Just caught Disney's Q4 2025 earnings and they actually beat expectations pretty solidly. Revenue came in at $25.98B, up 5.2% year-over-year and above what analysts were looking for. Adjusted EPS hit $1.63, which is a nice 3.4% beat. The EBITDA numbers were especially strong at $6.25B—way above the $5.22B estimate. Stock popped 3.8% to $117.08 after the announcement.

What's interesting though is looking at the bigger picture. Over the last five years, Disney's revenue growth has been pretty modest at 9.5% CAGR. Recent two-year growth is even slower at 3.7%, which is concerning for a company of this size. The three segments—Entertainment (44.7% of revenue), Sports (18.9%), and Experiences (38.5%)—all grew, but at different rates. Experiences led with 5.4% annual growth, Entertainment around 4.2%, and Sports lagging at 1.3%.

On the profitability side, operating margins stayed stable at 17.7% for Q4, matching last year. But here's the thing—over the past two years, operating margins averaged only 15.1%, which is pretty low for a consumer discretionary company. That suggests cost management could be better. EPS-wise, the adjusted figure of $1.63 was down from $1.76 last year, though Wall Street is projecting full-year EPS of $5.80 next year, a 17.9% jump.

The company founded by Walt and Roy Disney has certainly evolved into a massive entertainment conglomerate with theme parks, streaming, sports networks, and films. Looking ahead, analysts expect 7.1% revenue growth, which is solid but still below sector averages. Overall, Q4 was a decent quarter with strong margins and beats on earnings, though the longer-term growth trajectory is something to keep an eye on. Free cash flow was negative at -$2.28B though, which is worth noting.