Walt Disney Co. reported quarterly earnings on Tuesday that exceeded Wall Street expectations, with both revenue and profit beating analyst estimates. The new CEO outlined a comprehensive growth strategy during the earnings call, focusing on streaming profitability and global theme park expansion.

The streaming division Disney+ showed strong subscriber growth and achieved its first full-year profitability target, marking a significant milestone in the company’s digital content transformation. Theme park and experiences business also maintained steady growth despite macroeconomic uncertainties.

The CEO emphasized optimizing content investment efficiency, reducing spending on underperforming projects while increasing investment in high-return IP franchises. Disney plans to complete its streaming consolidation in major markets by 2027, fully integrating Hulu content into the Disney+ platform.

Analysts reacted positively to Disney’s strategic pivot, saying the company has found a sustainable profitability path in the highly competitive streaming landscape.

The U.S. Federal Communications Commission (FCC) announced on April 28, 2026, that it will conduct an early review of broadcast licenses for multiple ABC television stations owned by Disney — years ahead of the normal renewal cycle.

The decision comes directly in the wake of controversy surrounding late-night host Jimmy Kimmel’s on-air remarks about First Lady Melania Trump. The Trump administration expressed strong objections to the comments and has cited the incident as justification for pushing the FCC into action.

The FCC Chairman stated in a declaration that the review is a “normal regulatory procedure based on public interest considerations.” However, critics argue that linking broadcast license reviews to specific program content may violate the First Amendment’s protection of free speech.

First Amendment advocacy groups have strongly condemned the move. NBC News reported that organizations said: “The FCC’s early review of broadcast licenses based on program content is a direct threat to press freedom.”

According to CNBC, the ABC broadcast licenses still have years remaining before their normal expiration date. The FCC’s action means these licenses could face revocation or the imposition of restrictive conditions.

CNN reported that the Trump administration is simultaneously challenging the operating credentials of some ABC local stations, which is seen as further pressure on the media. Kimmel previously faced White House criticism and advertiser pullbacks over his comments.

Legal experts note that FCC reviews of broadcast licenses must be based on technical standards, not program content. If the FCC takes action based on content, it could face judicial review in federal courts.

The incident has sparked widespread discussion about government interference in media independence. Multiple press freedom organizations have indicated they will take legal action to protect broadcasters’ First Amendment rights.

Sources: BBC · Fox News · CNBC