Disney’s Q1 FY24 Earnings Results Webcast

[Vegas Disney Fan]

Engineered how? By conducting business as they normally would? That's a weird thing to say.

They’re all engineered, they are all designed to paint the company in the most positive light possible. It’s the place Iger shines best, he’s a great PR guy, he’s a master politician, he excels at the non answer deflection to keep the focus where he wants it, on the positive and off the negative.

Just like it’s telling when a politician doesn’t answer a potentially negative question and deflects back to a positive it’s also telling when Iger doesn’t answer a potentially negative question and deflects back to a positive.

 

[CaptainAmerica]

He’s pointing out you’re just making up excuses instead of honestly considering the problems with the stream scheme

Streaming is a crappy business. The only thing worse than streaming is traditional media. Disney had no choice, the old model is dying. There's no scenario in which Disney DIDN'T pivot to streaming and instead carried on their merry way with huge legacy content sales and home media revenue.

…now I think I understand why you got ripped off on that DVC.

You've said this about a dozen times. I paid less for my DVC than you did.

 

[Sirwalterraleigh]

The Netflix share price was rewarded for years for a strategy of "get scale at all cost." Then that strategy fell on its face and they pivoted to profitability, just like Disney. They're literally doing exactly what you said they're not doing, which is cutting tons of content spend.

Because they did enough original offerings do develop a draw

Not 6 episodes a year of Ms marvel

 

[Sirwalterraleigh]

They’re all engineered, they are all designed to paint the company in the most positive light possible. It’s the place Iger shines best, he’s a great PR guy, he’s a master politician, he excels at the non answer deflection to keep the focus where he wants it, on the positive and off the negative.

Just like it’s telling when a politician doesn’t answer a potentially negative question and deflects back to a positive it’s also telling when Iger doesn’t answer a potentially negative question and deflects back to a positive.

Oh…I agree…they had this one rehearsed to the 9s

 

[Laketravis]

…didn’t you hear?

Port orleans and le cellier are “luxury” now?

Right? And I'm so excited to tour the new shops at Epcot next week and maybe get a good spot in line to sit next to Walt on the bench.

 

[Sirwalterraleigh]

Streaming is a crappy business. The only thing worse than streaming is traditional media. Disney had no choice, the old model is dying. There's no scenario in which Disney DIDN'T pivot to streaming and instead carried on their merry way with huge legacy content sales and home media revenue.

Agreed…which means it will continue to be a blight on the most stable segment and limit investment.

And that is domestic parks.

Now can everyone take the blue “reality pill”…finally…so we can all move on?

You've said this about a dozen times. I paid less for my DVC than you did.

I highly doubt that…
What year?

 

[Sirwalterraleigh]

Right? And I'm so excited to tour the new shops at Epcot next week and maybe get a good spot in line to sit next to Walt on the bench.

…make sure you bring two ply

 

[el_super]

DCL is separate from Parks. Both fall under the silo of Experiences.

So you're separating them based on your own subjective reasoning. But the company has them grouped together in the same segment for a reason. That people are still taking cruises, and that Disney's cruise business (which is on the more expensive side of the industry) is thriving, is a strong indication of Disney's desirability in the market and the market's health as a whole. DCL, and International, and Disneyland all pointing up are good signs for the strength of the segment.

They’re all engineered, they are all designed to paint the company in the most positive light possible.

To a degree, yes, but it's also open to questions.

No one asked a question about the specifics of why WDW was down, against the backdrop of all the other businesses in DX working so well. They were certainly free to do so, but it doesn't seem like it's a major concern for investors.

 

[Laketravis]

Streaming is a crappy business. The only thing worse than streaming is traditional media. Disney had no choice, the old model is dying. There's no scenario in which Disney DIDN'T pivot to streaming and instead carried on their merry way with huge legacy content sales and home media revenue.

Honest question - if it's a crappy business, why be that business? Why not continue to produce and sell content for distribution to multiple channels by others already in the business rather than keep your content and distribute it thru your own, sole, crappy business?

 

[Sirwalterraleigh]

So you're separating them based on your own subjective reasoning. But the company has them grouped together in the same segment for a reason. That people are still taking cruises, and that Disney's cruise business (which is on the more expensive side of the industry) is thriving, is a strong indication of Disney's desirability in the market and the market's health as a whole. DCL, and International, and Disneyland all pointing up are good signs for the strength of the segment.

Yep…you don’t understand this either.

Dcl gets away with charging what they do…2…then 4…now 5…smallish ships…
Because the supply was limited.

They don’t serve many people…10,000 at a time.

Just like parks…they add more ships and and it’s draw will diminish as the costs increase…

The ships will eat each other

So it’s not a “limitless” thing. They aren’t that far off the red line now.

So float 20 boats like
Royal and see what you get?

