Aug. 7 (UPI) – Disney’s combined streaming services became profitable for the first time, executives said Wednesday in the company’s third-quarter earnings report.
According to CEO Bob Iger, this milestone was not expected until next quarter and was due in part to the profit generated by ESPN+. Disney’s other streaming services include Disney+ and Hulu.
“In the third quarter of 2024, our combined direct-to-consumer (DTC) streaming business improved over $550 million year-over-year to $47 million,” the official earnings presentation said.
The news comes a day after Disney announced price increases across all of its platforms on October 17.
“We’re seeing an increase in consumption and popularity of our offerings, which is giving us the pricing advantage we believe we have,” Iger said in the quarterly earnings call, according to CNBC.
Disney+’s base package is increasing from $7.99 per month to $9.99. In September, the streamer will also offer an ABC News Live playlist and “a playlist focused on preschool content,” according to a press release. A new package with Max also launched in July.
“The combination of exceptional content and a broad brand portfolio is key to our success as we build streaming into a profitable growth business for the company over the long term,” Iger and CFO Hugh Johnston said in a statement.
The Walt Disney Company reported an increase in quarterly revenue of nearly $1 billion compared to 2023. Inside Out 2which became the highest-grossing animated film, attracted around 1.3 million Disney+ subscribers.
