The number of Disney Plus subscribers has surpassed 103 million, but financial market investors are concerned about the slowdown in the growth of the streaming platform, which has become a key driver of the Disney empire.
Analysts had expected to reach at least 109 million subscribers for the service, which launched in November 2019.
The result, not matching these expectations, was a 4 percent drop in the share price of “Disney” on the stock exchange during electronic deliberations after the close. However, the head of the group, Bob Tangle, stated in a press conference that the platform had managed to attract “30 million families in the first six months of the fiscal year.”
Takabek promised large investments in the franchises of successful programs, including “Star Wars”, relying especially on the launch of the “Lucky” series in June from “Marvel” studios, expecting “a lot of interest.”
Most importantly, the platform will seek to expand into new markets, most notably Malaysia and Thailand. Disney Plus raised its prices slightly at the end of last March, but it is still lower than the prices of its competing platforms, and in return it provides a huge variety of programs. Bob Tangle said that he still believed that the total number of subscribers (for all the “Disney” platforms combined, “Disney Plus”, “Hulu” and “ESPN”) will reach between 230 and 260 million by the end of 2024.
The giant entertainment group, which has long relied on traditional viewing channels, from television and cinema, launched “Disney Plus” in time before the epidemic, without knowing that the service will achieve such wide success thanks to the containment measures, and that it will also become an essential component of its business.
The group clarified in a statement Thursday that the impact of the pandemic and the associated restrictions on its various activities, such as theme parks, cruises, cinemas and sporting events, will cost it an additional billion dollars during the 2021 fiscal year.
All of the group’s activities saw a decline in its revenues, except for broadcast platforms, which generated $ 4 billion, an increase of 59 percent year-on-year. These platforms also contributed to reducing the group’s net losses from $ 805 million to $ 290 million.
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