Disney Set to Report Q1 Earnings, Eyes Streaming Growth
Disney (DIS) prepares to release its fiscal first quarter earnings before the market opens on Wednesday, aiming to extend its recent streaming momentum and capitalize on its box-office success.
Key Estimates:
* Total Revenue: $24.57 billion (vs. $22.08 billion Q1 2024)
* Adj. EPS: $1.42 (vs. $1.21 Q1 2024)
* Entertainment Revenue: $11 billion (vs. $9.98 billion Q1 2024)
* Sports Revenue: $4.70 billion (vs. $4.84 billion Q1 2024)
* Experiences Revenue: $9.30 billion (vs. $9.13 billion Q1 2024)
* Disney+ Subscriber Net Additions: Loss of 1.41 million (vs. loss of 600,000 Q1 2024)
Streaming Focus:
Disney's streaming profitability remains a focal point. The company targets $875 million in profits for its DTC (Disney+, Hulu, ESPN+) streaming business in fiscal 2025. Price hikes to various subscription plans aim to boost margins amid declining linear television revenue.
Hulu Merger and Venu Sports Termination:
Disney plans to merge Hulu+ Live TV with Fubo TV, creating a majority-owned entity. Meanwhile, the Venu Sports streaming service has been canceled due to regulatory concerns.
Linear Revenue Decline:
Despite streaming growth, linear network revenue is expected to face further year-over-year declines.
CEO Search:
Disney seeks a successor for CEO Bob Iger to lead the company through industry shifts, with an announcement expected in early 2026.