What’s the Current State of Pixar?

Throughout the decades of the 2000s and 2010s, Pixar remained above reproach.

This animation studio churned out box office blockbusters like they were easy.

The rest of the industry knew that they weren’t, making Pixar quite the curiosity.

How did this team of creative underdogs make films that weren’t just hits but also instant classics?

Pixar produced titles like The Incredibles, Finding Nemo, Up, and WALL-E. It was an epic run.

Then, the 2020s arrived, and Pixar suddenly felt like a Disney heroine, Cinderella.

The clock struck midnight for the studio, and it was no longer the belle of the ball.

Since then, Pixar has fluctuated between reminders of its greatness and humiliating failures.

So, what is the current state of Pixar? Let’s have a tough conversation.

Reviewing the 2020s

As an FYI, I’m just like the rest of you. I love Pixar movies, going so far as to write a glowing review of Elio.

I stand behind my belief in that film’s quality, but there’s no denying the reality of it.

Elio bombed on a grand scale, earning only $154 million against a $150 million budget.

For modern box office releases, a title needs to earn at least 2.5x its budget to break even. So, yeah.

Remarkably, that’s not Pixar’s only recent bomb. Lightyear lost nine figures as well.

Then, we have the films that never received a theatrical release. They are:

• Luca
• Soul
• Turning Red

I think it would be fair to add Onward to that list, as it debuted in theaters on March 6^th, 2020.

You may recall that something significant occurred a few days later: the pandemic.

And it’s that global health crisis that had a surprisingly devious impact on Pixar.

During the social distancing era, Disney decided to release Pixar movies on Disney+.

All three films I just highlighted were Disney+ exclusives, with Turning Red the most frustrating.

Disney had finally chosen to recommit to theatrical windows when a new outbreak occurred.

This so-called Omicron variant forced Disney’s hand on another Disney+ release of a Pixar film.

I’m someone who fully supported this decision at the time and still do.

Asking fans to leave the safety of their homes to watch a family film would have been decidedly un-Disney-like.

Alas, as a byproduct of doing the right thing, Disney unintentionally trained its consumers.

They learned they could stay home and watch Pixar movies rather than going to theaters.

To an extent, that behavior remains in place to this day.

Pixar Gets Some Breathing Room

Last year, I mentioned that the first six months of 2026 would define the company’s fortunes.

In 2024, I’d written this piece about Disney’s new plan for Pixar.

Then, Inside Out 2 debuted in June of 2024 and bought the studio some sorely needed breathing room.

Before that, Elemental had performed heroically, starting slow but battling to nearly $500 million in box office.

This performance was impressive, yet Disney needed Pixar to perform like, you know, Pixar.

The following year, Inside Out 2 did that in becoming the top Hollywood release of 2024.

Along the way, the sequel earned almost exactly $1.7 billion, becoming the top-grossing Hollywood animated film ever.

Inside Out 2 overperformed so much that it took some of the pressure off Pixar.

Then, Disney received a happy bonus with Zootopia 2, which isn’t a Pixar film.

However, that Disney animated release outperformed Inside Out 2 by grossing $1.87 billion.

With nearly $3.6 billion from two films that cost a combined $350 million, Disney animation had survived.

The company would prefer thrive with its animation, which brings us to now.

Pixar’s Crucial Year

Hoppers, the most recent Pixar release, is currently in theaters and performing quite well.

Okay, it’s doing well by Pixar of the 2020s standards, recently crossing $300 million.

Since the film reportedly cost $150 million to produce, it’s still not profitable yet.

Barring something unforeseen, it should do that, but it’s not exactly a massive hit.

That’s unfortunate because the quality of Hoppers isn’t up for debate. It’s a masterpiece.

You don’t have to take my word for it, as the film is currently 94 percent fresh at Rotten Tomatoes.

Generally speaking, high-quality films prove more lucrative over time.

Fans go back and rewatch these titles repeatedly, making them more valuable.

Also, they sell merchandise and tend to encourage sequels. Hoppers 2 could definitely be a thing.

This is when I mention the updated Pixar playbook, the one Bob Iger wrote.

For the foreseeable future, Pixar won’t rely on original stories to bankroll its operations.

What the studio will do instead is alternate between new properties and sequels.

The failures of Elio and Lightyear and, to a lesser extent, Onward, have driven that decision.

So, we’re getting another Pixar release in 2026, and it’s a big one: Toy Story 5.

The trailers for this film show that it won’t be like Toy Story 4. No, this one is a necessary sequel.

Pixar has a new story to tell, one about the evolving toy usage of children.

The last two Toy Story movies earned about $1.07 billion each.

If I were a betting person – and I’m really, really not – I’d wager that Toy Story 5 beats those totals.

Honestly, I wouldn’t be surprised if it did so by several hundred million.

Should that happen, Pixar would earn $2 billion from two films that cost a combined $350 million.

What Comes Next for Pixar?

Presuming that Toy Story 5 wrecks the box office, people will say that Pixar is back.

Then, they’ll turn around and relentlessly criticize the studio if Gatto disappoints.

What’s Gatto? That’s Pixar’s only scheduled release in 2027. So, a lot is riding on that one.

After that, 2028 will feature a new IP, Ono Ghost Market, and a sequel, The Incredibles 3.

You know which of those films will do better, as that’s the way the world works.

We seek the comfort of established characters over the excitement of meeting new ones.

That’s a problem for Pixar in that it earned its reputation through original IPs.

In a vacuum, Pixar would prefer to tell these new and unique stories rather than rehashes.

Sure, there are exceptions like Finding Dory and The Incredibles 2.

In each instance, Pixar discovered a new avenue to tell a story using the same characters. That’s in stark contrast to Monsters University and Toy Story 4, both of which were money grabs.

What’s the Current State of Pixar?

Speaking of which, Disney has also announced Coco 2 and a Monsters, Inc. project.

I’m not even discussing Pixar’s Disney+ programming, which includes Monsters, Inc.

The studio also created a companion series for Inside Out 2 and a standalone series.

I wouldn’t describe any of these projects as successful, at least not to the level we’ve come to expect from Pixar.

So, the current state of Pixar remains in flux, although it’s much better than it was two years ago.

Before Inside Out 2 debuted, the studio was in real trouble. It’s thankfully not now.

And Hoppers demonstrates that classic Pixar stories are back on the menu.

In combination with the right sequels, Pixar seems to be on solid ground again.

I don’t see that as changing, even if Gatto and One Ghost Market disappoint.

So, I perceive Pixar as having weathered the storm. In fact, I see blue skies ahead.

Thanks for visiting MickeyBlog.com! Want to go to Disney? For a FREE quote on your next Disney vacation, please fill out the form below. One of the agents from MickeyTravels, an EarMarked By Disney – Authorized Travel Agency – Diamond Level, will be in touch soon!

Feature Photo: Pixar