks and merchandise, Iger said on an earnings call.

The entertainment giant reported a net income of $2.15-billion on revenue of $23.5-billion, about the same amount of money it brought in during the same quarter a year earlier.

"Our strong performance this past quarter demonstrates we have turned the corner and entered a new era," Iger said.

He added that Disney is focused on "building streaming into a profitable growth business, reinvigorating our film studios, and turbocharging growth in our parks and experiences."