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The Walt Disney Company reported a $103 million equity loss from its India JV with Reliance Industries and Bodhi Tree Systems for the March quarter and $136 million for the six-month period in its Q2 FY25 results.It also reported a $300 million loss from its India JV over the six-month period, primarily due to accounting adjustments related to the formation of JioStar, as previously disclosed in Q1.
The loss relates to Disney’s 37% stake in the JV, which was completed on November 14, 2024. The JV brings together Disney’s India media assets, including Star India and Disney+ Hotstar, with Reliance’s media businesses under Viacom18. Reliance owns 56% of the JV, while Bodhi Tree Systems holds 7%.
As part of the deal, Disney deconsolidated Star India from its books and now treats its stake as an equity investment.
This change led to a sharp drop in international revenue, which fell 55% year-on-year to $223 million for the quarter ending March 29. Operating income from international operations also dropped 84% to $15 million.
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Income from companies in which Disney owns a stake fell to $36 million from $141 million a year earlier. Disney’s linear networks operating income grew 2% year-over-year, though the prior-year comparison includes $89 million in operating income from Star India in Q2 FY24.Despite this, the JV—now operating as JioStar—posted a net profit of Rs 229 crore (about $27 million) on revenue of Rs 10,006 crore ($1.2 billion) for the period since the merger until March 31. It also reported Rs 774 crore ($93 million) in EBITDA with a 7.7% margin.”We have had robust financial performance, keeping in mind, despite the weak macroeconomic situation that is there. We have had higher sports revenue led by ICC Trophy as well as IPL. And despite the headwinds, we have kept a very close eye on our costs and to ensure that we have profitability and have positive financials for this period,” JioStar CEO – Entertainment Kevin Vaz said during Reliance Industries’ Q4 FY25 earnings call.
Disney also recorded non-cash charges of $143 million tied to the JV deal and another $109 million related to content impairments.
Still, streaming operating income rose to $336 million from $47 million a year ago, helped by higher subscription prices and the absence of losses from Star India.
However, Disney remains liable for $1 billion in letters of credit issued by Star India before the merger, with guarantees extending through the end of 2025.
JioStar now reaches 760 million viewers monthly and holds a 34% share of India’s TV entertainment market. Its streaming platform, JioHotstar—formed by merging Disney+ Hotstar and JioCinema—had 280 million paid subscribers and 503 million monthly active users in March 2025.
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