…then even dcl won’t get a mention by Bob when he’s on his 16th extension

 

[Laketravis]

So you're separating them based on your own subjective reasoning. But the company has them grouped together in the same segment for a reason. That people are still taking cruises, and that Disney's cruise business (which is on the more expensive side of the industry) is thriving, is a strong indication of Disney's desirability in the market and the market's health as a whole. DCL, and International, and Disneyland all pointing up are good signs for the strength of the segment.

Say what? You're hard to follow.

DCL is killing it, Parks is not.

DCL is a segment of Experiences, not Parks.

They are both segments of Experiences because, well, they are experiences.

They are not separate based on my own subjective reasoning, they are separate based on structure. Financial, Capex, Operations, etc......

To a degree, yes, but it's also open to questions.

No one asked a question about the specifics of why WDW was down, against the backdrop of all the other businesses in DX working so well. They were certainly free to do so, but it doesn't seem like it's a major concern for investors.

The questions that were asked were not answered. Case closed.

 

[Trauma]

This means RnRC coaster is being rethemed to Taylor Swift now right ?

 

[Nevermore525]

Say what? You're hard to follow.

DCL is killing it, Parks is not.

At most DCL is bringing in probably about $100M-125M a ship per year in profit. Won’t know officially for fiscal 2024 until summer 2025 when that’s reported separately.

 

[el_super]

They are both segments of Experiences because, well, they are experiences.

Oh I see... you're just confused.

There is no "Parks" segment under DX. It isn't split between DCL and Parks the way you seem to suggest above. DX is split between WDW, DLR, WDI and DSE and DCL is under DSE. They also have a separate leader tree for the INTL parks grouped under DX.

I think you're maybe getting confused that people refer to DX as "parks" generally, because of the history behind that segments name (previously Disney Parks and Experiences and Products and Walt Disney Parks and Resorts).

When people, and generally investors, are referring to "parks" as a segment, they mean the whole thing (DX) and not just one business within that segment.

The questions that were asked were not answered. Case closed.

They were. The question was pertaining to where they are going to spend the $60 billion and Iger answered, everywhere.

 

[Laketravis]

At most DCL is bringing in probably about $100M-125M a ship per year in profit. Won’t know officially for fiscal 2024 until summer 2025 when that’s reported separately.

Agreed, not significant. I was using the Op's adjective.

 

[Laketravis]

Oh I see... you're just confused.

There is no "Parks" segment under DX. It isn't split between DCL and Parks the way you seem to suggest above. DX is split between WDW, DLR, WDI and DSE and DCL is under DSE. They also have a separate leader tree for the INTL parks grouped under DX.

I think you're maybe getting confused that people refer to DX as "parks" generally, because of the history behind that segments name (previously Disney Parks and Experiences and Products and Walt Disney Parks and Resorts).

When people, and generally investors, are referring to "parks" as a segment, they mean the whole thing (DX) and not just one business within that segment.

Naw, I'm not confused. You're simply arguing semantics now.

 

[el_super]

Naw, I'm not confused. You're simply arguing semantics now.

It was semantics that brought us here in the first place. DX is killing it right now and that includes the parks.

At least enough so that no investors asked any questions about the health of the parks. It's just a non-issue all around.

 

[CaptainAmerica]

Honest question - if it's a crappy business, why be that business?

The old business is worse.

Why not continue to produce and sell content for distribution to multiple channels by others already in the business rather than keep your content and distribute it thru your own, sole, crappy business?

Those channels are going to zero.

 

[Laketravis]

It was semantics that brought us here in the first place. DX is killing it right now and that includes the parks.

At least enough so that no investors asked any questions about the health of the parks. It's just a non-issue all around.

You still don't get it. The biggest single source of revenue in Experiences (WDW) isn't "killing" it. And questions were asked about the health of the parks, by BOA no less. They were deflected.

Again, you can't keep chasing declining attendance / resort bookings with higher prices / reduced offerings and claim business is booming.

And that is the issue.

 

[Trauma]

Can you imagine blasting through those loops with "Shake It Off" pumping through the speakers?

I mean, Aerosmith is iconic, but Taylor has hits that span across multiple generations....

And think about the potential for a storytelling ride experience tied to her albums....

Each album could be a different section of the ride, from "Fearless" to "Folklore".... 4 seconds per album....

The visuals would be stunning, considering the aesthetics she's created over the years....

Swapping rock legends for pop royalty definitely shakes things up....

I wonder how the die-hard Disney and rock fans will take the news....

Regardless, it's an interesting time to be a theme park fan with all these changes....

I plead the 5th since I don’t know a single Swift song.

Considering the demographic in love with her I would assume mindless drivel.

That’s fine though it’s not like Aerosmith lyrics had any depth to them.