As Bob Iger approaching the halfway point of his four-year contract The Walt Disney Company (DIS)The media mogul is set to leave behind a healthy business when he passes the CEO baton to a successor in 2026. Building on box office success and momentum in its streaming division, Disney reported today today (November 14) a participation rate of 74%. net profit increased to $460 million for the July-September quarter. “As I reflect on the two years since I returned to the company, I am incredibly proud of the progress we have made,” Iger said during an earnings conference call, adding that he believes the company “ can continue to generate healthy growth. beyond this year.

Iger praised Disney’s streaming businesses (Disney+, Hulu and ESPN+), which made a profit for the second consecutive quarter. The division’s profitability jumped to $321 million, in stark contrast to losses of $387 million recorded in the same period last year and up from profit of $47 million recorded in the last quarter.

The company ended the quarter with 4% more Disney+ Core subscribers and 5% more Hulu subscribers; the platforms now have 112.7 million and 52 million users respectively. In the United States, about 60% of new subscribers opt for the more affordable, ad-supported Disney+ tier, according to Iger, who told analysts that that tier represents 37% of total subscribers in the country and 30% in the world. This information is not typically disclosed by Disney and appears to have been an accidental mistake by the CEO, who later commented, “I don’t know if I was supposed to release those AVOD (Advertising-Based Video On Demand) numbers.” »

Disney’s streaming business helped boost its entertainment division’s revenue this quarter, which rose 14% year over year to $10.8 billion. The company reported total revenue of $22.6 billion for the quarter, representing a 6 percent increase in line with Wall Street expectations. Nearly $4 billion came from the sports sector, which was relatively flat year-over-year, while Disney’s experiences segment saw revenue increase 1% to $8.2 billion. Investors welcomed the results, as evidenced by the company’s shares rising more than 7 percent today.

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Box office hits like Inside Out 2 And Deadpool and Wolverinewhich the company says played a significant role in the $316 million in operating profit reported by its studio business. Because of consumer touchpoints such as streaming, parks and resorts and cruise ships, a blockbuster Disney film today generates “more value than ever in the past,” Iger said, adding that Disney will end the year with additional expected hits like Moana 2 And Mufasa: The Lion King. “This multiplier effect means that the system economics of our film industry have never been stronger.”

Iger, who led Disney between 2005 and 2020, came out of retirement for a second term as CEO in 2022 and will be replaced by a candidate who has not yet been appointed in two years. Although Disney is not yet ready to replace its CEO, the company has optimistic growth forecasts for the coming years. In addition to expecting an additional $875 million in profits from its streaming division in the next fiscal year, Disney expects double-digit growth in adjusted earnings per share for fiscal years 2026 and 2027.

One thing that is not included in the company’s future plans is more acquisitions of media assets. While media executives like Discovery of Warner Bros. (WBD)It is David Zaslav to have I have already expressed my hope that the new Trump administration will be more receptive to media consolidations, Iger told analysts today that the company is pleased with the content it received after acquiring 20th Century Fox’s assets in 2017. respects, we have already consolidated,” he said. . “We don’t really need more assets right now.”