Disney had a strong start to its fiscal year, reporting quarterly revenue and earnings on Monday that came in above Wall Street expectations. The big reason? Its theme parks, resorts, and cruise business. No surprise there.

For the first time ever, Disney’s experiences division crossed $10 billion in quarterly revenue. CFO Hugh Johnston shared the milestone in an interview with CNBC. That’s a major psychological mark, and honestly, a telling one.

Domestic theme parks led the charge, pulling in $6.91 billion in revenue. International parks added another $1.75 billion. Both figures were up 7% compared to the same quarter last year. Attendance climbed at U.S. parks, while overseas travel didn’t bounce back as strongly. Johnston put it simply. International visitation was softer. That’s the reality right now.

So how did the company stack up overall?

For the fiscal first quarter ended Dec. 27, Disney posted adjusted earnings of $1.63 per share, beating expectations of $1.57. Revenue reached $25.98 billion, also above forecasts of $25.74 billion. Not a blowout, but clearly a win.

Net income, though, told a slightly different story. Disney earned $2.48 billion, or $1.34 per share, down from $2.64 billion, or $1.40 per share, a year earlier. Once one-time items were stripped out, including tax charges tied to the Fubo deal, earnings came back to that $1.63 figure.

Zooming out, total revenue for the quarter landed just under $26 billion. That’s about 5% growth year over year. Solid, not flashy.

Looking ahead to fiscal 2026, Disney sounded confident. The company said it’s on track to repurchase $7 billion worth of stock. It also expects double-digit growth in adjusted earnings per share and about $19 billion in operating cash flow. That’s real money.

Streaming is also expected to improve. In the fiscal second quarter, Disney projects its streaming business, which includes Disney+ and Hulu, will deliver roughly $500 million in operating income. That’s about $200 million more than the same period last year. Progress, finally.

The experiences segment, however, may cool slightly. Disney expects only modest growth in operating income there, partly due to weaker international travel and partly because of upfront costs. New cruise launches aren’t cheap. Neither is opening “World of Frozen” at Disneyland Paris.

Behind all these numbers sits a much bigger question. Who replaces CEO Bob Iger?

This is Disney’s second attempt at succession planning since naming Bob Chapek CEO in 2020, then firing him two years later and bringing Iger back. At the time, the company was struggling with theatrical strategy, streaming losses, and pressure on the parks business.

“Turbocharging the parks, fixing streaming, and improving theatrical performance sets up the next CEO well,” Johnston said. Still, he wouldn’t comment on who that person might be.

Disney’s board is reportedly meeting this week and could vote on a successor soon. The company has already said an announcement will come in the first quarter.

Two internal executives are widely seen as frontrunners. Josh D’Amaro and Dana Walden. One thing stands out, though. D’Amaro currently runs Disney’s biggest profit engine.

During the quarter, the experiences division generated $3.31 billion in operating income. That’s three times what the entertainment unit produced. Experiences profits were also up 6% from last year.

Entertainment, on the other hand, continues to feel pressure. Operating income fell 35% to $1.1 billion, weighed down by the ongoing decline of traditional TV networks.

Streaming helped soften the blow. Revenue across entertainment rose 7% to $11.61 billion, helped by higher subscription fees and the inclusion of Disney’s new 70% stake in Fubo. The deal closed in October.

The box office also gave Disney a lift. Strong performances from titles like “Zootopia 2,” along with new “Avatar” and “Predator” installments, boosted theatrical revenue.

This quarter also marked a shift in disclosure. Disney stopped breaking out detailed numbers for linear TV, streaming, and theatrical segments. It also stopped reporting streaming subscriber counts, following Netflix’s lead.

Streaming revenue still grew, though, rising 11% to $5.35 billion.

Sports remained the weak spot. ESPN, now reported as a separate segment, saw revenue edge up 1% to $4.91 billion. Operating income dropped 23% to $191 million. Rising sports rights costs, subscriber losses, and a temporary YouTube TV blackout all took a toll. Advertising revenue helped, but not enough.

Bottom line? Disney’s parks are carrying the company. Streaming is improving. Sports are under pressure. And the clock is ticking on naming the next CEO.