News Disney’s Q3 FY25 Earnings Results Webcast

[Chi84]

You understand the purpose of an earnings call is to Communicate financial performance and give future guidance to investors?

Investors buy what again ?

Disney at $14 a share tomorrow hypothetical says it all. Please don't accuse intelligent posters of not understanding.

 

[Minnesota disney fan]

The Walt Disney Company made a *profit* over over four and a half Billion dollars in just this one, past quarter.

$2B from parks and cruise lines​

​

$1B from Entertainment content (TV and movies)​

​

$1B from Sports.​

In just one quarter.

I wonder what the numbers would show if Parks was separated from Cruise Lines???

 

[coffeefan]

 

[peter11435]

It’s ironic that you wrote all this to explain to me that I’m the one who doesn’t understand.

But hey I am likely a complete idiot. Let’s refer back to someone who knows a little more than for a second time.



Warren Buffett has consistently emphasized that over the long term, the stock price of a company will reflect its underlying intrinsic value.

This means that in the short term, stock prices are influenced by popularity, emotions, and market noise (the “voting machine”). But over time, the true value of a business—its earnings, cash flow, competitive position, and management quality—will ultimately be “weighed” by the market and reflected in the stock price.

I mean it’s pretty clear that you are the one that is not understanding. Intentionally or otherwise you are missing the point.

You don’t need to explain to me what Mr. Buffett said and meant. But it’s not 1987 anymore sadly.

 

[Nevermore525]

I wonder what the numbers would show if Parks was separated from Cruise Lines???

That data doesn’t release until June/July of the next year. So FY25s Cruise Line financials won’t be public until June 2026.

For FY24:

Total Domestic Parks Revenue: $23.596B
DCL: $2.498B
Disneyland/WDW/Resorts: $21.097B

Domestic Parks Profit: $5.878B
DCL: $347M
Disneyland/WDW/Resorts: $5.530B+

 

[FutureCEO]

When are the robot cast members coming?

 

[Nevermore525]

That data doesn’t release until June/July of the next year. So FY25s Cruise Line financials won’t be public until June 2026.

For FY24:

Total Domestic Parks Revenue: $23.596B
DCL: $2.498B
Disneyland/WDW/Resorts: $21.097B

Domestic Parks Profit: $5.878B
DCL: $347M
Disneyland/WDW/Resorts: $5.530B+

Too add prior to the shut down of the Cruise industry and expansion of DCL, they were essentially getting $100M annual in profit per ship. So DCL hasnt yet hitting pre-Closure income margins

 

[Mr. Sullivan]

Guest spending up. Imagine if they actually put out a better product and gave people more options and increase capacity how much more will be spent?!?

Well that’s kinda what they’re in the middle of doing right now. We haven’t even seen the second half of this developmental plan, but already what they’re doing is significant, diversifies the parks, and will have noticeable impact.

The only real trouble with it is it will take a few years to actually pay off and see. The other side of such large scale development is having to wait until that development is finished to start seeing benefit from it.

 

[Tha Realest]

I get the "F," "U" and "B," but what does the "O" stand for?

Effed Up Beyond Orlando

 

[Splash4eva]

Well that’s kinda what they’re in the middle of doing right now. We haven’t even seen the second half of this developmental plan, but already what they’re doing is significant, diversifies the parks, and will have noticeable impact.

The only real trouble with it is it will take a few years to actually pay off and see. The other side of such large scale development is having to wait until that development is finished to start seeing benefit from it.

Thats my point. Years away and do you really think whats planned is fixing any of their major problems?

 

[MisterPenguin]

Did anyone else notice that Iger completely ignored a question about Hulu’s future? He was basically implying the Hulu would stop being a standalone service but when directly asked he didn’t answer the question.

I wonder if he did that on purpose or if they just need to stop making him wake up so early for these earnings calls.

Message From Our CEO:

​

“We are pleased with our creative success and financial performance in Q3 as we continue to​

execute across our strategic priorities,” said Robert A. Iger, Chief Executive Officer, The Walt Disney​

Company. “The company is taking major steps forward in streaming with the upcoming launch of ESPN’s​

direct-to-consumer service, our just-announced plans with the NFL, and our forthcoming integration of​

Hulu into Disney+, creating a truly differentiated streaming proposition that harnesses the highest-​

caliber brands and franchises, general entertainment, family programming, news, and industry-leading​

sports content. And we have more expansions underway around the world in our parks and experiences​

than at any other time in our history. With ambitious plans ahead for all our businesses, we’re not done​

building, and we are excited for Disney’s future.”​

https://thewaltdisneycompany.com/app/uploads/2025/08/q3-fy25-earnings.pdf

 

[Nevermore525]

Well that’s kinda what they’re in the middle of doing right now. We haven’t even seen the second half of this developmental plan, but already what they’re doing is significant, diversifies the parks, and will have noticeable impact.

The only real trouble with it is it will take a few years to actually pay off and see. The other side of such large scale development is having to wait until that development is finished to start seeing benefit from it.

