NEW YORK (AP) — The Latest on Disney earnings (all times local):
Disney says it will offer its three streaming services in a package for $13.
Hulu now costs $6, and ESPN Plus costs $5. The upcoming Disney Plus service will cost $7. So the package will represent a $5 savings. Disney is making the package available Nov. 12, the same day Disney Plus is launching.
Disney is turning to its own streaming services to compete with Netflix as people drop traditional cable services, and Disney loses revenue from its ESPN and traditional channels. Disney offered more details about its streaming plans in discussing its quarterly earnings results Tuesday.
Disney gained control of Hulu with its purchase of Fox’s entertainment businesses this year.
Disney says its net income fell 39% in the latest quarter. Despite box office successes such as “Avengers: Endgame,” Disney spent more money on its ESPN Plus and upcoming Disney Plus streaming services.
The results missed Wall Street’s expectations, and shares fell 3% in aftermarket trading.
Net income for the fiscal third quarter, which ended June 29, fell to $1.76 billion, from $2.92 billion last year. Excluding one-time items, net income totaled $1.35 per share. Analysts surveyed by FactSet expected net income of $1.72 per share.
Revenue rose 33% to $20.2 billion from $15.2 billion, short of the revenue of $21.4 billion analysts expected.