Rumors. Musings. Casual.

[pheneix]

I’m gonna level with you all. I went out on a bad note. I thought Chapek had his business strategy locked in. Was gonna railroad a lot of divisions and do unpopular stuff.

Turns out Bob Iger outsmarted him on the board and get sacked before the real damage was done.

I can tell you guys that Disney is way worse off than it was when I ducked out and said to hell with the internet @wdwmagic can I swear here? Always a potty mouth.

Occasionally I will be dropping some musings and rumormongering. I pop in, post some stuff, and don’t care about most replies. Take it or leave it when I ramble.

Here’s one thing I want to highlight: Disney is broke guys. They are really having issues keeping funding going just to keep the parks running at any sort of acceptable standard. And we know Disney has several billion in cash! The money can and should be made available. But if they draw down their cash, they close off other options to get their act together. And they need these margins off theme parks. Theme parks have subsided media company screw ups for decades guys. It even happens at Universal!

Be back soon!

 

[Brian]

Man, if only I could be "broke" like Disney.

 

[mkt]

Hey buddy

Miss you!

 

[pheneix]

Man, if only I could be "broke" like Disney.

Look at how fast they work. Look at where they actually spend their capital. There are very valid reasons why they need the cash on hand. And they’re also valid reasons why the NFL/ESPN thing is probably gonna happen.

Hulu is the inflection point where many problems come to a head.

 

[Dead2009]

>Here’s one thing I want to highlight: Disney is broke guys.
>And we know Disney has several billion in cash!

I can see why you left the first time.

 

[GhostHost1000]

@Sirwalterraleigh @HauntedPirate

Late breaking news lol

 

[pheneix]

I can see why you left the first time.

It’s because $8 billion doesn’t go far when you’re as capital intensive as Disney. And it really doesn’t go far when every business is on fire. They’re margin obsessed and they’re in a phase where the parks still churn over cash off some solid numbers.

It’s not sustainable.

 

[Sirwalterraleigh]

….oh DO tell…

 

[mkt]

I wouldn't second guess OP. I've known him IRL for years, and if he's posting something, it's because there's truth (and some - but not all - of my same sources) behind it.

 

[pheneix]

@Sirwalterraleigh @HauntedPirate

Late breaking news lol

It’s not like I’m here to get into the “I’m right and you’re wrong nonsense.” I don’t care. And I didn’t read a single thread before posting by the way. I just did it. Kinda interested in poking the bears.

But there’s stuff going on where I can occasionally throw some nuggets that will be worth reading. And they will appear. I offer very little else. Long form posts are a thing of the past.

 

[HauntedPirate]

It’s not like I’m here to get into the “I’m right and you’re wrong nonsense.” I don’t care. And I didn’t read a single thread before posting by the way. I just did it. Kinda interested in poking the bears.

But there’s stuff going on where I can occasionally throw some nuggets that will be worth reading. And they will appear. I offer very little else. Long form posts are a thing of the past.

Oh no, his post was to let us know there was something juicy posted.

Bob's mismanaged things? Say it isn't so...

 

[pheneix]

I looked this up after I posted. It’s gonna be about $8 billion when Hulu is done. Hulu is gonna hurt. And the cash left ain’t gonna go far if they keep burning it. And they will. This place is incompetent from top to bottom. Institutional knowledge has fled the company. Even most people who knew how it was run in the 90s have split.

 

[mkt]

Institutional knowledge has fled the company.

This.

All of this.

So much of this.

And their new hires are people with lots of style but little substance.

Seems to be a trend across corporate America.

 

[doctornick]

The parks have been treated as a cash register for other divisions for years (decades even) so this is not surprising. The purchase of FOX and now Hulu has likely burned through the capital the company had as a cushion. And obviously D+ is still bleeding money (though I do think it is a good long term investment, it's just they needed other divisions to provide the revenue to cover the losses until it became profitable, which hopefully will be soon - supposed to be by late 2024).

The big issue is movies, which were formerly doing well and have tanked. And the issue with the movies is that Disney spends way to much to make them. Much tougher to be profitable for a film that costs $200M+ to make than one that is less than $100M. The company really needs to reel in spending on films to manageable levels, especially as box office just is not what it was compared to pre-pandemic (and IMHO never will get there again, though it may seem that way with inflation over time).

 

[networkpro]

You can just look at how Disney is using debt and how much of it, thats one indicator of their financial situation.

 

[HauntedPirate]

View attachment 766089

I looked this up after I posted. It’s gonna be about $8 billion when Hulu is done. Hulu is gonna hurt. And the cash left ain’t gonna go far if they keep burning it. And they will. This place is incompetent from top to bottom. Institutional knowledge has fled the company. Even most people who knew how it was run in the 90s have split.

Construction timelines stretched out for years suddenly makes a lot more sense. Spread the cost out, the pain is lessened for any particular quarter/year.

(Waiting for a few posters to breathlessly comment about how Disney is fine, flush with cash, et al.)

 

[pheneix]

Oh no, his post was to let us know there was something juicy posted.

Bob's mismanaged things? Say it isn't so...

I know. Well wishes to you btw.

I’m just in that moment where I am just talking to people and engage. Check in on the old site. See what ppl with different views have to say.

Cause I got stuff to do and when I log out I won’t be back until I feel like it.

 

[Sirwalterraleigh]

It’s not like I’m here to get into the “I’m right and you’re wrong nonsense.” I don’t care. And I didn’t read a single thread before posting by the way. I just did it. Kinda interested in poking the bears.

But there’s stuff going on where I can occasionally throw some nuggets that will be worth reading. And they will appear. I offer very little else. Long form posts are a thing of the past.

You don’t have to convince me…no one does. Because when people post - substantive stuff…not nonsense - the writing speaks to itself as far as credibility known to the older Jedi.

In other words…we always know if someone has a grasp on things…the ones that don’t work magic kingdom stroller rental on the college program. It shows.

 

[pheneix]

You don’t have to convince me…no one does. Because when people post - substantive stuff…not nonsense - the writing speaks to itself as far as credibility knows to the older Jedi.

In other words…we always know if someone has a grasp on things…the ones that don’t work magic kingdom stroller rental on the college program. It shows.

I’m glad some things haven’t changed.

 

[pheneix]

The parks have been treated as a cash register for other divisions for years (decades even) so this is not surprising. The purchase of FOX and now Hulu has likely burned through the capital the company had as a cushion. And obviously D+ is still bleeding money (though I do think it is a good long term investment, it's just they needed other divisions to provide the revenue to cover the losses until it became profitable, which hopefully will be soon - supposed to be by late 2024).

The big issue is movies, which were formerly doing well and have tanked. And the issue with the movies is that Disney spends way to much to make them. Much tougher to be profitable for a film that costs $200M+ to make than one that is less than $100M. The company really needs to reel in spending on films to manageable levels, especially as box office just is not what it was compared to pre-pandemic (and IMHO never will get there again, though it may seem that way with inflation over time).

That’s really where ppl like Peltz and myself are on outside looking in with amazement. How were things allowed to get this mismanaged? This shouldn’t be possible at Disney.