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Disney’s Theatrical Unit Posts $21 Million Loss Despite Revenue Growth

Bob Iger champions quality-first filmmaking with fresh IP development in response to uneven box office performance

© Disney/Marvel/Lucasfilm
Image
Credit: Disney / Kadyn Pierce, Unsplash / edited by ITM
SPACE FANATIC – Elio (voice of Yonas Kibreab) is a space fanatic with an active imagination who finds himself on a cosmic misadventure where he must form new bonds with eccentric alien lifeforms, navigate a crisis of intergalactic proportions and somehow discover who he is truly meant to be. Directed by Madeline Sharafian, Domee Shi and Adrian Molina, and produced by Mary Alice Drumm, Disney and Pixar’s “Elio” releases in theaters June 20, 2025. © 2025 Disney/Pixar.

Overview

  • The theatrical division recorded a $21 million operating loss in Q3 FY2025, reversing a $254 million profit from the same period last year.
  • Box office revenue rose 7% year over year to $2.26 billion even as the broader entertainment division saw a 15% drop in revenue.
  • Lilo & Stitch grossed more than $1 billion worldwide but titles such as Elio and Thunderbolts* underachieved and the Fantastic Four reboot plunged 66% in its second weekend.
  • CEO Bob Iger said the studio will not favor sequels, remakes, or originals over one another but will prioritize making great films that resonate with audiences.
  • Looking ahead, Disney plans to develop new IP under its 20th Century Studios and Searchlight banners and deploy franchise sequels including Zootopia 2 and Avatar: Fire and Ash.