A Spirited Perfect Ten

[Nemo14]

Yeah, I'm gonna need to apply for temporary Admin powers.

With great power...

You'll need a new avatar for that. Maybe something like this:

 

[ParentsOf4]

Thanks for doing the hard work, saves me the effort of wadi ng through the report myself. Some assorted thoughts:

Doesn't the quote above imply MM+ costs are disappearing? The decrease in costs was driven by (at least a substantial amount of) last year's MM+ costs no longer showing up.

Yes. My point is that some of the improvement in Parks & Resorts margin was simply because Disney has stopped throwing money at MyMagic+, something I've been commenting on for over a year now.

I think Disney is learning again what Eisner learned too. 20% increases can not be sustained indefinitely. Almost by sheer mathematical logic alone.

I don't think Disney's current management has the same unrealistic expectations that typified Eisner's later years. I think Wall Street does.

An 8.7% increase of a record profit is better than a 20% increase of mediocre profit.

The 8.7% increase in Parks & Resorts operating margin should have been wholly expected. Anyone who's been paying attention to Disney's 10Q's knew that the last 4 quarters were north of 20% only because MyMagic+'s deployment costs had ended. The information was readily available in the prior quarters' 10Q. The same was true with Disney's other dealings, including ESPN.

The problem is that frankly, a lot of Wall Street analysts are too busy to pay attention to the details. Hence they are surprised (when they really shouldn't be) that Disney 'missed'. Disney didn't miss the expectations of anyone who was paying attention to data that was already out there.

Wall Street simply wasn't paying attention and, as they always do, overreacted when they were surprised.

And remember, these are the folks that are managing much of the country's wealth.

Oh joy.

 

[JoeCamel]

The whole entertainment sector was down today by a substantial amount, cable operations seem to be the cause of concern for good reason.

There now I have stated the obvious and I can go home...

 

[Lee]

I'd submit to a redhead easier.

As I did. 24 years ago.

 

[Cesar R M]

These Mark Hamill autographs are hysterical: http://www.avclub.com/article/mark-hamill-more-happy-ruin-your-star-wars-stuff-h-223207

say what you want.. but he's a damn nice voice actor and a man with hilarious sense of humor.

 

[theRIOT]

As I did. 24 years ago.

Always submit to a redhead.

 

[Wikkler]

Always submit to a redhead.

Spoiler:

We wants the redhead!

 

[71jason]

While the individual characters are of little importance to me, I do find the idea that the busiest theme park in Florida (if not the U.S.) that charges over $100/day admission can't afford TWO characters whose "friends" are effectively paid below minimum wage. We're not talking E-tickets, this is about as cheap as attractions get. But Stitch must die so Rafiki can live.

It's kind of silly w.r.t. foamheads. It's kind of sad when you realize these same bean-counters run things like custodial services. It's kind of scary when you realize they also run security and ride maintenance.

 

[Animaniac93-98]

But Stitch must die so Rafiki can live.

Well no business could reasonably be expected to have both with record attendence and profits.

 

[Lee]

Spoiler:

We wants the redhead!

Eh...she's not all that....

Spoiler:

 

[Bairstow]

Eh...she's not all that....

Spoiler:

View attachment 104531

Once you go butyrate you never go back.

 

[asianway]

While the individual characters are of little importance to me, I do find the idea that the busiest theme park in Florida (if not the U.S.) that charges over $100/day admission can't afford TWO characters whose "friends" are effectively paid below minimum wage. We're not talking E-tickets, this is about as cheap as attractions get. But Stitch must die so Rafiki can live.

It's kind of silly w.r.t. foamheads. It's kind of sad when you realize these same bean-counters run things like custodial services. It's kind of scary when you realize they also run security and ride maintenance.

Usually I agree on such things but the MK throws more $$$ at meet & greet staffing than any other Disney Park on this planet. They should be on a short leash

 

[COProgressFan]

Usually I agree on such things but the MK throws more $$$ at meet & greet staffing than any other Disney Park on this planet. They should be on a short leash

Wish they would through more money actual legit (non-foamhead) entertainment!

 

[DisneyGentleman]

Yes. My point is that some of the improvement in Parks & Resorts margin was simply because Disney has stopped throwing money at MyMagic+, something I've been commenting on for over a year now.

I don't think Disney's current management has the same unrealistic expectations that typified Eisner's later years. I think Wall Street does.

The 8.7% increase in Parks & Resorts operating margin should have been wholly expected. Anyone who's been paying attention to Disney's 10Q's knew that the last 4 quarters were north of 20% only because MyMagic+'s deployment costs had ended. The information was readily available in the prior quarters' 10Q. The same was true with Disney's other dealings, including ESPN.

The problem is that frankly, a lot of Wall Street analysts are too busy to pay attention to the details. Hence they are surprised (when they really shouldn't be) that Disney 'missed'. Disney didn't miss the expectations of anyone who was paying attention to data that was already out there.

Wall Street simply wasn't paying attention and, as they always do, overreacted when they were surprised.

And remember, these are the folks that are managing much of the country's wealth.

Oh joy.

Two major points I read today:

1) Cable is half their revenue and more people are cutting the cord. That has spooked the entire cable industry.

