Hollywood Breakdown
Despite box office domination, Disney's earnings disappoint
This is the first quarter that Fox assets have been included in Disney's earnings report, and the results were not as strong as expected. Disney chief Bob Iger blamed Fox's film studio strategy for the lackluster numbers.
By Matthew Belloni • • 3m ListenThe Disney earnings disappointed this quarter and their stock took a ding. CEO Bob Iger took aim at Fox as the reason numbers were below expectations--this is the first quarter Fox assets have been included in Disney's earnings. And while Fox did have some box office bombs, Disney is also spending like crazy on their upcoming streaming service Disney+. They're prepared to suffer some pain in the short (or perhaps medium) term in order to have a profitable streaming service in the years to come.
