Disney has long been a media powerhouse, with a diverse array of revenue streams that extend far beyond their iconic theme parks. While their streaming services have recently taken the spotlight, the company’s financial success can be attributed to their multi-trick pony approach, in which they leverage their intellectual property (IP) in a variety of ways.
One of the most significant revenue streams for Disney is their theme parks, which continue to be a major draw for tourists from all over the world. Despite the pandemic’s impact, Disney’s US parks alone generated more than $5 billion in revenue in the latest quarter, outpacing even their streaming business. The company’s extensive merchandising efforts, which include licensing their beloved characters for toys, video games, and clothing, are also a significant source of income.
Beyond traditional media and merchandising, Disney has also made a name for itself in the world of sports through its ownership of ESPN. The sports network is a massive enterprise, contributing more than $7 billion in revenue to Disney’s Linear Networks division in the last quarter alone. The company has also invested in other sports-related ventures, including launching the ESPN+ streaming service in 2018.
While their streaming services are relatively new, Disney has already shown remarkable success in this area. With over 221 million subscribers across Disney+, Hulu, and ESPN+, the company has surpassed Netflix’s total and has seen their share price jump by 10%. However, it’s…