Earlier this week Iger revealed to business network CNBC that Disney didn't anticipate losing so much money on streaming. "We ended up losing a lot of money on that, more so than we expected initially. Part of that was because we were chasing sub growth and not as focused as we needed to be on the bottom line.
Disney+ lost roughly 11.7 million subscribers worldwide in the three months that ended July 1, for a new total of 146.1 million. All the decline came from a low-priced version of Disney+ in India. Last year, Disney lost a bid to renew the expensive rights to Indian Premier League cricket matches.
CEO Bob Iger suggested on a call with investors that the cuts would come primarily from its struggling linear TV business. Meanwhile, the company continues to lose money in its Disney+ streaming business, but it managed to significantly reduce its losses in that division. It has never turned a profit on Disney+.
The company took an impairment charge of about $2 billion in the fiscal second quarter related to the India deal and to its traditional television networks. That nudged the company to a loss of $20 million after reporting net income of $1.27 billion a year earlier.
"Greatest Act of Brand Suicide" - How Disney Destroyed Its' Reputation & Lost $200 Billion in Value
Why is Disney losing customers?
Consumers were left picking up the tab for blockbuster furlough payments creating a global cost of living crisis that endures to this day. It led to people cutting their streaming subscriptions and left Disney with a loss-making platform.
In the U.S., Disney attributed the decrease in operating income to “the impact of the nonrenewal of carriage of certain networks by an affiliate” (a reference to Charter dropping eight cable networks last fall) and a decline in ad revenue reflecting lower average viewership.
Total debt on the balance sheet as of December 2023 : $47.69 B. According to Walt Disney's latest financial reports the company's total debt is $47.69 B. A company's total debt is the sum of all current and non-current debts.
Walt Disney (NYSE:DIS) Second Quarter 2024 Results
Revenue: US$22.1b (up 1.2% from 2Q 2023). Net loss: US$20.0m (down by 102% from US$1.27b profit in 2Q 2023). US$0.011 loss per share (down from US$0.69 profit in 2Q 2023).
Disney's odds of distress is less than 5% at this time. It is unlikely to undergo any financial crisis in the next 24 months. Disney's Probability of financial unrest is determined by interpolating and adjusting Disney Altman Z Score to account for off-balance-sheet items and missing or unfiled public information.
Elon Musk is funding a court case that claims that attacks Disney for making clear “that only one orthodoxy in thought, speech, or action was acceptable in their empire”. The case is being brought by actor Gina Carano, and accuses Disney of unfairly firing her from her role in The Mandalorian over her tweets.
A key one being that the Covid-19 pandemic got people into the habit of watching films at home rather than in cinemas, and as Disney has its own streaming service, everyone knows where they can find the studio's output.
Chief executive of Disney, Bob Iger, has stood strong by his decision. However, the company has come under fire for still advertising on TikTok after a document written by Saudi Arabian-born terrorist Osama bin Laden in 2002 had gone viral on the video platform.
Robert A. Iger. Robert Alan Iger is Chief Executive Officer of The Walt Disney Company, having returned to the company in November of 2022 after serving as CEO and Chairman from 2005 to 2020, and then as Executive Chairman and Chairman of the Board through 2021.
The division has been losing money since Disney+ debuted in 2019 in a major push by the company to compete with Netflix (NFLX.O) , opens new tab. However, revenue from the traditional television business declined 8% to $2.77 billion and operating profit fell 22% from a year ago.
Disney's shares are owned by a mix of insiders, ordinary investors, and institutional investors. Disney's largest individual shareholders are the company's insiders, including the current CEO, Robert Iger, and top managers, such as Brent A. Woodford, Maria Elena Lagomasino, and Mary Barra.
The Disney 100 Celebration, which celebrates 100 years of the Walt Disney Company, kicked off in January at Disneyland Resort. With special decor, merchandise, entertainment and more, here's everything we know about the Disney 100 Celebration at Disney World!
Disney's streaming business turns a profit in first financial report since challenge to Iger. The Walt Disney Co. swung to a loss in its second quarter because of restructuring and impairment charges, but its adjusted profit topped expectations and its streaming business turned a profit.
Disney revenue for the twelve months ending March 31, 2024 was $89.203B, a 2.55% increase year-over-year. Disney annual revenue for 2023 was $88.898B, a 7.47% increase from 2022. Disney annual revenue for 2022 was $82.722B, a 22.7% increase from 2021.
Vanguard owns the most shares of Walt Disney (DIS). The ownership structure can impact the company's decision making, as large institutional investors may exert influence on the company's management and can also affect the company's stock price with their buying and selling patterns.
Strong earnings for its second quarter ending March 30 were reported. Revenues increased to $22.1 billion from $21.8 billion in the prior year quarter.
What Is Netflix's Debt? As you can see below, Netflix had US$14.5b of debt, at December 2023, which is about the same as the year before. You can click the chart for greater detail. However, it does have US$7.14b in cash offsetting this, leading to net debt of about US$7.41b.
Robert Brokamp: The disappointment over the last few years really does come from being burned by bonds. They lost money in 2018, 2021, 22 and they're down so far this year.
According to US copyright law, the rights for a character expire 95 years after the publication of the original work. With Steamboat Willie debuting in 1928, January 2024 marked the expiration date for the short and Disney lost with Mickey Mouse copyright.
The Walt Disney productions would be shut down for good but all it's movies were still under Disney. Any movie studio who bought an IP from Disney would show their movie studio logo for a new copy of the same Disney IP for dvd reprint.
