May 15 (Reuters) - Walt Disney ( DIS ) has cut its

investment in programming for traditional television networks

pretty dramatically as part of its strategy to maximize

audiences and profit in the streaming TV era, Chief Executive

Bob Iger said on Wednesday.

Iger said he looked expansively at traditional media when he

came out of retirement to return to Disney ( DIS ) as CEO in November

2022.

He concluded that traditional channels such as ABC still

serve as an important marketing tool and help reach older

viewers who are not watching series such as "Abbott Elementary"

on Disney's ( DIS ) streaming platforms.

Still, the company has reduced "pretty dramatically our

investment in content specifically aimed at those traditional

networks," Iger said at the MoffettNathanson's 2024 Media,

Internet and Communications Conference in New York.

"We feel comfortable with our hand right now, because we're

using those networks efficiently and effectively," he said.

Shows such as "Abbott" or "Grey's Anatomy" move quickly to

Disney's ( DIS ) Hulu streaming service, where they attract a younger

audience, Iger said.

The strategy allows Disney ( DIS ) to amortize costs across

platforms, the CEO added. One executive, Dana Walden, oversees

the traditional entertainment networks and streaming.

"We're basically aggregating greater audience, and we're

amortizing costs and we're using the marketing of the

traditional network, really, to help in some cases," Iger said.

"We're doing that across the board, Disney Channel, ABC,

National Geographic, and it's working," he added.

Iger said he expected continued growth from Disney's ( DIS ) theme

parks business, but perhaps not at the same rate as in recent

years.

"We've had double-digit revenue growth in that business for

quite some time, and that's extraordinary," he said. "But I

think we're being realistic, too, in that delivering

double-digit revenue growth ... well into the future is not

necessarily that achievable."

Disney ( DIS ) shares fell 2.5% to close at $102.77 on the New York

Stock Exchange on Wednesday.