An unexpected, but significant, loss marks the Disney Interactive Media Group’s second quarter financial statements, and it’s dragged its parent company earnings down with it.
While revenue for Disney Interactive Studios increased by 3%, year-on-year, bringing Q2 earnings up from $155 million to $159 million, this wasn’t enough to cancel out the massive losses in operating income. Last year, Q2 reported a $55 million loss. This year, that more than doubled to $115 million.
These losses, Disney explained to Gamasutra are largely thanks to the acquisition of developer Playdom, in a deal worth nearly $600 million.
Looking toward the future, Disney CEO Bob Iger is anticipating profitability in 2013, but explains that it is still “a work in progress”.