Disney is facing its first annual loss in 40 years after reporting a fourth quarter loss of $710 million, its second straight down quarter. The company did beat revenue expectations, generating $14.71 billion, but was still down 23% year-over-year.
Cable revenue grew 11% year-over-year, in part because of ESPN’s added sports programming. However, the Disney-owned company accounted for a 7% year-over-year dip in cable network operating income due to the programming and production costs of the rescheduled NBA and MLB seasons.
Prior to the earnings report, ESPN had its largest layoffs in company history and restructured its leadership. More sports content is also getting pushed behind the ESPN+ paywall as Disney builds out its premium services and streaming.
Disney Streaming Subscribers:
Disney+: 73.7 million (up from 57.5 million in Q3)
Hulu: 36.6 million (up from 32.1 million)
ESPN+: 10.3 million (up from 8.5 million)
![[Subscription Customers Only] Jun 15, 2025; Seattle, Washington, USA; Botafogo owner John Textor inside the stadium before the match during a group stage match of the 2025 FIFA Club World Cup at Lumen Field.](https://frontofficesports.com/wp-content/uploads/2026/02/USATSI_26465842_168416386_lowres-scaled.jpg?quality=100&w=1024)
![[Subscription Customers Only] Jul 13, 2025; East Rutherford, New Jersey, USA; Chelsea FC midfielder Cole Palmer (10) celebrates winning the final of the 2025 FIFA Club World Cup at MetLife Stadium](https://frontofficesports.com/wp-content/uploads/2026/02/USATSI_26636703-scaled-e1770932227605.jpg?quality=100&w=1024)
