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0 pointslotsofpulp2y ago0 comments

See their net income and profit margin trends:

Doesn’t look so hot for the last 4 or 5 years. They went from earning near $10B per year to less than $3B per year.

0 comments

If you ignore the Covid drop, the trend change seems to start in 2019 when they bought Century Fox.

I’m not sure what the exact cause is, but for some reason, they lose billions on streaming (page 24):

Because they give lots of subscriptions away for free and the paying customers are paying a subsidized price.

All so Disney can increase market share. This is why you cant just point to subscriber count as a success indicator.

How much of this is real losses and how much is accounting tricks by licensing content from themselves?

Thanks, this definitely adds some context. Seems all these acquisitions is costly work.

j / k navigate · click thread line to collapse

If you ignore the Covid drop, the trend change seems to start in 2019 when they bought Century Fox.

I’m not sure what the exact cause is, but for some reason, they lose billions on streaming (page 24):

Because they give lots of subscriptions away for free and the paying customers are paying a subsidized price.

All so Disney can increase market share. This is why you cant just point to subscriber count as a success indicator.

How much of this is real losses and how much is accounting tricks by licensing content from themselves?

Thanks, this definitely adds some context. Seems all these acquisitions is costly work.

j / k navigate · click thread line to collapse