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Credit: Warner Bros.Being a Harry Potter fan has become increasingly contentious in recent times, and the controversy appears to be taking a toll: the company behind one of the franchise’s largest ventures is currently grappling with financial losses.
The Ever-Growing Controversy of JK Rowling
JK Rowling may have created one of the most beloved franchises in pop culture history, but she has found herself at the center of ongoing controversies that have divided fans and critics alike in recent years.
Rowling has faced significant backlash for her comments on social media regarding transgender issues, which many have labeled as transphobic. Over the years, the author has drawn comparisons between transgender people and Voldemort’s Death Eaters, condemned Daniel Radcliffe and Emma Watson for opposing her views, and clashed with prominent transgender activists in heated online debates.
While she has defended her views as advocating for women’s rights, critics argue that her statements undermine the rights and identities of transgender individuals. The backlash has extended beyond social media, impacting public reception of Rowling’s involvement in new projects tied to the Harry Potter franchise.
Many fans have expressed discomfort with financially supporting ventures that benefit Rowling, leading to a split in the fanbase. While some have attempted to separate the art from the artist, others feel that doing so ignores the harm they believe her statements have caused.
This tension was particularly evident during the release of “Hogwarts Legacy,” a video game set in the Wizarding World, which sparked debates about whether purchasing the game amounted to an endorsement of Rowling’s views.
The same is true with the reboot heading to HBO, for which Rowling serves as an executive producer and the upcoming adaptation for Audible.
With the announcement of the latter, rumors emerged that Rowling was maximizing the franchise’s value while she still could. Industry insider Jeffrey Sneider’s newsletter, The Insneider, claimed that Warner Bros. Discovery has considered buying Rowling out of the Harry Potter franchise in order to build on the universe without bearing the weight of her controversial involvement.
“Reading between the lines, this seems like Rowling squeezing every last drop from the Harry Potter orange before WBD inevitably buys her out to get her out of the way, as the original stars won’t return with her still involved,” Sneider wrote.
Rowling’s ‘Harry Potter and the Cursed Child’ Company Reports Losses
Amid these rumors, Harry Potter Theatrical Productions—founded by JK Rowling and Neil Blair in 2013 to develop and produce the play Harry Potter and the Cursed Child, which acts as a sequel to the original books—has suffered losses on London’s West End.
As per newly filed accounts with Companies House, the company behind the global production of “Harry Potter and the Cursed Child” reported a turnover of £41.3 million for the year ending March 31, 2024, a decline from £45.2 million in the previous year. During the same period, its pre-tax loss improved slightly, dropping from £960,026 to £876,003.
Several cities have ended their productions of “Harry Potter and the Cursed Child” in recent years. The Melbourne production concluded in July 2023 after a five-year run, while Toronto’s production closed the same month after just over a year.
A statement signed off by the board of Harry Potter Theatrical Productions – for which Rowling is listed as an “active person with significant control” – has emphasized that the show remains deeply successful (via City AM).
The drop in revenue reflected a wider industry turnover rend in the UK, with West End earnings falling after an exceptionally strong 2022, which had been boosted by a surge in post-Covid demand.
In London, the popularity of the original two-part production of Harry Potter and the Cursed Child endures with the show celebrating its seven-year anniversary during the period.
The show remains profitable and continues to make profit distributions during the year.
The single-part New York production continues and has become the fifth-longest-running play in Broadway history.
The New York production was also profitable during the period and made profit distributions to the benefit of the group.