The Walt Disney Company has reported a drop in revenues and increased losses for the fiscal year ended October 3, 2009.

The firm’s Interactive Media segment, which includes Disney Interactive Studios, Disney Online and mobile operations, saw revenues drop one per cent year-on-year to $712 million (£426m), while losses grew by 14 per cent to $295 million (£176m).

“Lower results at Disney Interactive Studios were driven by decreased net effective pricing and unit sales of self-published videogames, decreased licensing revenue and higher unit cost of sales, which included the cost of bundled accessories and music royalties for current year titles,” the company said in its financial release.

“Significant self-published videogames in the current year included High School Musical 3 and Sing It while the prior year included High School Musical, Turok and Pure.”

Overall, Walt Disney Co.’s revenues fell four per cent year-on-year to $36.1 billion (£21.6b), while net income declined 25 per cent to $3.3 billion (£2b).

In September Disney announced that Bungie co-founder Alex Seropian had been hired to oversee development across the company’s internal videogame teams.