JioStar cuts Disney’s India losses amid improving media business performance

MUMBAI: Disney’s India story may finally be getting its streaming-era comeback. The Walt Disney Company has reported sharply lower losses from its stake in JioStar, signalling improving performance at the Reliance-backed media giant nearly two years after the blockbuster merger reshaped India’s entertainment landscape.

According to Disney’s latest filing with the US Securities and Exchange Commission, the company posted an equity loss of $64 million from its India joint venture for the quarter ended March 28, 2026. That marks a significant improvement from the $103 million loss reported during the same period last year.

For the six-month period, Disney’s losses from the venture narrowed to $92 million from $136 million a year earlier, suggesting the financial pressure from its India operations is gradually easing.

The numbers point to stabilisation at JioStar, the $8.5 billion media entity created through the merger of Disney’s India business and select media operations owned by Reliance Industries.

The venture combines Disney’s Star-branded entertainment and sports channels with the former Disney+ Hotstar platform, now rebranded as JioHotstar.

Reliance currently owns 56 per cent of the venture, while Disney holds 37 per cent and Bodhi Tree Systems controls the remaining 7 per cent.

Since the merger, Disney no longer consolidates Star India’s financials directly into its earnings. Instead, it reports only its share of profits or losses from the joint venture under equity accounting rules.

The improving India performance also lifted Disney’s broader income from equity investments. Income from equity investees rose to $57 million during the March quarter, up from $36 million a year ago. For the six-month period, that figure climbed to $150 million from $128 million previously.

Disney said the gains were driven largely by reduced losses from JioStar, although softer earnings from A+E Networks, its venture with Hearst Corporation, partly offset the improvement.

Financial disclosures from Reliance suggest the India business has started finding firmer footing despite the heavy burden of premium sports rights.

For the financial year ended March 31, 2026, JioStar reported a net profit of Rs 3,210 crore, operating revenue of Rs 31,048 crore and EBITDA of Rs 4,885 crore.

Still, cricket remains both the crown jewel and the costliest player on the balance sheet.

The company inherited an expensive portfolio of sports broadcasting deals tied to marquee properties including the Indian Premier League, tournaments governed by the International Cricket Council and rights linked to the Board of Control for Cricket in India.

In FY25, provisions for expected losses on sports rights contracts more than doubled to Rs 25,760 crore from Rs 12,319 crore a year earlier, highlighting the steep cost of staying at the top of India’s sports entertainment race.

Even so, industry observers see the merger as a defining shift in Indian media, creating a dominant player across television, streaming and live sports.

For Disney, the latest quarter suggests the India gamble may still be expensive, but the losses are no longer stealing the entire show.