Disney Reports Mixed Q3 Earnings, CEO Bob Iger Announces Streaming Updates

Disney's Q3 2025 earnings were mediocre, but CEO Bob Iger's announcements stole the show. Disney+ added 1.8 million new subscribers, a 1% increase YoY. Iger announced the integration of Hulu into Disney+, offering greater selection and personalization options. He also unveiled the launch of a new ESPN+ on Aug. 21, featuring personalized features, game stats, and fantasy sports, as well as a partnership with the National Football League. The new ESPN streaming site aims to offer something unique to streaming viewers and drive growth in the Disney bundle.

Disney's Q3 2025 earnings report, released on August 6, 2025, revealed a mixed performance with a slight increase in overall revenue. The company's direct-to-consumer segment saw significant growth, driven by strong performances in streaming and experiences. CEO Bob Iger's announcements, however, stole the show, with the integration of Hulu into Disney+ and the launch of a new ESPN+ service.

Q3 2025 Financial Performance

Disney's Q3 2025 revenue stood at US$23.7 billion, up from US$23.2 billion in the same quarter last year. The direct-to-consumer segment, which includes Disney+, Hulu, and other streaming services, saw its revenue increase to US$6.1 billion, a 6% rise from the previous year [1].

Integration of Hulu into Disney+

One of the key announcements was the integration of Hulu into Disney+. The unified app, scheduled to be available to consumers in 2026, aims to provide subscribers with a broader selection of content and enhanced personalization. Internationally, Hulu will replace the Star tile on the Disney+ app, positioning Hulu as Disney's global general entertainment brand [1].

New ESPN+ Service

Iger also unveiled the launch of a new ESPN+ service on August 21, featuring personalized features, game stats, and fantasy sports. This service is set to differentiate itself from existing streaming platforms by offering unique content and features. Additionally, Disney announced a partnership with the NFL, acquiring the NFL Network and other media assets, and a five-year deal to air WWE's biggest events on ESPN in the US from 2026 [1].

Future Outlook

Disney expects to increase its Disney+ and Hulu subscriptions by more than 10 million in Q4 2025 compared to the current quarter. The company also expects operating income to grow across its major segments, with entertainment direct-to-consumer income projected to reach US$1.3 billion for the fiscal year 2025 [1].

References

[1] Kidscreen. (2025, August 6). Q3 report: Disney to integrate Hulu into Disney+. Retrieved from https://kidscreen.com/2025/08/06/q3-report-disney-to-integrate-hulu-into-disney/

[2] Yahoo Finance. (2025, August 11). Disney is fully integrating Hulu into Disney+. Retrieved from https://finance.yahoo.com/news/2-become-1-starting-next-122011556.html

[3] CNBC. (2025, August 11). ESPN and Fox to bundle upcoming streaming services for $39.99 a month. Retrieved from https://www.cnbc.com/2025/08/11/espn-fox-to-bundle-upcoming-streaming-services-for-39point99-a-month.html