Disney Q2 Throws Hollywood a Lifeline as Streaming Subscribers Rise to 138 Million
thewrap.coma 200,000 drop in subscribers — its first loss in more than a decade — and warned of steeper declines ahead as layoffs have already begun.“Our strong results in the second quarter, including fantastic performance at our domestic parks and continued growth of our streaming services—with 7.9 million Disney+ subscribers added in the quarter and total subscriptions across all our DTC offerings exceeding 205 million—once again proved that we are in a league of our own,” said Disney Chief Executive Bob Chapek. “As we look ahead to Disney’s second century, I am confident we will continue to transform entertainment by combining extraordinary storytelling with innovative technology to create an even larger, more connected, and magical Disney universe for families and fans around the world.”The announcement ripped through Wall Street, as investors began reevaluating the industry’s aggressive shift into streaming subscriptions.
Netflix blamed subscriber weakness on customers sharing accounts, increased competition and a looming plateau in how many new customers can be signed up.During the quarter, Disney’s media and entertainment distribution division posted revenue of $13.5 billion in the quarter, up 9% from a year ago.
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