Per Bloomberg

News has started to spread of how Disney could downsize its entertainment division by eliminating 15% of its workforce. This came from people that were familiar with the matter and the company declined to comment on the news.

In February, the company said that it wanted to eliminate 7,000 positions to save $5.5 billion in annual costs. During the time of the report, it was noted that the company had over 220,000 workers.

The plan to downsize spreads across multiple segments of the company's entertainment division, including the following.

TV
Film
Theme parks
Corporate positions

Per people familiar with the matter, on April 24, it was noted that the affected workers will receive a notification. The potential layoffs come as other major media companies were trimming its headcount.

Some of the other major media companies that wanted to decrease its headcount include Warner Bros. Discovery Inc., Paramount Global, and Comcast Corp.'s NBCUniversal.

To improve income generating efforts, the company has said that it would be focusing on franchise properties and well-recognized brands.

In February, it was also reported that Walt Disney Company was going to restructure into 3 divisions as they were trying to cut costs by $5.5 billion. During this time, news of the 7,000 headcount downsizing represented 3% of the roughly 220,000 employed as of October 1.

In January, Disney's Avatar: The Way of Water broke the $2 billion threshold, closing in on Titanic at that time, which achieved $2.19 billion. During the time of the report, the movie made $1.426 billion oversees and $598 million domestically.

In China alone, the movie was able to make $230 million during the time of the report, reaching closer to its first movie which launched in 2009, which raked in $2.9 billion.

See flow at unusualwhales.com/flow.

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Bloomberg