Disney saw strong growth in paid streaming subscribers in its earnings report for the first quarter of the fiscal year and a first quarterly profit since early last year 2021 after the Thursday bell

Disney announced that it has nearly 95 million paid subscribers to its Disney streaming service since the quarter ended January 2, this happens in the first quarter after Disney’s free trial ended for some subscribers who also include Verizon Customers are

Christine McCarthy, Disney CFO, told analysts on the company’s earnings call that executives “are very pleased with the conversion numbers we saw going from promotions to paid subscribers.”””

However, the average monthly revenue per paid Disney subscriber was down 28% from the year-ago quarter from $ 556 to $ 4 03 that’s because that number now includes subscribers to Disney Hotstar, which launched in India and Indonesia last year The service has lower average monthly revenue per paid subscriber than traditional Disney in other markets, lowering the overall average for the quarter
On Disney’s earnings call, McCarthy said that without Hotstar, the average revenue per paid Disney subscriber would have been $ 537 for the quarter

Average monthly revenue per paid subscriber increased slightly for Disney’s other direct-to-consumer platforms, ESPN and Hulu, with the latter growing 26% for those using the live TV service / p>

The company said it had more than 146 million paid subscribers to its streaming services at the end of the first quarter

Revenue for Disney’s direct customer business increased 73% year over year to $ 3.5 billion. This growth helped offset losses in other pandemic-hit segments

Disney Parks, Experiences, and Products revenue declined 53% to $ 3.58 billion as many of its theme parks were either closed or operated at reduced capacity and its cruise lines and tours were suspended

CEO Bob Chapek told analysts on the company’s earnings call that the outlook for revenue and parks reopening “really is determined by the vaccination rate of the public.” “Disneyland is hosting a vaccination center for Californians, and Chapek said the site has so far more than 100000 doses delivered

Chapek expects any reopening or increase in visitor capacity by the end of the year will include masking and social distancing measures, but he said Dr Anthony Fauci’s previous Thursday prediction that the vaccine would be available to anyone who wants one in April would be a “game changer” “

The company said the Covid-19 outbreak cost this division approximately $ 2 billion in lost operating income in the first quarter of fiscal

Content sales and licensing revenue decreased 56% to $ 1.7 billion during the quarter as Disney had no new theatrical releases and limited home entertainment releases in October, November and December

Last year in particular, the studio released “Frozen II” in theaters and brought “Toy Story 4”, “The Lion King” and “Aladdin” to the home video market

Disney expects FY 2021 capital spending to be similar to 2020, with the company investing more in the media and entertainment segment and less in the parking segment

Correction: In an earlier version of this story, the company’s CFO, Christine McCarthy, misrepresented comments about Disney’s plans to disclose future subscriber numbers for Disney. In fact, the company plans to provide future subscription number updates at the end of each quarter, possibly No additional updates of the participant numbers will be provided at the time of the winning calls

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World News – United States – Disney Exceeds Streaming Subscriber Expectations, Increases Covid Injured Segments

Source: https://www.cnbc.com/2021/02/11/disney-dis-q1-2021-earnings.html