A year into its launch the leading entertainment company makes major gains in the billion-dollar streaming industry. Adding 73 million subscribers in a year compared to Netflix which has 195.2 million paid subscribers worldwide. Netflix launched its streaming service in 2007, pioneering the surge in demand.
Disney reported more than 73 million paid subscribers to its Disney+ streaming service by the end of the fourth quarter in its earnings report Thursday.
The company exceeded expectations on revenue and showed less drastic losses than anticipated.
The Covid-19 pandemic has most significantly impacted Disney’s parks division due to local restrictions that have forced temporary closures or limited capacity.
How did the stock price react?
After Hours 139.80 +4.28 +3.16% Data 13/11/2020
Covid19 has impacted hugely on the Company, especially theme park revenues, however the streaming service gives respite and as the pandemic eases and they begin to release movies, this will probably support the stock price in the long term.
Trade or buy?