Disney+ Now Has More Than 50 Million Paid Subscribers

The company attributed the growth to a strong launch in Western Europe.
Author:
Publish date:

Disney said on Wednesday that Disney+, its five month-old streaming service, has accumulated more than 50 million paid subscribers. 

The company last reported its subscriber figure at about 28 million in February. It has since launched in Western Europe after initially launching in the U.S. Disney  (DIS) - Get Report shares soared 6% in after-hours trading after it reported the new subscriber figure.  

"We're truly humbled that Disney+ is resonating with millions around the globe, and believe this bodes well for our continued expansion throughout Western Europe and into Japan and all of Latin America later this year," said Kevin Mayer, chairman Disney's direct-to-consumer and international segments, in a statement. 

Disney+ also launched in India in April 3 through Hotstar, its streaming service focused on the Indian market. The company has targeted between 60 million and 90 million paid Disney+ subscribers by 2024. 

The healthy performance of Disney+ so far is a bright spot for Disney, whose business has been battered by the coronavirus pandemic.

Shares have fallen about 30% year to date amid closures of Disney Parks worldwide and the suspension of its cruise segments. Movie theater closures have cut ticket sales, while the suspension of baseball, basketball and other sports has cut into its ESPN programming  Chairman Bob Iger also abruptly stepped down as CEO earlier this year. 

Disney appears on track to meet its longer-term subscriber target of between 60 million and 90 million paid Disney+ subscribers by 2024. 

Disney is a holding in Jim Cramer's Action Alerts PLUS member club