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Beyond streaming, Disney’s overall financial health has also been affected. For the quarter, Disney reported a net loss of approximately $500 million — a stark contrast to the $4 billion profit during the same period last year. The loss is partially attributed to write-downs and restructuring costs, including the elimination of underperforming programming.
These losses reflect the broader challenges Disney faces in aligning its content ambitions with profitability. Despite pouring hundreds of millions into Marvel and Star Wars projects, the return has not yet matched expectations, and the company continues to bleed money on its streaming platforms.