Disney has suffered a setback this time after a sharp fall in its shares at the beginning of the year due to a fall in Netflix’s profits. The company’s shares have seen a sharp decline after the results of the last quarter of its financial year were announced.
Disney, which employs about one lakh 90 thousand workers in its offices, parks, and entertainment industries around the world, has shaken the results of the last quarter of the financial year. In an email to his employees, the company’s CEO Bob Chepak hinted at drastic measures to be taken to improve the company’s fortunes. The company will not even make any new recruitment for the next six months. Sources tell that OTT The expenditure of the company has increased due to a huge amount being spent in making or buying content for it and strict instructions have been issued to all concerned in this regard.
Drop in shares
Disney has suffered a setback this time after a sharp fall in its shares at the beginning of the year due to a fall in Netflix’s profits. The company’s shares fell sharply after its last quarter’s results for its fiscal year, and this decline forced the company’s CEO, Bob Chepak, to lay off all of its employees. Although these stocks have since recovered, the company management believes that whatever amount has been spent above shareholders’ expectations is necessary for the company’s growth and to beat giants like Netflix in the OTT market.
A complete ban on new recruitment
In addition to the amount spent to acquire ownership of some large companies, experts have also commented on the company’s financial management as the reason behind Disney’s deteriorating financial condition. Because of this, the company has now completely banned new recruitment and has started identifying those officers who are drawing huge salaries in different branches of the company, whose decisions have caused huge losses to the company in recent times. It has happened One such decision that has come under scrutiny is the ‘First Day First Show’ launched by the company’s Mumbai office on Hotstar.
CEO has sent a clear message
Disney’s CEO Bob Chepak has sent a clear message about this to his employees and executives. According to the message, “The company is conducting an overall review of its performance and some staff deficiencies are part of this review. However, due to this, there will be no compromise on quality, and neither will the acquired organizational strength of the company be allowed to suffer. But, we have to decide that the amount invested in the company should not only benefit the audience, but the company should also benefit.