Segment Information (Tables)

9 Months Ended

Jun. 29, 2024

Financial Information by Operating Segments

Segment revenues and segment operating income are as follows:

	Quarter Ended				Nine Months Ended
	June 29, 2024		July 1, 2023		June 29, 2024		July 1, 2023
Revenues:
Entertainment
Third parties	$	10,478	$	10,031	$	30,050	$	30,827
Intersegment	102		96		307		284
	10,580		10,127		30,357		31,111
Sports
Third parties	4,291		4,101		12,826		12,441
Intersegment	267		234		879		760
	4,558		4,335		13,705		13,201
Experiences	8,386		8,198		25,911		24,389
Eliminations	(369)		(330)		(1,186)		(1,044)
Total segment revenues	$	23,155	$	22,330	$	68,787	$	67,657
Segment operating income:
Entertainment	$	1,201	$	408	$	2,856	$	1,208
Sports	802		854		1,477		1,484
Experiences	2,222		2,297		7,613		7,195
Total segment operating income	$	4,225	$	3,559	$	11,946	$	9,887

Equity in the income of investees is included in segment operating income as follows:

	Quarter Ended				Nine Months Ended
	June 29, 2024		July 1, 2023		June 29, 2024		July 1, 2023
Entertainment	$	123	$	174	$	432	$	527
Sports	26		20		45		39
Experiences	—		—		—		(2)
Equity in the income of investees included in segment operating income	149		194		477		564
Amortization of TFCF intangible assets related to an equity investee	(3)		(3)		(9)		(9)
Equity in the income of investees, net	$	146	$	191	$	468	$	555

Equity In Income of Investees By Segment

Equity in the income of investees is included in segment operating income as follows:

	Quarter Ended				Nine Months Ended
	June 29, 2024		July 1, 2023		June 29, 2024		July 1, 2023
Entertainment	$	123	$	174	$	432	$	527
Sports	26		20		45		39
Experiences	—		—		—		(2)
Equity in the income of investees included in segment operating income	149		194		477		564
Amortization of TFCF intangible assets related to an equity investee	(3)		(3)		(9)		(9)
Equity in the income of investees, net	$	146	$	191	$	468	$	555

Reconciliation of Segment Operating Income to Income before Income Taxes

A reconciliation of segment operating income to income before income taxes is as follows:

	Quarter Ended				Nine Months Ended
	June 29, 2024		July 1, 2023		June 29, 2024		July 1, 2023
Segment operating income	$	4,225	$	3,559	$	11,946	$	9,887
Corporate and unallocated shared expenses	(328)		(295)		(1,027)		(854)
Restructuring and impairment charges(1)	—		(2,650)		(2,052)		(2,871)
Other income (expense), net(2)	(65)		(11)		(65)		96
Interest expense, net	(342)		(305)		(899)		(927)
TFCF and Hulu Acquisition Amortization(3)	(397)		(432)		(1,282)		(1,569)
Income (loss) before income taxes	$	3,093	$	(134)	$	6,621	$	3,762

(1)See Note 16 for a discussion of amounts in restructuring and impairment charges.

(2)“Other income (expense), net” for the quarter and nine months ended June 29, 2024 reflected a charge of $65 million related to a legal ruling. In the prior-year quarter and nine months ended July 1, 2023, the Company recognized a gain of $90 million and $169 million, respectively, on its investment in DraftKings, Inc. (DraftKings Gain), which was sold in the prior-year quarter. “Other income (expense), net” for the prior-year quarter and nine months ended July 1, 2023 also included a charge of $101 million related to a legal ruling.

(3)TFCF and Hulu Acquisition Amortization is as follows:

	Quarter Ended				Nine Months Ended
	June 29, 2024		July 1, 2023		June 29, 2024		July 1, 2023
Amortization of intangible assets	$	326	$	361	$	1,068	$	1,186
Step-up of film and television costs	68		68		205		374
Intangibles related to a TFCF equity investee	3		3		9		9
	$	397	$	432	$	1,282	$	1,569

Components of TFCF and Hulu Acquisition Amortization

TFCF and Hulu Acquisition Amortization is as follows:

	Quarter Ended				Nine Months Ended
	June 29, 2024		July 1, 2023		June 29, 2024		July 1, 2023
Amortization of intangible assets	$	326	$	361	$	1,068	$	1,186
Step-up of film and television costs	68		68		205		374
Intangibles related to a TFCF equity investee	3		3		9		9
	$	397	$	432	$	1,282	$	1,569