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By now, we’re all well aware that The Mandalorian and Grogu movie landed like a wet fish at the box office earlier this year. Even Disney isn’t trying to spin it as a success on its own, but it seems they’re not worried about losing a little money at the box office. That’s because even when a Star Wars movie flops, it still makes the company money in other ways.

During a recent earnings call with investors, Disney CEO Josh D’Amaro explained that even underperforming movies lead to profits for the company. “Even when our franchise films don’t meet our box office expectations, as with The Mandalorian and Grogu and the live-action Moana, our investments in these core properties fuel other parts of our company. The Mandalorian and Grogu drove healthy growth in retail sales for the Star Wars franchise and drew guests to the updated Millennium Falcon attraction at Disneyland and Walt Disney World, and led to significant engagement in gaming as well. And the live-action Moana is expected to be a strong title on Disney+, building on the success of the original film, which is one of the most-streamed movies of all time.”

Disney CFO, Hugh Johnston, added, “Look, theatrical performance is important to us, of course, and we certainly aspire to deliver consistent financial results for our films, but the nature of the film industry is such that it is more of a portfolio game. The good news for us is our diversified business helps us basically cover the volatility that comes out of the film business.”

So Disney knows that it has landed two box office bombs so far this year, but, in the long run, it makes so much money elsewhere that it doesn’t have to care.

The Mandalorian & Grogu is available to rent or purchase digitally. 

Get to know, understand, and love the Star Wars franchise more with our Star Wars watch order, guide to all the upcoming Star Wars movies & TV shows, and all the Star Wars movies and Star Wars TV shows ranked.