Disney Group exceeds expectations with $2.15 billion in quarterly net profit

It lost less money than expected from its streaming business.

A real fairy tale, which will undoubtedly delight Scrooge. The Disney group revealed quarterly net profit of $2.15 billion on Wednesday February 7, which is well above expectations. He also announced reduced losses in streaming and the announcement of a stake in Epic Games, the publisher of Fortnite. The title of the entertainment giant gained more than 7% during electronic trading, after the close of the New York Stock Exchange. The Californian group achieved $23.55 billion in turnover for the period from October to December, the first quarter of its staggered financial year, a result almost identical to that of a year ago, according to its results press release.

But the company, which is targeting profitability for Disney+ in 2024, managed to reduce the operational losses of its streaming platforms to 138 million dollars, instead of 984 million a year ago. The streaming platform launched in late 2019 lost 1.3 million subscribers during the holiday season due to higher prices, but it saw an increase in average revenue per user thanks to these cost increases. It now has 111.3 million subscribers, not including the Indian version, Disney+ Hotstar.

“An exciting relationship with Epic Games”

“We are also excited to share that we are beginning an exciting relationship with Epic Gamesdeclared boss Bob Iger, by acquiring a small stake and launching a revolutionary new gaming and entertainment universe that brings together beloved Disney brands and franchises with the wildly popular Fortnite”.

The day before, Fox, Warner Bros Discovery and ESPN, a Disney subsidiary, had also announced the upcoming launch of a new sports event streaming platform. This major merger takes place against the backdrop of an explosion in the cost of broadcasting rights. To set up this new offer, which will only be available in the United States, the three media groups have agreed to create a joint company. The media are already talking about a “Netflix of sport”.