Disney reports higher Q3 profit on networks

LOS ANGELES (Reuters) - Walt Disney Co (DIS.N) on Wednesday posted an 8.5 percent rise in quarterly profit as a result of a strong performance by its media networks business, including sports network ESPN, as well as one-time gains.

Net income was $1.28 billion, or 66 cents per share, compared with $1.18 billion, or 57 cents per share, in last year's fiscal third quarter.

Revenue rose 2 percent to $9.24 billion from $9.05 billion a year earlier.

The company's earnings, excluding 4 cents in gains from the acquisition of the Disney Stores in North America, the sale of Movies.com, and the favorable resolution of certain prior-year income tax matters, beat Wall Street's average estimate of 61 cents per share, according to Reuters Estimates.

Disney shares ended the June quarter down 11 percent from quarterly highs of about $35, as investors worried about the effects of high fuel costs and economic pressures on consumers.

Shares of Disney were up at $32 in after-hours trade after closing at $31.67 on the New York Stock Exchange.

(Reporting by Gina Keating; Editing by Braden Reddall)