Disney CFO Addresses Hiking Fee For Viewers: 'We've Earned That Pricing In The Marketplace'
Portfolio Pulse from Ananya Gairola
Disney CFO Hugh Johnston discussed the company's recent price hikes for Disney+, Hulu, and ESPN+ during the fiscal Q3 2024 earnings call. He emphasized the value provided to consumers and the positive impact of bundling on churn. Disney reported a 4% year-on-year revenue growth, slightly surpassing analyst estimates. Despite this, Disney shares fell by 4.43% during the regular session and further by 0.65% in after-hours trading.
August 08, 2024 | 5:10 am
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Disney CFO Hugh Johnston addressed the company's recent price hikes for Disney+, Hulu, and ESPN+ during the fiscal Q3 2024 earnings call. Despite reporting a 4% year-on-year revenue growth, Disney shares fell by 4.43% during the regular session and further by 0.65% in after-hours trading.
The price hikes for Disney's streaming services, while justified by the CFO, may have been perceived negatively by investors, leading to a drop in share price. The revenue growth and surpassing of analyst estimates were not enough to offset concerns about the price increases.
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