After a challenging 18 months at Walt Disney Co., the company released an earnings report that was generally in line with analysts’ expectations—but shared that some of its direct-to-consumer businesses managed to post a profit for the first time.
Two of the streaming services, Disney+ and Hulu, took in a revenue of $5.64 billion and a net profit of $47 million, compared with its $587 million loss during the same time period a year ago. Although adding ESPN+ into the mix pushed the direct-to-consumer businesses into the red with a loss of $18 million. However, it was quite the turnaround from the $659 million loss reported last year.
Disney+ and Hulu also saw an increase in the number of subscribers, with the former now boasting 117.6 million users and the latter reporting 50.2 million. However, the number of ESPN+ subscribers fell by 2% to 24.8 million.
Overall revenue from Disney’s U.S. parks and experiences segment grew 7% to 4.96 billion, while international sales boomed 29% to $1.52 billion. California’s Disneyland Resort, though, reported lower profits, which the company attributed to cost inflation, such as higher labor expenses.
