Disney (DIS) is reining in its spending after the company reported weak fourth quarter earnings, which sent the stock plummeting to a new 52-week low as investors zeroed in on the media giant’s widening streaming losses.
In an internal memo obtained by Yahoo Finance, Disney CEO Bob Chapek told division leaders on Friday that the company has established “a cost structure taskforce” to help Disney+ reach its profitability targets.
“As we begin fiscal 2023, I want to communicate with you directly about the cost management efforts Christine McCarthy and I referenced on this week’s earnings call,” the memo stated. “”These efforts will help us to both achieve the important goal of reaching profitability for Disney+ in fiscal 2024 and make us a more efficient and nimble company overall. This work is occurring against a backdrop of economic uncertainty that all companies and our industry are contending with.”
The taskforce, which includes Chapek, along with Disney CFO Christine McCarthy and…
This article was written by and originally published on finance.yahoo.com