😍 2022-05-12 02:23:01 – Paris/France.
Disney Plus just showed Netflix.
After Netflix surprised Wall Street by losing subscribers for the first time in a decade, Disney said Wednesday that its service Streaming headlight still worked well. Disney Plus added 7,9 million paying customers in the second quarter of fiscal 2022, beating Wall Street expectations of about 5 million. This brings Disney Plus to 137,7 million total subscribers.
The Burbank-based media giant's strong performance comes amid growing concerns about the media sector. Streaming. The low incomes of Netflix and the rapid demise of CNN Plus have rattled investors, who previously rewarded entertainment and tech titans who had spent billions launching entertainment platforms. Streaming and added many subscribers during the pandemic.
Now the action of Netflix has plunged 70% in the past six months. The company lost 200 subscribers in its first quarter and expects to lose 000 million more in the current quarter. Netflix blamed the slowdown in subscribers on increased competition, password sharing and the war in Ukraine, among other things. And recent surveys show that consumers are canceling subscriptions they deem too expensive.
“The business model is not as attractive as previously thought due to increased competition for time, attention and consumer spending,” wrote media analysts Robert Fishman and Michael Nathanson of MoffettNathanson in a recent report.
The problems to which Netflix faces don't seem to be holding Disney Plus back, at least not yet. Executives told analysts the service had a "stronger than expected" first half of the fiscal year and should add more subscribers in the past six months, but maybe not many. The company's goal of reaching at least 230 million Disney Plus subscribers by 2024 is still on track, CEO Bob Chapek said.
“The growth of the platform since its launch reinforces its unique character. Quite simply, we think Disney Plus is one of a kind,” Chapek said. He went on to boast that, despite Disney's family branding, nearly half of Disney Plus subscribers are adults without children.
Disney Plus may still be growing, but the Streaming costs the company a lot of money. Disney's direct-to-consumer division, which also includes Hulu and ESPN Plus, lost $887 million in the second quarter, more than triple the loss from a year ago. Disney executives expect its flagship service to become profitable in 2024.
Overall, Disney's revenue rose 23% year-on-year to $19,2 billion in the second quarter. Net profit fell 48% to $470 million.
Although he avoided the fate of Netflix, so far, Wall Street has not been impressed. Shares of the company slid more than 2% to $102,75 as of 15:09 p.m. PT in after-hours trading.
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SOURCE: Reviews News
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