Disney+ to triple local originals as streaming profits hit £530m

Disney+ is to triple the number of local original series it commissions, after the streamer’s profits more than doubled in Q3.

Total revenues from Disney’s SVoD division, which includes Hulu, were up 11% to $5.53bn (£4.1bn) while profits soared from $329m (£244.1m) in Q3 2025 to $712m (£528.3m).

Programming and production costs dipped 4% over the same period to $2.58bn (£1.9bn), as revenues from subscription fees rose 15% to $4.71bn, largely driven by a 9% uptick in subscribers. Advertising revenues were up 3% to $851m.

Chief executive Josh D’Amaro said he wanted to develop Disney+ into “the digital centerpiece of The Walt Disney Company” by creating a “comprehensive membership ecosystem”.

The service will offer “high-value, always-on benefits with our storytelling”, he said, enabling the company to “reach more fans, deepen engagement, and increase subscriber retention.”

Elements are slated to be rolled out in spring, he continued, but non-US growth was a clear focus for the recently installed chief exec.

“On the direct-to-consumer front, early success in our emerging international programming slate gives us confidence to further ramp investment,” he said, citing shows such as Rivals S2, which became the biggest EMEA region original premiere in the UK and Ireland on Disney+.

D’Amaro added that The Perfect Crown had become the most-watched Korean premiere on Disney+ globally to date, while Dear Killer Nannies was major hit in LatAm.

“Across the next three years, we plan to roughly triple the number of local original series on Disney+ to drive new international users to the platform and reduce churn,” D’Amaro wrote in his shareholder letter.

His words underline the commitment to ramp up programming spend in EMEA made by regional content chief Angela Jain earlier this year. Specifically, the platform will be targeting key territories like the UK for programming investment.

TikTok deal & entertainment

Disney also unveiled a deal with TikTok that will allow the social media service’s users to use characters and scenes from its content in shortform videos.

The videos will be accessible via a Verts tab, replicating how ESPN has used shortform content on its streaming service.

The deal marks the first time that TikTok content will appear on a third-party site, with D’Amaro describing the move as part of a strategy “to expand our content offering beyond traditional premium film and TV to drive engagement and fandom.”

“The agreement will bring creators to the forefront of Disney+, with a curated feed of fan-created content featuring our characters and stories. It brings a pipeline of creator content to Verts on Disney+, promotes discovery, and elevates creators through a unique Disney ambassador program.”

He also detailed plans to move the consumer products unit - which brought in revenues of $1.1bn in Q3 - out of its Experiences division and into Entertainment.

D’Amaro said the move would have “strategic and operational benefits by bringing the monetisation of our IP through consumer products closer to the studios that create that IP.”

“Additionally, we believe this presentation will better reflect the returns our Entertainment segment is generating from the content it produces and make our Entertainment segment more comparable to peer reporting methodologies.”

Across the broader Entertainment division, the release of Toy Story 5 helped to propel the division’s revenues to $11.35bn, up 6% on the same period last year.

Operating income was up 64% to $1.68bn, while Disney’s Experiences division saw revenues rise 20% to hit $9.97bn, with operating income of $3bn.

The other major pillar, ESPN-dominated Sports, saw revenues tick up 7% to $4.5bn but operating income dipped 17% to $858m.

Revenues across the entire Disney operation rose 7% to hit $25.25bn, with operating income rising 21% to reach $5.55bn for the three months to the end of June.