Stock Groups

Disney’s Chapek says program production delayed as Delta variant spreads By Reuters


© Reuters. FILEPHOTO: Chairman of Walt Disney Parks and Resorts Bob Chapek addresses the crowd at the Hong Kong Disneyland’s 10th anniversary celebration on September 11, 2015. REUTERS/Tyrone Siu/File Photo

(Reuters) – Walt Disney (NYSE:) Co Chief Executive Officer Bob Chapek said on Tuesday the resurgence of the Delta variant of the coronavirus was delaying production of some of its titles.

The company’s shares fell by 3% following Chapek’s announcement. This is after the company was hard hit by the coronavirus epidemic, when many of its movie theatres and theme parks were closed.

Chapek spoke out at the Goldman Sachs Communacopia Conference. “Our TV group is producing hundreds of programs… however, the resurgence COVID and Delta had an impact on some of our productions so we have a lighter product quarter for Q4 than we would have expected,” he said.

Global production delays caused by COVID were evident, although the problems were temporary, he said.

Disney+ streaming service, launched November 2019 has had more people tuning in. However, the market is heating up due to new entrants as well as investments by companies such Apple (NASDAQ:), and Netflix (NASDAQ.:).

Chapek stated that the company is still confident and bullish about long-term subscription growth but could see “a bit more noise” than expected.

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. CFDs include futures, stocks, indexes and Forex. Prices are provided not by the exchanges. They are generated by market makers. Therefore, prices can be inaccurate and differ from actual market prices. These prices should not be used for trading. Fusion Media is not responsible for trading losses that may be incurred as a consequence of the use of this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Trading the financial markets is one of most risky investment options. Please make sure you are fully aware about the costs and risks involved.