Donald Duck poses with  Mickey Mouse during a Hollywood Walk of Fame unveiling ceremony, in Los Angeles, California August 9, 2004.(Reuters)

Net profits at media giant The Walt Disney Co. rose 20 percent in the second quarter, boosted mainly by increased attendance at its theme parks and growth at its cable networks.

Disney reported Tuesday that it earned $604 million, or 29 cents per share, for the quarter ended June 30, compared with $502 million, or 24 cents per share, in the same period last year.

Revenue climbed 17 percent to $7.471 billion from $6.377 billion in the same period last year.

The results beat expectations of analysts surveyed by Thomson First Call, who had expected earnings of 27 cents per share.

Disney warned that comparisons would be more difficult over the next two quarters, especially in light of fewer successful films compared to last year. But profits are still on track to increase by double digits through 2007 and Chief Financial Officer Thomas Staggs predicted record cash flow in 2005.

Some of that cash will be used to increase Disney's dividend and buy back shares , Staggs said.

Disney wrote off $56 million during the quarter related to the closing of many of its retail stores. More write-downs are a possibility as Disney negotiates a sale of the chain to The Children's Place, the company said.

Results were led by a 20 percent rise in operating income at its theme parks, primarily Walt Disney World in Florida, where attendance rose 20 percent during the quarter.

Attendance rose only 1 percent at the Disneyland Resort in Anaheim, Calif., after Disney decided to limit discounts. But per capita spending rose 8 percent in the quarter.

Disney's parks reported operating income of $421 million, compared to $352 million in the same period last year.

Income also rose 15 percent at Disney's media networks division to $673 million, which includes the still troubled ABC Television network as well as cable channels such as ESPN and the Disney Channel.

Profits at the Disney Channel could be squeezed next year as the company invests $100 million on 15 to 20 new animated shows designed to create new character franchises, Disney President and Chief Operating Officer Robert Iger said during a conference call with analysts.

Advertising revenue increased 32 percent at Disney's ABC Family cable channel and the addition of the WB's "Smallville" and "Gilmore Girls" to the fall schedule should boost earnings even further, Iger said.

(Agencies)

attendance : the act of being present（出席，到場）

cash flow: the excess of cash revenues over cash outlays in a give period of time（現金流轉）

dividend: that part of the earnings of a corporation that is distributed to its shareholders; usually paid quarterly（股息，紅利）

write off: concede the loss or worthlessness of something or somebody（注銷）