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‘Harry Potter’ Company Hit by Financial Losses Amid Ongoing Backlash Against J.K. Rowling

Is the ongoing controversy surrounding Harry Potter author J.K. Rowling taking a toll on the franchise she created?

Rowling, the author of one of the most beloved pop culture franchises, has faced significant backlash for her comments on transgender issues, which many have labeled as transphobic.

J.K. Rowling visits the Wizarding World of Harry Potter
Credit: Universal Studios

Her remarks – often made on X, formerly known as Twitter – have sparked heated debates, especially after she made comparisons between transgender people and Voldemort’s Death Eaters. These controversies intensified with her public disagreements with stars like Daniel Radcliffe and Emma Watson, as well as clashes with prominent transgender activists.

The division between fans who support Rowling’s views and those who feel her statements undermine the rights of transgender individuals has spilled over into the franchise’s various ventures. The release of “Hogwarts Legacy,” a video game set in the Wizarding World, sparked debate about whether purchasing the game supported Rowling’s views.

This debate continues with upcoming projects like the HBO reboot of the Harry Potter series, where Rowling is listed as an executive producer.

(L to R) Hermione Granger, Harry Potter, and Ronald Weasley in the snow in 'Harry Potter and the Prisoner of Azkaban'
Credit: Warner Bros.

Amid these controversies, there have been rumors that Warner Bros. Discovery might eventually look to buy Rowling out of the Harry Potter franchise in order to move forward without the baggage of her involvement. According to industry insider Jeffrey Sneider, the company may be looking to distance itself from Rowling in order to continue expanding the Wizarding World without alienating fans.

Adding to the franchise’s woes, Harry Potter Theatrical Productions, the company behind the Harry Potter and the Cursed Child stage play, has reported financial losses.

For the year ending March 31, 2024, the company saw turnover decline from £45.2 million to £41.3 million. While the pre-tax loss improved slightly, from £960,026 to £876,003, the decline reflects a wider trend in the UK’s West End industry following a post-COVID surge in demand.

The cast of Harry Potter and the Cursed Child with hands extended
Credit: Harry Potter and the Cursed Child

Several productions of Harry Potter and the Cursed Child have already closed, including the Melbourne and Toronto productions in 2023. However, the London and New York shows continue to run successfully, with the latter becoming the fifth-longest-running play in Broadway history.

Despite the financial setbacks, the Harry Potter franchise remains a profitable global entity, with upcoming projects like the expansion of Universal Orlando Resort’s Wizarding World at Epic Universe on the horizon. While there have long been rumors of a big-screen adaptation of Harry Potter and the Cursed Child, with the rift between Rowling and the original cast, we remain unconvinced about the possibility.

As the franchise evolves and faces growing tensions, the question remains: will the Harry Potter universe continue to thrive despite the controversies surrounding its creator?

Chloe James

Chloë is a theme park addict and self-proclaimed novelty hunter. She's obsessed with all things Star Wars, loves roller coasters (but hates Pixar Pal-A-Round), and lives for Disney's next Muppets project.

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