Disney Reports 72% Increase in Quarterly SVOD Operating Income

Disney reported a significant increase in its subscription video on demand (SVOD) operating income in the first quarter of 2026. The company saw a 72% surge to $450 million, up from $261 million in the previous year. This growth was driven by revenue of $5.34 billion, compared to $4.8 billion the year before.

Disney’s SVOD segment includes popular services like Disney+, Hulu, Hulu + Live TV, and Fubo TV. While specific subscriber and revenue numbers for each service were not provided, the company reported 196 million combined Disney+ and Hulu subscribers as of September 30, 2025.

Subscription fees increased by 13% to $4.42 billion, with price increases and bundling deals between Disney+ and Hulu contributing to this growth. Advertising revenue from ad-supported subscription tiers also rose by 4% to $922 million.

In terms of programming and production costs, Disney saw a 7% increase to $2.63 billion, while other expenses rose by 9% to $2.3 billion. CEO Bob Iger announced plans to allow users to create original AI content based on Disney intellectual property for 30-second video spots on Disney+.

These results reflect Disney’s ongoing success in the streaming space, and the company’s ability to capitalize on its strong content and brand presence in the market.