Disney vs McDonald's: Revenue, Profit and Business Model
Disney reported $94.4B of revenue in FY2025 and $12.4B of net income. McDonald's reported $26.9B of revenue in FY2025 and $8.6B of net income.
Latest financial snapshot
Disney
- Latest revenue
- $94.4B (FY2025)
- Net income
- $12.4B
- Net margin
- 13.1%
- Revenue growth
- +7.0% a year, FY2017–FY2025
McDonald's
- Latest revenue
- $26.9B (FY2025)
- Net income
- $8.6B
- Net margin
- 31.9%
- Revenue growth
- +1.0% a year, FY2016–FY2025
Financial summary
Disney
Disney's fiscal 2025 (ended September 27, 2025) revenue rose 3% to $94.4 billion, net income was $12.4 billion and adjusted EPS increased 19% to $5.93. Total segment operating income rose 12% to $17.6 billion, led by a record $10.0 billion from Experiences. Streaming became a reliable profit contributor after years of losses. In fiscal Q3 2026 (ended June 27, 2026), revenue grew 7% to $25.25 billion, Experiences revenue rose 10% to $9.97 billion, entertainment streaming revenue rose 11% to $5.53 billion, and adjusted EPS climbed to $2.06 from $1.61. Management guided to $9 billion of fiscal 2026 capital spending, about $24 billion of content investment and at least $9 billion of share repurchases.
McDonald's
McDonald's corporate revenue ($26.885 billion in 2025, up 3.7%) is a fraction of the roughly $139 billion that customers spend across the system, because franchised restaurant sales are not booked as company revenue. What the company does book is mostly franchise rent and royalties, which explains net income of $8.563 billion in 2025 and operating margins well above typical restaurant operators. In Q2 2026, revenue rose 4% (2% in constant currency) to about $7.1 billion, diluted EPS was $3.32 ($3.38 adjusted), and systemwide sales grew 5% to $37 billion. The company returns most free cash flow through dividends, which it has raised every year since 1976, and share buybacks.
Revenue and profit by year
Disney
| Year | Revenue | Net income | Margin | Growth | Source |
|---|---|---|---|---|---|
| FY2025 | $94.4B | $12.4B | 13.1% | +3.4% | Source |
| FY2024 | $91.4B | — | 0.0% | +2.8% | Source |
| FY2023 | $88.9B | — | 0.0% | +7.5% | Source |
| FY2022 | $82.7B | — | 0.0% | +22.7% | Source |
| FY2021 | $67.4B | — | 0.0% | +3.1% | Source |
| FY2020 | $65.4B | — | 0.0% | -6.1% | Source |
| FY2019 | $69.6B | — | 0.0% | +17.1% | Source |
| FY2018 | $59.4B | — | 0.0% | +7.8% | Source |
| FY2017 | $55.1B | — | 0.0% | — | Source |
McDonald's
| Year | Revenue | Net income | Margin | Growth | Source |
|---|---|---|---|---|---|
| FY2025 | $26.9B | $8.6B | 31.9% | +3.7% | Source |
| FY2024 | $25.9B | $8.2B | 31.7% | +1.7% | Source |
| FY2023 | $25.5B | $8.5B | 33.2% | +10.0% | Source |
| FY2022 | $23.2B | $6.2B | 26.6% | -0.2% | Source |
| FY2021 | $23.2B | $7.5B | 32.5% | +20.9% | Source |
| FY2020 | $19.2B | $4.7B | 24.6% | -10.1% | Source |
| FY2019 | $21.4B | $6B | 28.2% | +0.5% | Source |
| FY2018 | $21.3B | $5.9B | 27.9% | -6.8% | Source |
| FY2017 | $22.8B | $5.2B | 22.8% | -7.3% | Source |
| FY2016 | $24.6B | $4.7B | 19.0% | — | Source |
Where the revenue comes from
Disney
- Entertainment~44%
Disney+, Hulu, theatrical films, content licensing, ABC and cable networks: $42.5B FY2025 revenue.
- Experiences~38%
Theme parks, resorts, Disney Cruise Line and consumer products: $36.2B FY2025 revenue.
- Sports~18%
ESPN affiliate fees, advertising and direct-to-consumer subscriptions: $17.7B FY2025 revenue.