Yep, and in the meantime, thus far the parks sector continues to chug along while those changes are being put in.

No substantive drop off in attendance and occupancy post re-opening, as of yet.

 

[Nevermore525]

And just for comparison sake, first quarter where Epic opened:

Comcast (Apr-Jun) 2025 Global Parks:

Revenue up 18.9% to $2.349B vs $1.975B same time fy24

Income up 4.1% to $658M vs $632M in FY24


TWDC Global Parks:

Revenue up 9% to $8.094B from $7.440B

Income up 16% to $2.072B from $1.782B


*Domestic Parks OI was up 22% from last year over the same time.

We’ll see if there’s any detriment to TWDC’s Experiences Sector going forward as Epic continues operations

 

[JD80]

Pretty sure TWDC is happy with parks and not having any major olnew offerings going up against EPIC.

 

[BrianLo]

I told you last time. The revenue increase is mostly LLPP. Its extremely high margin and basically invented out of nowhere. They've got two more quarters of it being 'new'. Then you'll see how things actually are. I suspect the overall economy might become a larger problem before that happens, however.

Plus Disney Treasure, for revenue at least. Then we lap Adventure and Destiny for another 4 quarters. Then the next ship, Lakeshore Lodge and the domestic park stuff of merit finally starts in earnest on both coasts.

They definitely cannot sustain juicing their guests and the next CEO better understand that assignment. Iger already wrung it dry. Abort the capital plan to the companies’ peril.

 

[Trauma]

Disney at $14 a share tomorrow hypothetical says it all. Please don't accuse intelligent posters of not understanding.

They are the ones claiming that a share price is completely unhinged from reality and had no basis in the fundamentals of the company.

So if that’s true why not $14 a share?

 

[Chi84]

They are the ones claiming that a share price is completely unhinged from reality and had no basis in the fundamentals of the company.

So if that’s true why not $14 a share?

No one said that.

 

[JD80]

Plus Disney Treasure, for revenue at least. Then we lap Adventure and Destiny for another 4 quarters. Then the next ship, Lakeshore Lodge and the domestic park stuff of merit finally starts in earnest on both coasts.

They definitely cannot sustain juicing their guests and the next CEO better understand that assignment. Iger already wrung it dry. Abort the capital plan to the companies’ peril.

You have to look at the offerings and the ways you can spend money to understand what they are doing and who they can squeeze and how they can squeeze in the future.

Value and Moderate Hotel rack rates have been extremely stable adjusted for inflation for a very long time. Decades in some cases.

Ticket prices are pretty stable vs inflation post COVID with the biggest hit on multi day tickets about 5 or 6 years ago.

Deluxes have been basically squeezed which is the segment Disney is try to squeeze harder. Just look at the ABD offerings as well as them testing the waters with those mini ESPN ABD offerings.

They squeeze on LLs which is optional.
The squeeze the rich with deluxe costs, LLPP and specialty tours.

If they find that there is a drop in Value and Moderate guests (there isn't yet) they can goose ticket prices to get them on property to spend more on LL and food or whatever other offerings.

I know two families that booked a family vacation and used the cheap every park but MK tickets as the catalyst. And both families didn't buy an MK ticket and they were happy.

Anyway, plenty of ways to keep people spending.

 

[Trauma]

No one said that.

“What investors both institutional and retail think is not grounded in reality. It’s all a game. The rules are made up and the points don’t matter.”


This is copy pasted from their post.

 

[BrianLo]

From a strictly buy and hold point of view it certainly hasn't done well but they aren't the only one. Comcast for instance is also hovering right where they were 10 years ago.

Some of it may be management, though I doubt that because no matter what we think, Wall Street seems to like Iger. It seems more a condemnation of the sector as a whole.

Short term sure. Company’s are commonly over/undervalued.

An entire decade though ?

It’s pretty simple and you aren’t wrong. @Nevermore525 spelt it out succinctly with the 2016/2025 comp.

Disney has gone ten years in a media company bloodbath. If you want to boil it down to the floating stock price, you miss entirely the metrics underneath. The success here is not that the company is flat over a decade… but that’s its flat and Disney is the only media company to survive the Millenium as still itself. Every other one is gone in its prior form.

They’ve moved from a five pillared company (Linear Media, Sports, Parks, Studios, Consumer Products) to a seven pillared one (Domestic Parks, DTC, Sports, International Parks, Studios, Consumer Products and Linear) and absorbed the horrible decade on decade fall of disruption on the way. Arguably soon to be eight pillared if DCL breaks out of domestic, like I think it eventually should.

*Note I know someone is going to tell me International parks existed in 2015. Not as a pillar. It was mostly a side licensing deal. Paris has been bought out, Shanghai didn’t exist and HK was being actively buried. It was not broken out separately.


It’s not where the company was but where it is going. I feel it’s infinitely more secure with Linear finally sunsetting as the lead pillar.