mikejs78
Premium Member
You're very good at being wrong consistently.
Great argument there...
Honestly the fact that you and most people here think that the analyst miss was about parks shows that you really don't know what you're talking about.
The first quote was your response when I announced a week ago that Q revenue would be down, stocks would be impacted, and domestic parks were the reason. The second quote is you continuing your pattern.
Thanks for this... Some items of interest from their earnings report last night, which is available now at SEC.gov include the following notes to the financial statement.
Last year through 9 months Disney reported $5.60 per share adjusted (as a reminder the share count was lower because the 21CF transaction hadn't closed. The comparable share results for 9 months this year is $5.98. (increase of 38 cents a share) Disney appeared to throw the kitchen sink in taking adjustments to the earnings to put alot of items behind them. Iger suggested this morning on CNBC the next quarter will include similar charges.
For grins, the adjustments outlined in the detailed report include:
There isn't any discussion of Galaxy Edge impacting the forecasted earnings. While there may have been some negative impact of the launch at DL, in the grand scheme of things, the impact to revenue (over $50 Billion dollars in 9 months) is not material, nor is it the root cause of the earnings disappointment. The company is investing in a business (Disney +) which will not be returning revenue for another 90 days. Once this revenue starts to show up, the annual impact should be material, and it is reasonable to think the earnings will show up as promised.
- 43 cents a share for "Amortization of 21CF and Hulu intangible assets due to transaction closing and change in control of Hulu" (Basically the company is writing off the value of the film library quicker than 21CF had).
- 42 cents a share for "Restructuring and Impairment Charges" which is made up of Severence and equity based compensation related to layoffs (total of $869 Million in payments to severed employees). This is a pool to be used over two years, and is a one time charge to earnings
- 26 cents a share for "Impairment of equity investments" which represents moneys Disney will have to put into Hulu, that Comcast would have under the old ownership arrangement.
- Disney paid the US government $6.2 billion in tax obligations that arose from the spin-off of Fox from 21CF.
One additional item from the balance sheet which is interesting to me, the cash investment into the parks and resorts (9 months to date this year vs last year) is $3.567 billion this year vs $3.264 billion last year.