Disney’s Q1 FY24 Earnings Results Webcast

[Disney Analyst]

I love when people on here whine about streaming.

Really comes across like the “old person yells at cloud” meme.

 

[Sirwalterraleigh]

Sell it off and just focus on content creation and parks. Let others pay you billions for licensing the DTC rights.

Let Netflix pay for your $200M Marvel Series.

I agree…I think they messed up by deciding licensing wouldn’t yield what an in-house platform would

Maybe in some ways…but you defer all your costs

And then print it and pump it in your parks and on Amazon

People think I call him “cable Bob” to be cute

No…I’m serious…that’s what he is. It’s his history

Broadcast -> cable was tons of free money. The link is broken with streaming. Technology and habit changes don’t make it that lucrative.

Why do we have D+?

Was it an exciting new profit machine?

No…it was Bob struggling to compensate for the free money of the demise of cable. It was HALF their money. It was easy. Play it and advertisers gave you money. Really simple.

But it collapsed. Too many factors killed it.

It’s in the Rogers clip - nobody watches espn (hard numbers)…the money is in gambling and regionals. But nobody here seems to understand that.
Ads? It’s in the clip. Hula ad revenue falling…with huge advantages. But no one is understanding that either.

D+was an understandable mistake. It sounds good. But what he did was try to plug a hole by opening up a new one.

 

[Sirwalterraleigh]

I love when people on here whine about streaming.

Really comes across like the “old person yells at cloud” meme.

Where’s the money?
How does it compare to what it’s replacing?
Where were you on 12/31/1999?

 

[SplashJacket]

I agree…I think they messed up by deciding licensing wouldn’t yield what an in-house platform would

Maybe in some ways…but you defer all your costs

And then print it and pump it in your parks and on Amazon

People think I call him “cable Bob” to be cute

No…I’m serious…that’s what he is. It’s his history

Broadcast -> cable was tons of free money. The link is broken with streaming. Technology and habit changes don’t make it that lucrative.

Why do we have D+?

Was it an exciting new profit machine?

No…it was Bob struggling to compensate for the free money of the demise of cable. It was HALF their money. It was easy. Play it and advertisers gave you money. Really simple.

But it collapsed. Too many factors killed it.

It’s in the Rogers clip - nobody watches espn (hard numbers)…the money is in gambling and regionals. But nobody here seems to understand that.
Ads? It’s in the clip. Hula ad revenue falling…with huge advantages. But no one is understanding that either.

D+was an understandable mistake. It sounds good. But what he did was try to plug a hole by opening up a new one.

I agree. That's a perfect strategy... For today.

It's short-sighted. The big streamers are only spending exorbitant amounts on licenses to acquire customers. We're seeing more and more, that they're transitioning away from outside studios and more towards internal content development.

That's definitively not a winning strategy long-term.

 

[Sirwalterraleigh]

I agree. That's a perfect strategy... For today.

It's short-sighted. The big streamers are only spending exorbitant amounts on licenses to acquire customers. We're seeing more and more, that they're transitioning away from outside studios and more towards internal content development.

That's definitively not a winning strategy long-term.

I’m not an economist…I’m a gemini…

…what was I saying? Right

We tussled on a few streaming thread about this: the cost of your own content…and then having to sell subs and ads to pay for it…is an elephant in quick sand.

Those costs are going to skyrocket…and you will never be able to throttle back. It’s a quagmire.

And it’s contingent on captive audiences…in an era where product is advertised so much easier to the computer that’s constantly in your hand and you can cancel a service with a “swipe left”?

It’s not a real great idea

 

[Trauma]

I’m not an economist…I’m a gemini…

…what was I saying? Right

We tussled on a few streaming thread about this: the cost of your own content…and then having to sell subs and ads to pay for it…is an elephant in quick sand.

Those costs are going to skyrocket…and you will never be able to throttle back. It’s a quagmire.

And it’s contingent on captive audiences…in an era where product is advertised so much easier to the computer that’s constantly in your hand and you can cancel a service with a “swipe left”?

It’s not a real great idea

I just don’t know how much you can charge for ads going forward. I have never once watched an ad on a streaming service. If an ad comes on I instantly launch YouTube or something else on my phone.

Am I suppose to believe that everyone who has their phone in their hands is sitting there just watching an ad ?

 

[BrianLo]

Great they’ve gone from loosing a cruise ship a quarter to basically breaking even or making a mediocre profit.

Good job guys?

As structured there is no pathway to bring in revenue equivalent to Parks. None. But since all the cool kids are doing streaming Disney needs to as well. Meanwhile WDW the ATM of the company just gets the scraps in between the beatings.

