Disney+ subscriptions fell short in the second quarter

Disney shares dropped as much as 5.3% in extended trading.

Disney+ subscriptions fell short in the second quarter

Disney’s traditional TV business posted a profit of $2.85 billion, a 15% increase from the same period last year, with help from higher affiliate fees and lower programming costs. That countered a drop in advertising.

With Disney’s parks now reopened everywhere but Paris, that division, a lucrative one in good times, will be more of a focus for investors. The unit lost $406 million in the quarter.

The movie studio generated $312 million in profit in a quarter where the company’s newest animated film, “Raya and the Last Dragon,” was released online to Disney+ customers for an additional $30 fee, as well as in theaters. Two other pictures, “Black Widow” and “Jungle Cruise,” will have similar hybrid releases in July.

Disney shares fell as low as $168.93 in extended trading after the results were posted. The shares were down 1.6% this year through the close Thursday in New York.

—Bloomberg News