Disney takes significant India write-downs on JioStar, Tata Play

Mumbai: American media giant Walt Disney has booked significant non-cash write-downs tied to its India portfolio, including the JioStar India joint venture with Reliance Industries Ltd (RIL) and its 30% stake in DTH operator Tata Play.The company has reported about $2 billion in total charges for fiscal years 2024 and 2025 related to the restructuring of its India businesses, reflecting impairments on Star India (now JioStar India), a transaction-related tax charge, and a combined write-down that includes its investment in Tata Play.

Disney’s fiscal year ends in September. The company reported its FY25 results on Thursday.

Disney, which took $1.5 billion in impairments on Star India in fiscal 2024, recorded another $100 million in fiscal 2025. It also recognised a non-cash tax charge of about $200 million in fiscal 2025 linked to the closing of the Star India transaction.

Separately, Disney reported $635 million in fiscal 2025 for impairments tied to A+E Networks, its equal JV with Hearst Corporation, and Tata Play, though the filings do not break out the Tata Play component. For the fourth quarter alone, the company booked a $450 million impairment for A+E, which forms part of the full-year $635 million impairment.

Disney owns 30% of Tata Play, while Tata Sons now holds 70% after acquiring Temasek’s 10% stake for $100 million, valuing the platform at $1 billion.The company continues to guarantee $700 million in outstanding letters of credit tied to JioStar India through calendar 2025.Disney’s India restructuring formally took effect on November 14, 2024, when it combined the Star-branded TV networks and the Disney+ Hotstar streaming service with the media and entertainment assets owned by RIL under Viacom18 to form Jio Star India.

Following the closing, Disney deconsolidated Star India’s assets and liabilities and began accounting for its 37% interest in the JV under the equity method. Reliance holds an effective 56% controlling stake, with Bodhi Tree Systems owning 7%.

The filings also show that the India JV was lossmaking in its first post-closing reporting period. Equity in the income of investees declined $280 million year-on-year to $295 million, driven by lower A+E contributions and a $202 million equity loss from the India joint venture.

Disney said the shift from full consolidation to minority ownership changed how India results flow through its books. Globally, service revenue rose 3% to $84.6 billion, but this included an about 3-percentage-point decrease from the Star India transaction.

Cost of services increased to $52.7 billion, reflecting a 4-percentage-point reduction from removing Star India. Selling, general, administrative and other costs grew 5% to $16.5 billion, including a 2-percentage-point decrease linked to the transaction.

Excluding these effects, revenue and costs increased due to higher subscription revenues, greater programming and production spending, inflation in the parks businesses, and higher marketing expenditure.

Disney’s entertainment goodwill fell to $51 billion in FY25 from $55 billion in FY23 after a $2.4 billion allocation to Star India and related impairments.