The Walt Disney Co. will cease reporting quarterly subscriber numbers and average revenue per user (ARPU) for its streaming platforms Disney+, Hulu, and ESPN+ starting from 2026. This change aims to focus on the profitability of its streaming efforts. The company also plans to merge the standalone Hulu app with Disney+ into a single, unified app experience by next year.
In an executive commentary released earlier this week, Disney CEO Bob Iger and CFO Hugh Johnston explained that quarterly updates on subscribers and ARPU have become less meaningful for evaluating business performance. Instead, they will provide information on Entertainment Direct-to-Consumer profitability.
The decision follows Netflix’s similar move to stop reporting subscriber numbers on a quarterly basis earlier this year. Like Netflix, Disney will continue to provide updates as it hits certain milestones.
The Hulu app will be integrated into the Disney+ platform, resulting in an entirely new app experience by 2026. The combined apps will offer a better consumer experience, lower churn rates, and improved advertising revenue potential.
Hulu will not cease operations but become Disney’s new general entertainment brand available within the unified Disney+ app. This change aims to provide subscribers with enhanced choice, convenience, quality, and personalization, ultimately driving growth in profitability and margins for the company’s streaming business.
Source: https://www.hollywoodreporter.com/business/digital/disney-stop-reporting-subscribr-numbers-hulu-disney-plus-1236338393