The mood at Disney is lifting

The US media and entertainment group more than doubled profits to $415m (�243.5m), beating market expectations.

Disney has seen a windfall from highly successful film releases, going some way to rebuff speculation about a decline in the company's fortunes.

Disney was also buoyed by a strengthening advertising market and revenue from cable channels.

"The substantial improvement in our overall results during a difficult year provide further evidence that we have established the foundation for future growth," company chief executive Michael Eisner said in a statement.

Blockbusters

Much of the company's much-needed revenue came from its studio division which has produced two big hits this year.

Pirates of the Caribbean earned over $303m in the US, and Finding Nemo - by Disney partner Pixar - made $340m.

Disney group films captured up to 26% of the US box office this year.

Blockbusters also guarantee Disney longer-term revenue from video and DVD releases.

Management are also likely to be relieved by evidence of growing attendance at the group's troubled theme parks, up 12% in the first period of this year.

But the division continues to suffer from a general decline in tourism with theme park revenues falling 1% in the three months to September.

Disney delivered earnings per share of 20 cents in the final quarter, beating analysts expectations of about 16 cents.