The good news is that Walt Disney's (NYSE: DIS) streaming business lost a little less money last quarter than it did in the quarter before. The bad news is, that's the only firmly bullish thing that can be said about the media company's direct-to-consumer operation's fiscal third quarter.

Everything else is lackluster at best or problematic at worst. Chief among these problems is (another) decline in the total number of domestic Disney+ subscriptions and now a contracting number of ESPN+ customers. Streaming is still a relatively small business compared to Disney's theme park, television, and film divisions. As such, the continued loss isn't devastating.

Nevertheless, streaming's persistent losses are chipping away at the company's bottom line, leaving much-needed profit growth at minimal levels. The matter is too serious for investors to ignore, so let's dive in.

Continue reading

Source Fool.com