Walt Disney has upgraded its profit forecasts in an attempt to lift investor sentiment following box office failure at the weekend.

Tom Staggs, chief financial officer, said the group would increase earnings by 40% this year, rather than the expected 30%. "Given the performance we're seeing in our businesses, we remain confident in our ability to deliver attractive growth in our earnings."

The comments, late on Monday night, did little to soothe fears over the poor performance of Disney's The Alamo, with Patrick Wilson, Billy Bob Thornton and Jason Patric, above.

Shares in Disney, which is the subject of a $60bn (£32bn) takeover bid by cable group Comcast, have fallen over the past two days amid fears that the film will prompt a writedown. The $100m epic tied for third place at the box office with an estimated $9.2m in ticket sales.

The other film that came in third, Johnson Family Vacation, showed in half as many cinemas. Mel Gibson's The Passion of the Christ, came top.

Chuck Viane, president of Disney's Buena Vista Pic tures Distribution, called the opening a disappointment.

Some analysts believe Disney may have to write off $80m on the film.

Chief executive Michael Eisner decided to fast track the production of The Alamo at the end of 2001 to "recapture the post-September 11 surge in patriotism". Instead it has coincided with the worsening situation in Iraq. Critics have slammed it.

The share fall has hit Disney's attempt to fend off the share-based offer from Comcast whose shares have risen to their highest level in more than a month.

Walter Liss, president of Disney's troubled ABC television network, is to address investors at a conference next week.