The Walt Disney Company on Monday announced James Gorman, former CEO of Morgan Stanley, will serves as its next board chairman.
Gorman, set to take the helm on January 2, 2025, will succeed Mark Parker, who is stepping down after nearly a decade of service. This announcement marks a pivotal moment as the entertainment giant eyes the future with plans to name its next CEO by early 2026.
"The Disney board has benefited tremendously from James Gorman's expertise and guidance, and we are lucky to have him as our next chairman—particularly as the board continues to move forward with the succession process," Disney CEO Bob Iger said in a statement on Monday.
Iger was Disney's public face for 15 years, compiling a string of victories lauded in the entertainment industry and by Disney fans before he retired in 2020.
However, he returned in 2022 to steer the company back following a turbulent period under former CEO Bob Chapek.
Newsweek reached out to Disney via email on Monday for comment.
Meanwhile, the selection of Gorman is being hailed as a calculated move to ensure stability as Disney continues its search for a new CEO. Gorman, known for his seasoned leadership in succession planning at Morgan Stanley—where he served as CEO from 2010 to 2023 and chairman from 2012 to 2023—is no stranger to navigating high-stakes transitions.
Gorman himself expressed confidence that the timeline for the new CEO "will allow ample time for a successful transition before the conclusion of Bob Iger's contract in December 2026."
As speculation swirls around potential candidates—both internal and external—Disney's stock remained steady, slipping just 32 cents to $96.97 in early trading Monday.
It comes after Disney reported a profitable third quarter in August after recent financial struggles, which included its streaming business turning a profit for the first time.
Disney's direct-to-consumer division, which includes Disney+ and Hulu, reported a reduced operating loss of $19 million, significantly down from the $505 million loss the previous year. Revenue for this segment rose 15 percent to $5.81 billion.
This financial report followed Disney's announcement of price increases for Disney+, Hulu and ESPN+. Prices for Disney+ and Hulu with ads will each increase by $2 to $9.99 per month, while the ad-free versions will see similar hikes.
For the quarter ending June 29, Disney earned $2.62 billion, or $1.43 per share, reversing a loss of $460 million from the previous year. Adjusted earnings were $1.39 per share, and revenue rose 4 percent to $23.16 billion, surpassing Wall Street's forecast of $22.91 billion,
Meanwhile, this leadership transition signals a new chapter for Disney, as it moves forward with fresh leadership at the board level.
This article includes reporting from The Associated Press.
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