Disney Shares Plunge Nearly 10% as Bob Iger Warns about Future Profitability, Decreases Marvel Output
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Shares of The Walt Disney Company plunged more than 9 percent Tuesday morning as CEO Bob Iger signaled that Disney still faces a tough road ahead as it continues to pull itself out of its recent financial doldrums.
Disney shares were down 9.6 percent after the company warned that next quarter might be softer than expected, especially when it comes to streaming, with Disney+ subscriptions expected to stagnate in the near term.
CEO Bob Iger nevertheless doubled-down on streaming entertainment as the future of Disney.
“We’ve said all along our path to profitability will not be linear,” he told analysts on Tuesday.
“While we’re anticipating a softer third quarter, due in large part to the seasonality of our Indian sports offerings, we fully expect streaming to be a growth driver for the company in the future and we have prioritized the steps necessary to achieve this.”
Iger obliquely acknowledged Disney's problems at the box office, saying the studio will reduce the number of Marvel superhero titles it will release each year, bringing the number down to a “maximum” of three movies a year, plus two series.
Disney has experienced an unprecedented losing streak at the box office in recent years as the once invincible studio keeps churning out expensive bombs.
The Marvels, starring Brie Larson, was an enormous dud, marking a new low for the Marvel brand.
In an exclusive to Breitbart News, Rasmussen Reports polled 1,255 adults between April 21 to 23, and found that the Disney brand only has a 46 percent favorability rating. It also found that 71 percent want Disney to end its LGBTQ agenda.
On Tuesday, Disney reported its streaming business lost $18 million during its second quarter of 2024 — an improvement over the year-ago period when the company lost more than half a billion dollars on streaming.
Disney's streaming services include Disney+, Hulu, and ESPN+.
The studio has been aggressively pushing LGBTQ messaging — including transgenderism and gender non-conformity — in its entertainment aimed at children.
As Breitbart News reported, Disney along with Netflix put out more LGBTQ content than any other studio in Hollywood in 2022, according to a GLAAD report.
GLAAD said Disney released 59 films in 2022, and 24 of them were so-called “LGBT inclusive films.”
In the past two years, Disney has fought Florida over its anti-grooming Parental Rights in Education law, created multiple transgender characters for its children’s shows, put gay characters at the center of its big-budget movies, and even launched an LGBTQ-themed apparel line.
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