The Walt Disney Co. has lost nearly $900 million on its past eight studio releases, including "The Little Mermaid" and "Guardians of the Galaxy," according to box office analyst Valliant Renegade.
Two of the titles outright flopped — "Strange World" and "Lightyear" — as Disney faces economic woes. Just last month, Deadline reported that Disney started its third and final round of layoffs as the company looks to slash 7,000 jobs by the summer.
"One of the things that we always talk about here, that is the perfect time to remind everybody, is that Disney consumes all of its own content post-theatrical," Valliant Renegade said in the YouTube video.
"Meaning that Disney that used to license their big content out like the entire MCU [Marvel Cinematic Universe] to places like Netflix for years, those were billions of dollars' worth of third-party contracts that have now been taken off the table.
"So not only do we need to consider how much money Disney has lost at the box office, we also need to consider how much money Disney has lost in economic-opportunity costs. You see, that's how much money they could have made had they actually taken these films and licensed them to Netflix, or Amazon Prime, or even similar to what Universal does with a split Pay 1 window."
He added: "If Disney had just taken the Universal-type deal with those two major streamers, Disney would have a lot more money in its pocket. But they've chosen to keep it all home to support Disney+."
Disney, which is in the midst of a "strategic reorganization," has been working on trimming about 7,000 jobs as part of a targeted $5.5 billion cost savings across the company.
Bob Iger, who returned in November to take over the CEO post from Bob Chapek, has been working over the past six months to turn around Disney's streaming business while simultaneously making sure that the financial might coming from its theme parks doesn't waver.
He's also had to contend with trying to protect Disney World's theme park district from a takeover by Florida Gov. Ron DeSantis. Disney sued DeSantis in late April, alleging the Republican governor waged a "targeted campaign of government retaliation" after the company opposed a law critics call "Don't Say Gay." Disney's legal filing is the latest salvo in a more than year-old feud between the company and DeSantis.
Information from the Associated Press was used in this report.
Solange Reyner ✉
Solange Reyner is a writer and editor for Newsmax. She has more than 15 years in the journalism industry reporting and covering news, sports and politics.
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