The Walt Disney Company delivered a blockbuster finish to fiscal 2025, with its streaming platforms posting explosive subscriber growth in the fourth quarter. Disney+ added 3.8 million paid subscribers, while Hulu’s on-demand (SVOD-only) tier surged by 8.5 million new users—the largest quarterly gain in the service’s history. Even the premium Hulu + Live TV bundle grew modestly but steadily, adding 100,000 subscribers.
“This was another year of great progress as we strengthened the company by leveraging the value of our creative and brand assets and continued to make meaningful progress in our direct-to-consumer businesses,” said Robert A. Iger, Chief Executive Officer, The Walt Disney Company. “Our strategy,
coupled with our portfolio of complementary businesses and a strong balance sheet, enables us to continue investing in high-quality offerings for our consumers and increasing our returns to shareholders, and I’m pleased with our many achievements this fiscal year to position Disney for the future.”
The numbers, revealed in Disney’s Q4 and full-year earnings report released today, underscore the company’s aggressive push into direct-to-consumer entertainment and its ability to drive both scale and profitability in a maturing streaming market.
At the close of Q4 on September 27, 2025, Disney+ reported 131.6 million paid subscribers worldwide, up from 127.8 million at the end of Q3—a net gain of 3.8 million in just three months. Domestic U.S. and Canada subscribers grew from 57.8 million to 59.3 million (+1.5 million), while international markets contributed 2.5 million new users, rising from 69.9 million to 72.4 million.
Average monthly revenue per paid subscriber (ARPU) for Disney+ climbed to $8.04, a 2% increase from $7.86 in Q3, driven by price increases, improved ad-tier adoption, and favorable foreign exchange impacts in international markets.
The biggest surprise came from Hulu’s SVOD-only tier, which skyrocketed from 51.2 million subscribers in Q3 to 59.7 million in Q4—a staggering +8.5 million increase. The surge was fueled by aggressive bundling with Disney+ and ESPN+, promotional pricing during back-to-school season, and a robust slate of original programming, including Only Murders in the Building Season 5, The Bear Season 4, and exclusive next-day broadcast content from ABC.
Hulu’s total subscriber base, including Live TV, reached 64.1 million, up 15% sequentially.
While growth slowed compared to prior years, Hulu + Live TV still added 100,000 subscribers, rising from 4.3 million to 4.4 million. The bundle maintained stable ARPU at $100.02, despite a slight dip in ad revenue. Disney attributed the modest gain to seasonal college football viewership and the launch of new multichannel packages with enhanced cloud DVR and unlimited screens.
Beyond subscriber wins, Disney’s Entertainment Direct-to-Consumer business turned in $352 million in operating income for Q4—up 39% from $253 million a year ago. Full-year DTC operating income soared to $1.33 billion, a dramatic turnaround from just $143 million in FY24.
The company reaffirmed its guidance for 10% operating margin in Entertainment DTC SVOD by fiscal 2026, with double-digit segment profit growth expected next year.
Disney’s “One App” experience—launched earlier in 2025—has merged Disney+, Hulu, and ESPN+ content into a single interface for bundle subscribers, reducing churn and boosting engagement. Over 75% of new Disney+ and Hulu subscribers now opt for a bundled plan, according to internal metrics.
Advertising also played a key role. Disney+ ad-tier subscribers grew 40% quarter-over-quarter, while Hulu ad revenue remained resilient despite lower CPMs in a post-election political ad lull.
Disney projects double-digit adjusted EPS growth in both FY26 and FY27, fueled by streaming profitability, record $10 billion in Experiences segment operating income, and a doubling of share repurchases to $7 billion in FY26.
With major theatrical releases like Avatar: Fire and Ash and Frozen 3 slated for 2026, and new streaming exclusives from Marvel and Lucasfilm, Disney’s content pipeline remains unmatched.
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