The Walt Disney Company (DIS) reported its fiscal first-quarter earnings, riding high on its streaming services. Disney+ subscribers jumped to 94.9 million as of Jan. 2, an increase of 9% from 86.8 million on Dec. 2 and 258% from a year ago.
The service is expected to post a bigger revenue boost in March when the monthly fee rises by $1 to $7.99 in the U.S. and by 2 euros to 8.99 euros a month in Europe. ESPN+ subscribers increased 83% during the year to 12.1 million, and Hulu is up 30% to 39.4 million.
EPS of 32 cents on revenue of $16.25 billion was reported. Parks revenue declined 53% to $3.59 billion. The parks segment’s operating income was impacted by $2.6 billion. The company incurred costs related to regulations and safety measures of $1 billion in fiscal 2021.
Other Key Highlights From The Earnings:
- Media and entertainment revenue dropped 5% to $12.66 billion.
- Direct-to-consumer revenue, which includes Disney+ and other streaming services, soared 73% to $3.5 billion.
- Operating losses lowered to $466 million from $1.1 billion.
- Disney+ represented 6% of consumer’s average time spent streaming weekly in December 2020, while rival Netflix declined slightly to 28% from 31% in December 2019 as per analyst.
- CEO Bob Chapek informed that the launch of the new Star-branded streaming service will be launched internationally on Feb. 23 featuring edgier content from properties like FX and 21st Century, and marking it as the sixth brand within Disney+ in some markets, joining the Disney, Pixar, Star Wars, Marvel and National Geographic brands.
Dow 30 Component, The Walt Disney Company (DIS), and its subsidiaries is a diversified worldwide entertainment company that operates in four business segments: Studio Entertainment, Media Networks, Parks and Resorts, and Consumer Products & Interactive Media. To learn more about this Dow 30 Component, The Walt Disney Company (DIS), and to continue to track its progress please visit the Vista Partners Walt Disney Company, Coverage Page.
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