Disney's India Losses Shrink Dramatically

Disney's investment in its Indian joint venture, JioStar, is demonstrating a notable comeback in the streaming era, with significantly reduced losses reported. For the quarter ending March 28, 2026, Disney posted an equity loss of $64 million from JioStar, a marked improvement from the $103 million loss in the same period last year. This trend continued over six months, with losses narrowing from $136 million to $92 million.

JioStar, an $8.5 billion entity formed by merging Disney's India operations with Reliance Industries' media assets, shows signs of stabilization. The venture includes Star-branded channels and the JioHotstar platform. Reliance holds a 56% stake, with Disney holding 37%.

For the financial year ended March 31, 2026, JioStar achieved a net profit of Rs 3,210 crore. However, the high cost of premium sports rights, including the Indian Premier League and ICC tournaments, remains a significant financial challenge, with provisions for these rights more than doubling.

Despite these costs, industry observers view the JioStar merger as a pivotal development in Indian media, establishing a dominant player across television, streaming, and sports. The improving financial disclosures suggest Disney's India strategy, while costly, is moving towards a more sustainable footing.