In another stroke of bad luck, The Walt Disney Company (NYSE: DIS) reported another big loss to the tune of $710 million for the fourth quarter, making it a back to back loss having already been down in Q3 for the first time since 2001.
In the fourth quarter, the entertainment and media conglomerate posted a $0.39 loss per share compared with $0.43 earnings per share in the same period a year ago. Its Parks, Experiences, and Products segment suffered significantly (around $2.4 billion negative impacts) on its quarterly revenue due to the COVID-19 pandemic.
Disney’s unfortunate financial losses mark another entertainment giant being eaten alive by the COVID-19 pandemic, which has killed revenues for millions of businesses across the globe. Although the company reported losses for this quarter, revenues were up for Disney+, a paid subscription service.
The company has reported 73.7 million paid Disney+ users, an increase from Q3 with 57.5 million subscribers. That said, the increase in users was not enough to bolster shortfalls in other areas of the company’s business. Disney has noticed this shift and made it clear that it would be shifting towards streaming services as long as the pandemic continues to play a factor.