You can’t compare a 50 year old product that they are wringing for all of its worth. Parks also aren’t profitable generally in their first five year window. Same guidance given for SDL. Heck HKDL (which I love) just finally turned black again for one of the very few times in its longer history. Paris similarly took ages and only very recently is being reframed. WDW is a cash machine because in some ways it is being treated as a mature product.

Things take time… capital growth isn’t as instantaneous as aqusitions.

They need to invest in the parks - I whole heartedly agree. The forward guidance is promising… even if it is seen through a lens of distrust. I think it’s a matter of optics at this point. They either are about to ramp up spend in a big way on P&R or the wheels are coming off. I don’t know, I’m just responding to what they are saying, perhaps with a foolish optimistic belief.

 

[Sirwalterraleigh]

I just don’t know how much you can charge for ads going forward. I have never once watched an ad on a streaming service. If an ad comes on I instantly launch YouTube or something else on my phone.

Am I suppose to believe that everyone who has their phone in their hands is sitting there just watching an ad ?

I can’t bash my head against the wall more on this than I already have…

I think a lot of people who say that ads are gonna be a huge money maker and bundles are “smart” in stream…

Never actually lived in the linear.

What did we hate?
1. Paying high fees for bundles?
2. Wasting time on ads

What did we lack?
1. Information technology at our finger tips


So what is being sold by Bob?
High fee bundles laden with ads…when there are alternatives?

If I read that in google translate in Greek will it make more sense?

 

[Trauma]

So what I would like to know is when does Fortnight Land open?

What are we thinking Hollywood or Epcot?

 

[Disney Analyst]

Where’s the money?
How does it compare to what it’s replacing?
Where were you on 12/31/1999?

I was 8 so who knows.

 

[Sirwalterraleigh]

You can’t compare a 50 year old product that they are wringing for all of its worth. Parks also aren’t profitable generally in their first five year window. Same guidance given for SDL. Heck HKDL (which I love) just finally turned black again for one of the very few times in its longer history. Paris similarly took ages and only very recently is being reframed. WDW is a cash machine because in some ways it is being treated as a mature product.

Things take time… capital growth isn’t as instantaneous as aqusitions.

They need to invest in the parks - I whole heartedly agree. The forward guidance is promising… even if it is seen through a lens of distrust. I think it’s a matter of optics at this point. They either are about to ramp up spend in a big way on P&R or the wheels are coming off. I don’t know, I’m just responding to what they are saying, perhaps with a foolish optimistic belief.

Wow…
Do you want to delete this?

Or do I have to pick it apart line by line tomorrow?

 

[Bullseye1967]

Where’s the money?
How does it compare to what it’s replacing?
Where were you on 12/31/1999?

I was sleeping on a pile of money I made from from a lot of side jobs I did to save people from Y2K.

 

[Sirwalterraleigh]

So what I would like to know is when does Fortnight Land open?

What are we thinking Hollywood or Epcot?

World discovery nature pavilion…where those bizarre oversized lawn chairs are now

 

[Sirwalterraleigh]

I was sleeping on a pile of money I made from from a lot of side jobs I did to save people from Y2K.

I was between Morocco and Japan next to the banks of emergency light towers they had for when the power grid failed


…I’m serious…I bet the kids here don’t believe me

 

[Sirwalterraleigh]

I was 8 so who knows.

I was afraid you’d say that

I was hoping you’d just decline the question

 

[yensidtlaw1969]

They either are about to ramp up spend in a big way on P&R or the wheels are coming off.

 

[Disney Analyst]

I was afraid you’d say that

I was hoping you’d just decline the question

I’m an open book.

A young but not so young whipper snapper.

 

[Sirwalterraleigh]

I’m an open book.

A young but not so young whipper snapper.

Well it’s ironic you make a comment about people “whining about” streaming when you aren’t really old enough to experience all the flaws from linear that Bob wants to repeat…buy his old own words.

1995 in front of a tv wasn’t pretty, kid.

The consumers embraced cable originally because there was no content…but they’ve rejected it now because they felt robbed and frustrated. And they had actual attention spans then.

 

[Disney Analyst]

Well it’s ironic you make a comment about people “whining about” streaming when you aren’t really old enough to experience all the flaws from linear that Bob wants to repeat…buy his old own words.

1995 in front of a tv wasn’t pretty, kid.

The consumers embraced cable originally because there was no content…but they’ve rejected it now because they felt robbed and frustrated. And they had actual attention spans then.

I’m an ironic millennial, swirling with contradiction.

 

[Trauma]

Just to put things in perspective Bob spent 3
E tickets worth of cash to put Disney into Fortnite, something absolutely nobody was asking for.