Disney shares fell 4.4% in after-hours trading on Wall Street.
Higher prices and lower marketing spend helped improve Disney’s broadcast unit performance from January to March. The unit ended the quarter with an operating loss of $659 million, compared to $1.1 billion in the previous quarter.
Meanwhile, the total number of Disney+ subscribers fell by four million, to 157.8 million.
Most of the subscriber losses came from Disney+ Hotstar in India after losing the rights to broadcast cricket matches in the Indian Premier League. Disney also lost 300,000 customers in the United States and Canada, where it raised prices last December.
Insider Intelligence analyst Paul Verna said analysts expected Disney to add more than one million customers in the first quarter.
Overall, diluted earnings per share were 93 cents, which was in line with analysts’ expectations polled by Refinitiv.
Disney revenue was $21.82 billion, slightly above analysts’ expectations of $21.79 billion.
The company’s theme parks remained in high demand and growth at Shanghai Disney Resort, Disneyland Paris and Hong Kong Disneyland Resort drove the unit’s operating profit up 23% from a year ago. year to $2.2 billion.
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