A performer dressed as Mickey Mouse entertains guests during the reopening of the Disneyland theme park in Anaheim, California, U.S., on Friday, April 30, 2021.
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All eyes will be on Disney’s streaming numbers when the company reports its fiscal third quarter earnings results after the bell Wednesday.
The streaming space is in a state of upheaval. Netflix in July disclosed another drop in subscribers, and Warner Bros. Discovery last week announced a shift in content strategy. While Netflix expects subscriber growth to rebound, uncertainty has left analysts and investors wondering what the future holds for the wider industry.
Analysts anticipate the company added around 10 million new Disney+ subscribers during the period between April and June, bringing the total number of users to over 147 million, according to StreetAccount.
In hitting this target, Disney could put analysts and shareholders at ease and suggest that the global streaming market is not nearing saturation.
Here’s what analysts expect:
- Earnings per share: 96 cents expected, according to a Refinitiv survey of analysts
- Revenue: $20.96 billion expected, according to Refinitiv
- Disney+ total subscriptions: 147.76 million expected, according to StreetAccount
Shares of Disney have slumped 28% since January and more than 35% over the past 12 months, as investors wonder whether the company can sustain its streaming growth and question how higher inflation and a possible recession could impact its other business ventures.
Disney’s parks, experiences and consumer products division has benefited in recent quarters, as more travelers venture to its domestic theme parks and spend money on merchandise.
Its studio division should also see a boost from ticket sales of Marvel’s “Doctor Strange in the Multiverse of Madness” and “Thor: Love and Thunder,” which have had strong box office numbers. Still to come later this year is “Black Panther: Wakanda Forever” and “Avatar: The Way of Water,” which are expected to be major movie theater ticket sales drivers.
This is a breaking news story. Please check back for updates.