Bob Iger returns as Disney CEO as Chapek is ousted

The Walt Disney Company said that Bob Iger is returning to head the media firm as current CEO Bob Chapek steps down from the post.

Iger, who officially exited Disney in 2021, is set to take the command immediately. The media giant said that he will serve as CEO for two years.

In a statement, the chairman of Disney’s board, Susan Arnold said the board had concluded that as Disney embarked on an increasingly challenging period of industry transformation, Bob Iger was uniquely capable to lead the company through this pivotal period.

The surprise change comes at a tumultuous time for The Walt Disney Company.

In November 2022, Disney reported weaker-than-expected fourth-quarter financial results, killing the momentum built over a strong year that observed record revenue and profits in multiple divisions, especially the one that includes theme parks.

Disney’s theme park business has recovered robustly since the coronavirus pandemic shut down its venues worldwide, but the division continues to subsidize widening losses in the video-streaming sector.

Chapek has stated repeatedly that he expects the streaming business to be profitable by September 2024. Although in the most recent quarter, the company lost $1.47 billion, over twice the year-earlier loss.