The Walt Disney Company reported earnings for the third quarter and for the nine months ended July 2, 2001. Total revenue for the third quarter was $10.68 billion, compared to $10 billion for the third quarter of 2010, an increase of 7 percent. For the first nine months of the year, total revenue was $30.47 billion, compared to $28.32 billion for the same period last year, an increase of 8 percent.
Diluted earnings per share (EPS) for the third quarter increased 15 percent to $0.77, compared to $0.67 in the prior-year quarter. Diluted EPS for the nine months ended July 2, 2011, was $1.93 compared to $1.60 in the prior-year period, an increase of 20.6 percent. EPS for the current quarter included restructuring and impairment charges totaling $34 million primarily at Studio Entertainment.
For the Parks and Resorts segment, total revenue for the third quarter was $3.17 billion, compared to $2.83 billion for the same quarter in 2010, an increase of 12 percent. For the first nine months of 2011, total revenue for the Parks and Resorts segment was $8.67 billion, compared to $7.94 billion for the same period last year, an increase of 9 percent.
Results for the quarter were driven by increases at Disney's domestic parks and resorts, Disney Cruise Line, and Hong Kong Disneyland Resort, partially offset by decreases at Disneyland Paris and Tokyo Disney Resort. The decrease at Tokyo Disney Resort was driven by the impact of the March 2011 earthquake in Japan which resulted in a temporary closure of the two parks and hotels and a continuing reduction in volume after reopening. Results at both domestic and international parks and resorts reflected a favorable impact due to a shift in the timing of the Easter holiday relative to the company's fiscal periods.
Higher operating income at the domestic parks and resorts was driven by higher guest spending and, to a lesser extent, attendance, partially offset by increased costs. Increased guest spending reflected higher average ticket prices, daily hotel room rates and food, beverage and merchandise spending. Increased costs reflected labor cost inflation, higher pension and healthcare costs, marketing and sales for new guest offerings, and expansion costs for Disney California Adventure at Disneyland Resort.
Higher operating income at Disney Cruise Line was due to increased passenger cruise ship days due to a full quarter of operations for the Disney Dream, partially offset by the related incremental operating costs.
The improvement at Hong Kong Disneyland Resort reflected higher guest spending and attendance. Guest spending was driven by increased merchandise, food and beverage spending, and increased daily hotel room rates. The decrease at Disneyland Paris was due to a prior-year sale of real estate and increased costs which were driven by volume related costs, repairs and maintenance and labor cost inflation. These decreases were partially offset by increased guest spending which was due to higher average ticket prices and daily hotel room rates.