In a surprising move, The Walt Disney Company announced on November 20, 2022, that Bob Chapek would step down as CEO, with former CEO Bob Iger returning to lead the company. Iger, who previously served as CEO from 2005 to 2020, agreed to a two-year term to set strategic direction and work closely with the board in developing a successor. The leadership change came after Disney reported a significant decline in stock performance, with shares dropping about 38% for the year. Chapek’s tenure faced challenges, including controversies over the company’s handling of social issues and strained relationships within Hollywood. Iger’s return was met with enthusiasm from employees and investors, with Disney’s stock rising by up to 9% following the announcement.
Chapek’s leadership had been marked by several controversies, including the company’s response to Florida’s “Don’t Say Gay” bill and a legal dispute with actress Scarlett Johansson over the streaming release of “Black Widow.” These issues, coupled with disappointing financial results, led to growing dissatisfaction among investors and employees.
Upon his return, Iger emphasized the need for strategic transformation and cost-cutting measures. In early 2023, Disney announced plans to cut about 7,000 jobs, equating to roughly 3% of its global workforce, as part of a $5.5 billion cost-savings initiative. The company also reorganized into three divisions: Entertainment, ESPN, and Parks, Experiences and Products, aiming to streamline operations and enhance creative decision-making.
Iger’s return has been credited with stabilizing Disney’s performance. Analysts have noted improvements across various segments, including theme parks, cruise lines, and streaming services. Disney’s stock has risen 11.4% in 2025, outperforming the S&P 500’s 5.5% gain.
Looking ahead, Disney plans to name a replacement for CEO Bob Iger in early 2026, according to a recent company release. The announcement also included that James Gorman, formerly CEO and executive chair of Morgan Stanley, will succeed Mark Parker as Disney chair on January 2, 2025. Gorman, who chairs Disney’s Succession Planning Committee, emphasized that the selection of a new CEO is a high priority and that the timeline allows for a smooth transition before Iger’s contract concludes in December 2026.