McDonald's
- Franchise rent and royalties~45%
Franchise rent and royalties
- Company-operated restaurants~25%
Company-operated restaurants
- Licensing and delivery economics~15%
Licensing and delivery economics
Business model and strategy
Disney
How it makes money
Disney reports three segments. Entertainment ($42.5B FY2025 revenue, $4.7B segment operating income) sells Disney+ and Hulu subscriptions and advertising, releases films theatrically, licenses content and runs ABC and cable networks. Sports ($17.7B revenue, $2.9B operating income) is mainly ESPN, which earns affiliate fees from pay-TV distributors, advertising and direct-to-consumer subscriptions.
Growth strategy
Under CEO Josh D'Amaro, Disney's plan centers on a 'One Disney' push to align its divisions around franchises, plus three investment priorities. First, streaming margins: Disney targeted a 10% operating margin for Entertainment DTC in fiscal 2026 through price increases, advertising tiers, password-sharing limits and the integrated Disney+ and Hulu app.
Competitive advantage
Disney owns a franchise library that few rivals can match, including Mickey Mouse, Disney Animation, Pixar, Marvel, Star Wars, Avatar and The Simpsons, and it can monetize the same story through box office, Disney+, parks, cruises and licensing. Its parks are hard to copy because they need decades of land, capital and Imagineering know-how; Walt Disney World alone spans about 25,000 acres.
McDonald's
How it makes money
About 95% of McDonald's restaurants are owned and operated by franchisees or developmental licensees. The corporation makes money in three main ways: (1) rent, because it owns or leases the land and buildings at many franchised sites and charges franchisees rent, often tied to a percentage of sales; (2) royalties, a percentage of each restaurant's monthly sales;
Growth strategy
McDonald's growth plan, branded Accelerating the Arches, rests on marketing, core menu (burgers, chicken, coffee), and the 3 D's: digital, delivery, and drive-thru. The company targets roughly 50,000 restaurants worldwide by the end of 2027, with China, other developmental licensed markets, and the U.S. contributing the largest number of openings.
Competitive advantage
McDonald's advantage is scale that rivals cannot easily copy: more than 45,000 restaurants, control of prime real estate at many franchised sites, a long-tenured franchisee base that funds most store capital, and a supply chain that buys beef, potatoes, chicken, and packaging at volumes few chains match.
Questions about Disney vs McDonald's
Which company has higher revenue — The Walt Disney Company or McDonald's Corporation?
The Walt Disney Company reported $94.4B (FY2025), while McDonald's Corporation reported $26.9B (FY2025). By last reported revenue, The Walt Disney Company is the larger business, with McDonald's Corporation reporting a smaller revenue base.
What is the market cap of The Walt Disney Company vs McDonald's Corporation?
The Walt Disney Company's market capitalisation stands at $180.0B, while McDonald's Corporation's is $175.7B. The Walt Disney Company carries the higher market valuation, reflecting investors' expectations of its future earnings power relative to McDonald's Corporation.
Which is more financially efficient — The Walt Disney Company or McDonald's Corporation?
The Walt Disney Company generates $409k / employee in revenue per employee, while McDonald's Corporation generates $179k / employee. The Walt Disney Company shows higher revenue efficiency per headcount, though this reflects business model differences — capital-light software companies routinely outperform labour-intensive manufacturers on this metric.
How do The Walt Disney Company and McDonald's Corporation make money?
The Walt Disney Company and McDonald's Corporation generate revenue in fundamentally different ways. The Walt Disney Company: Disney reports three segments. McDonald's Corporation: About 95% of McDonald's restaurants are owned and operated by franchisees or developmental licensees.
Which company is valued higher relative to revenue — The Walt Disney Company or McDonald's Corporation?
On a price-to-sales (P/S) basis, The Walt Disney Company trades at 1.9x P/S and McDonald's Corporation at 6.5x P/S. McDonald's Corporation commands a higher revenue multiple, typically indicating that investors expect faster growth or higher future margins compared to The Walt Disney Company. A higher multiple is not inherently better — it may also signal that the stock is priced for perfection.
Is The Walt Disney Company bigger than McDonald's Corporation?
By last reported revenue, The Walt Disney Company ($94.4B (FY2025)) is the larger company compared to McDonald's Corporation ($26.9B (FY2025)). Revenue scale is one dimension of size — market capitalisation, employee count, and geographic reach are also relevant depending on the context.
Figures come from each company's filings and the sources linked beside them. Amounts reported in another currency are shown in US dollars at an approximate rate and marked with ~. Back to the Disney vs McDonald's overview