Disney aims for more profits at Disney+ with more ads, less content, higher fees | CNN Business

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Disney reported a drop in adjusted quarterly profits, even as it trimmed losses on its streaming business and reported stronger profits from its theme parks.

Disney laid out the profit plan for Disney+ streaming service on its investor call after reporting its most recent quarterly results, and it’s likely not going to make its customers very happy. It entails cutting back on the content offered, selling more ads and charging higher subscription fees. For investors, the news out of streaming was good news. Disney+ and its other two services, ESPN+ and Hulu, together trimmed losses by $228 million, or 13%, from a year earlier to $659 million.

So as we look to reduce content spend, we’re looking to reduce it in a way that should not have any impact at all on subs.” Adjusted earnings down Overall the company reported a drop in adjusted quarterly profits, as earned $1.9 billion, or 93 cents a share, excluding special items, matching the forecast of analysts surveyed by Refinitiv, but down 9% from the $2.1 billion it earned on that basis a year earlier. Including special items, net income nearly doubled to $2.1 billion from $1.1 billion.

 

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