Disney has revised its outlook on the equity loss expected from its joint venture, JioStar, with Reliance Industries, as per news reports. The new estimate of $200 million for the fiscal year signals a noticeable improvement over the earlier $300 million projection, stemming from a mix of operational gains and accounting adjustments. Disney's fiscal year runs from October to September.
Disney’s 3rd‑quarter earnings released on 7 August 2025 revealed an equity loss of $50 million from the JV for the quarter, pulling the 9‑month net loss to $186 million. The smaller loss is attributed to reduced amortisation charges and a stronger EBITDA of ₹1,017 crore reported by JioStar. The Indian Premier League 2025 has boosted viewership and advertising revenue.
The Star India transaction removed its linear TV assets from Disney’s consolidation, causing a 92 % drop in operating income for that segment to $12 million. Conversely, the Disney+ Hotstar platform showed a robust recovery, with operating income climbing to $346 million, up from a $19 million loss a year earlier, thanks to higher subscription pricing and a larger subscriber base.
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For the 9‑month period, Disney posted $437 million in charges, including $185 million for equity investment impairment and $143 million for goodwill impairment linked to Star India. These non‑cash items are part of the write‑downs following the joint venture’s inception on 14 November 2024.
Disney’s revised loss forecast of $200 million on its 37 % stake in JioStar reflects a combination of better operating performance, reduced amortisation, and a strengthening direct‑to‑consumer division. Despite the loss, the company's media portfolio shows resilience in the face of deconsolidation movements.
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Published on: Aug 7, 2025, 11:43 AM IST
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