Disney’s surprise streaming entertainment profit offset by weaker TV business

  • 📰 globeandmail
  • ⏱ Reading Time:
  • 49 sec. here
  • 49 min. at publisher
  • 📊 Quality Score:
  • News: 187%
  • Publisher: 92%

Canadian News News

Canada News,Breaking News Video,Canadian Breaking News

Like other media companies, Disney has been trying to adapt to consumer migration from cable television to streaming entertainment

surprise profit in its streaming entertainment division was eclipsed by a drop in its traditional TV business and weaker box office, sending its shares down 6 per cent before the bell on Tuesday.

The direct-to-consumer entertainment division, which includes the Disney+ and Hulu streaming services, reported operating income of $47-million for the January-March period, compared with a loss of $587-million a year earlier. “Our strong performance this past quarter demonstrates we have turned the corner and entered a new era for our company,” Chief Executive Bob Iger, who defeated board challenges from activist investors last month, said.

He also unveiled a 10-year, $60-billion investment in theme parks and announced plans for a stand-alone ESPN streaming app, among other efforts. Because of costs to stream cricket, streaming entertainment will likely report a loss for the current quarter but swing back to a profit the following period, Johnston said.

The company’s experiences division, which includes the Disney theme parks around the world, reported operating income of $2.3-billion, a 12 per cent increase from a year ago.

 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.
We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 5. in BUSİNESS

Business Business Latest News, Business Business Headlines