2) They lost a half billion on exchange rate foulups with China tied to the higher dollar. Wonder if this is linked to things said in one of the '74 threads?

 

[the.dreamfinder]

When the guy whose college essay to NYU was about his love of Star Wars thinks it's being overexposed, you have a problem.

http://io9.com/were-facing-star-wars-overload-and-it-scares-the-crap-1722202632
On the one hand, as a Star Wars nut, that’s sounds cool. Star Wars is cool and more of it is cooler. But more than anything, it’s terrifying. The sheer abundance of content scares me more than one or all of the movies not being good. I can take a bad movie. I can even take bad “movies.” What I can’t take is gorging on my favorite franchise in such a gluttonous manner that in a few years, I’m sick of it. Will that happen? Can that happen? It seems like a natural reaction to anything. You may love pizza, but if you eat pizza every day for a decade, you’re gonna want a ing hamburger.
...
All of that will endure—but it runs the risk of being rushed and overstuffed. A break between movies makes you want the next one more. You want to live that experience again, but are also glad for the downtime. I’m happy it’s been ten years since we saw the last movie. I was happy in 1999, when it had been 16 years since the last movie. That window made me want to fall head over heels in love with Star Wars again. And I did. Not that my love went away after Return of the Jedi in 1983, but there weren’t as many places to direct it until 1997’s Special Editions. In 2015 and beyond I can live with it every single day, all day, in multiple different ways.
...
The closest mirror for the potential of Star Wars is what currently happening with Disney’s Marvel franchise. We’re currently eight years into their nearly non-stop release of movies and fan anticipation hasn’t dwindled. It’s still there and it’s only getting bigger with two and even three movies being released per year in the near future. But you have to think, at some point, people may get tired of it. If not audiences, the filmmakers and actors. Rarely has a film trend not seen a dip. Star Warswill obviously be very successful for a very long time, but will it have another dip? And if so, will that dip be natural, like the one between Jedi and the Special Editions, or will it be because the fans are sick of paying for the same thing over and over again?

We don’t have the answer to that question of course, but the bigger question might be: Who isStar Wars for now? With Disney at the controls, Star Wars doesn’t seem to be for a 30 or 40-year-old fans anymore, if it ever was. More than ever, Star Wars is for 10-year-olds who can grow with it. Who can ask their parents to buy the toys, games, books and take trips to the theme parks. The audience who might not have that nostalgic feeling towards the series now, but will as it continues to grow. And maybe that means none of this matters. Maybe it means that at this point in our lives, when there will be more Star Wars than ever, some of the fans need to use this as an opportunity to grow out of the franchise.

 

[71jason]

Usually I agree on such things but the MK throws more $$$ at meet & greet staffing than any other Disney Park on this planet. They should be on a short leash

But if guests line up--like they've been trained to do--and walk away happy, who cares?

 

[WildcatDen]

Oh, yeah....probably.
*ahem*
You folks simmer down! Don't make me take off my belt!

There. As you were.

The way @WDW1974 talks, I assumed your 'belt' was a rope tied in a knot? Of course, a man who walks the runway in jorts has little room to critique another man's taste in clothes.

 

[rael ramone]

Wish they would through more money actual legit (non-foamhead) entertainment!

I originally 'liked' this comment, but the fact about foamheads is people who are waiting for them aren't ahead of me in line for something that *I* want to do. Give me enough to do and I'll gladly accept their existence...

 

[rael ramone]

I think Iger has one big acquisition left in him. Perhaps one that helps with the perceived long term issues that could affect ESPN. They could make a play for a Cable company, Netflix...or more IP.

I'm just an observer...some of you seem to be more qualified in gaging what Disney might do.

How big a deal is the goings-on at ESPN? Will this push them to release an HBONow type of service for ESPN?

If they were to do something crazy like acquire/merge with Netflix and somehow bundle Disney's channel's (ESPN, Disney Channel etc) to the service, is that not a win? Or too costly/risky?

Wall Street's expectations and demands are crazy.

ESPN has issues. The rising cost of content. Competitors for the best content, both from other cable companies (FoxSports, NBCSportsNetwork), and the leagues themselves (NFL Network). The possibility of legislation requiring a la carte cable programming (you getting to choose the exact stations you want & pay for - ESPN is by FAR the most expensive basic cable channel), never mind outright cord cutting (getting rid of cable and getting your content by other means).

The Mouse is down more today - and is taking other companies w/ cable content (like Viacom) down with it.

While their may be other aspects scaring investors a bit, for all intents & purposes this is the ESPN Correction (and if it keeps going down the ESPN Bear). And I don't follow 'technicals', but at some point if a pattern shows up they don't like then all who follow the 'chart voodoo' may bail.

The Mouse before this was 'priced to perfection'. When you are priced to perfection you are expected to beat analysts projections - regardless whether you beat your own or not - and don't say scary stuff in the CC.

 

[asianway]

But if guests line up--like they've been trained to do--and walk away happy, who cares?

Well the problem becomes when they take away from equity actors/musicians As they have slowly down the slippery slope the past 15 years. Mng are the least cost effective entertainment in terms of cost per experience. As such they are also highly in demand. They could triple the number of mng in the mk and there would still be lines. Sometimes you need to know when to say when