Disney’s Q2 FY22 Earnings Results Webcast

[Sirwalterraleigh]

Volume and quality are two different things. Netflix and Amazon have huge piles of kids' content but it all sucks. It's so bad, they might as well have none whatsoever.

I understand that…but not every human will watch Peter Pan or frozen on loop like you do, Bud.

Disney needs more original content to maintain growth/subscriptions. They’ve acknowledged that.

It’s false to assume that if you bought it for $3.90 a month as I did up front…that hundreds of millions are going to pay $25.00 a month - with ads - in 2025

 

[britain]

LMAO she just called Cosmic Rewind "all new capacity."

Cosmic Rewind is, by all accounts, an incredible experience. But it ain't "new capacity."

I know. I think, however, they still have pandemic shutdowns on their minds. Lots of capacity from “old” attractions (live performances) are only now becoming available. Opening a new attraction counts as new capacity in this post-shutdown world, even if it is just replacing another attraction from 5 years ago.

 

[FutureCEO]

The reason why guests are spending more because prices are going up and Disney super fanatics will pay anything for anything Disney.

I mean $300 for a sweatshirt that I saw at the Magic Kingdom yesterday. Come on. And then I saw a couple with 3 kids....build a droid for all at MGM.

 

[Disstevefan1]

Why would they cut CAPEX if the parks are doing so well?

They can cut CAPEX because the parks are doing so well!
It doesn't matter what the do, or don't do, folks still show up.

 

[Tha Realest]

It’s false to assume that if you bought it for $3.90 a month as I did up front…that hundreds of millions are going to pay $25.00 a month - with ads - in 2025

Hadn’t thought about that. What happens when all those people who jumped at the initial offering - the legacy subscriptions - balk at the huge subscription price jump?

 

[kalel8145]

Hadn’t thought about that. What happens when all those people who jumped at the initial offering - the legacy subscriptions - balk at the huge subscription price jump?

Did they mention what the price jump would be?

 

[Kamikaze]

I'll buy that argument for 20K, but Guardians in Energy was a direct replacement.

Except it’s not.

Subtraction+addition is net zero. Or often less.

To say less people will ride GotG than Energy is an absolute fallacy. Energy barely operated towards the end of its run, and the information being presented was garbage.

But my point was that Energy has not operated for 5 years. GotG is capacity that didn't exist since Aug 2017, meaning its new capacity (and revenue) when figured into YoY numbers. No one cares about 5 years ago when you're talking about revenue & business.

 

[mightynine]

Hadn’t thought about that. What happens when all those people who jumped at the initial offering - the legacy subscriptions - balk at the huge subscription price jump?

In my case (D23 deal), since I already had a Hulu sub, I went for the bundle for now.

 

[Kamikaze]

Did they mention what the price jump would be?

I would bet the main tier goes to $8.99 (currently $7.99) and the new ad-supported tier is $4.99. Slight discounts for annual.

 

[wdwmagic]

Disney CEO Bob Chapek sends congratulatory memo to Cast Members after sharing financial results for the second quarter​

Disney CEO Bob Chapek sends congratulatory memo to Cast Members after sharing financial results for the second quarter

Bob Chapek tells cast, "I could not be prouder of the Cast Members and Imagineers at Parks, Experiences and Products"

www.wdwmagic.com

 

[CastAStone]

Just thought this from their 10Q was interesting.

For those keeping track:

Domestic Hotel Occupancy	2019	2020	2021	2022
Q2 (Jan-Mar)		77%	35%	84%
Q3 (Apr-Jun)		0%	50%
Q4 (Jul-Sep)		~5%	~55%
Q1 (Oct-Dec)	92%	28%	73%

(Disney doesn’t break out Q4 numbers from annual so I have to back into them, hence the ~)

 

[Trauma]

Disney CEO Bob Chapek sends congratulatory memo to Cast Members after sharing financial results for the second quarter​

Disney CEO Bob Chapek sends congratulatory memo to Cast Members after sharing financial results for the second quarter

Bob Chapek tells cast, "I could not be prouder of the Cast Members and Imagineers at Parks, Experiences and Products"

www.wdwmagic.com

I wonder what good this will do them when he has to start letting people go in a few months.

 

[Jrb1979]

IMO I we are getting to the peak of streaming. People on forums like this will always be a D+ subscriber. Your average person isn't going to subscribe to multiple services. We are almost at the same point in streaming services as cable in why people cut the cord. The cost of adding each one is getting expensive. I don't how long the streaming bubble is going to last.

 

[kalel8145]

IMO I we are getting to the peak of streaming. People on forums like this will always be a D+ subscriber. Your average person isn't going to subscribe to multiple services. We are almost at the same point in streaming services as cable in why people cut the cord. The cost of adding each one is getting expensive. I don't how long the streaming bubble is going to last.

Good point. I am down to D+ and Amazon right now. It was getting just as expensive as cable was. I might have to bite the bullet for a month of Netflix for the next Witcher season.

 

[CaptainAmerica]

To say less people will ride GotG than Energy is an absolute fallacy. Energy barely operated towards the end of its run, and the information being presented was garbage.

Throughput is irrelevant.

An attraction that occupies 10 people for 45 minutes is just as valuable to perceived crowding as an attraction that occupies 90 people for 5 minutes.

 

[Tha Realest]

Disney CEO Bob Chapek sends congratulatory memo to Cast Members after sharing financial results for the second quarter​

Disney CEO Bob Chapek sends congratulatory memo to Cast Members after sharing financial results for the second quarter

Bob Chapek tells cast, "I could not be prouder of the Cast Members and Imagineers at Parks, Experiences and Products"

www.wdwmagic.com

FWIW, the Disney workforce is down approximately 33,000 employees from its 2019 peak.

 

[CaptainAmerica]

Your average person isn't going to subscribe to multiple services.

The average household subscribes to 4.7 streaming services.

 

[Tha Realest]

IMO I we are getting to the peak of streaming. People on forums like this will always be a D+ subscriber. Your average person isn't going to subscribe to multiple services. We are almost at the same point in streaming services as cable in why people cut the cord. The cost of adding each one is getting expensive. I don't how long the streaming bubble is going to last.

In my case, we have cut cable and have subscriptions to D+, Apple TV+, Netflix, Hulu, HBO Max, Prime, Paramount, etc., and through various cell phone benefits, new Apple device promotions, and family sharing, are not paying anything for any of them. If I had to pay I'd likely whittle down to one or two.

 

[Jrb1979]

Good point. I am down to D+ and Amazon right now. It was getting just as expensive as cable was. I might have to bite the bullet for a month of Netflix for the next Witcher season.

Then there is my family. We only have Netflix when there is a show my wife wants to see. Otherwise we either use Roku or Tubi as they are free.

 

[Sirwalterraleigh]

To say less people will ride GotG than Energy is an absolute fallacy. Energy barely operated towards the end of its run, and the information being presented was garbage.

But my point was that Energy has not operated for 5 years. GotG is capacity that didn't exist since Aug 2017, meaning its new capacity (and revenue) when figured into YoY numbers. No one cares about 5 years ago when you're talking about revenue & business.

Capacity is spaces available…not ridership.

Not many on the tta…but it’s valuable capacity.

It is not new capacity. You’re carrying the bucket for your master and it is wrong in this case.