Disney’s Q2 (Jan/Feb/Mar) FY 2020 Earnings Results Webcast on Tuesday, May 5, 4:30ET

[donsullivan]

Shanghai opening *under* government mandated 30%. Usual capacity is 80k.

It feels like this might be the first time Disney has ever publicly stated the capacity of a park.

 

[Slpy3270]

What's interesting about this earnings conference is that Disney hasn't pulled its guidance for this year.

Never mind.

 

[wishiwere@wdw]

I’m surprised they haven’t been asked about DS or DTD as it would add retail.

 

[MisterPenguin]

Q: John UBS: Parks: capacity limits in Shanghai?
Q: U.S. Parks attendance: locals v. travel guests.
Q: ad revenue?


A: Capacity is 80K day. Govt limit is 24K/day. Open less at first.
A: DL: more locals. WDW: lots of long distance travelers.
A: ad revenue is down due to live sporting and all other businesses being depressed #ThanksCovid

Tho, some ads have gone up: tech, streaming, insurance, etc…​

and we expect ad rev to continue to decline.​

 

[MisterPenguin]

Q: John, Wolf Research: Sports… how do you get back to this being profitable?

A: We wait for sports and try to fill in as much as possible.

 

[t3techcom18]

Q: John, Wolf Research: Sports… how do you get back to this being profitable?

A: We wait for sports and try to fill in as much as possible.

As always, thank you for translating the financial speak us folks might not and your continual humor on the forums!

 

[Doberge]

I’m surprised they haven’t been asked about DS or DTD as it would add retail.

I suspect it's mostly because it's a drop in the bucket. They are important to the resorts because they give guests more options, but it's such a small slice of revenue to probably be unimportant to investors.

 

[Slpy3270]

All in all the quarter was...meh. People will look at the earnings miss and make it that big of a deal, but they're still making money and beat revenue targets regardless.

The company isn't in existential crisis as some in the media (and DisTwitter and neckbeards) believe (especially that Greenfield character who's convinced tech companies and telecoms will rule Hollywood), but it's not in too good shape either.

Either way, I doubt the company is gonna change much in the long-term post-covid. Whether or not that's good is your opinion.

 

[brb1006]

Japan will be a huge money maker for Disney+.

Yeah, Disney is HUGE in Japan even rivaling it's popularity with the United States.

 

[Doberge]

So Iger didn't answer any questions, to what I remember. Hopefully that will help settle down people chirping about his involvement and questioning Chapek's role.

 

[wishiwere@wdw]

I suspect it's mostly because it's a drop in the bucket. They are important to the resorts because they give guests more options, but it's such a small slice of revenue to probably be unimportant to investors.

I fully agree. It could have been a nice morale booster was all I was thinking. Oh well.

 

[Darkprime]

I think they are really overestimating what the pent up demand will be outside the first week or so. I think filling the parks even at reduced capacity will be a major issue for months. They have to be aware they will have issues there.

I disagree. People are gonna go just to get out of the house for a bit I think there underestimating just how busy it s going to be

 

[wdwmagic]

So Iger didn't answer any questions, to what I remember. Hopefully that will help settle down people chirping about his involvement and questioning Chapek's role.

Yes, he was just there at the intro

 

[Quinnmac000]

Yeah, Disney is HUGE in Japan.

I'm gonna disagree here. Disney products are huge however Disney media always get overshadowed by homegrown Japanese IPs. (Detective Conan, etc) Thats how Netflix was able to break into Japan was due to their licensing of manga/anime rights. Disney+ lack of homegrown asian IPs are going to be its downfall in Asia.

 

[Sir_Cliff]

I disagree. People are gonna go just to get out of the house for a bit I think there underestimating just how busy it s going to be

Completely agree. There are plenty of people who, as soon as Disney is open, would gladly rush to the gates and throw as much money as Disney asked to get a little hint of doing something fun and interesting again.

 

[WDW Pro]

The bad thing is, this report is cake compared to the next one. I'm ready for the day when we have a vaccine and we remember the craziness that happened back in 2020.

 

[CastAStone]

Q: JPMorgan: What capacity makes parks profitable?
Q: Studios… what’s the sched on tentpole movies


A: Chapek: we need enough guests to make it to profitable
Chapek: Studios… Mulan… hope it goes well!

Seemed like @realBobChapek dodged the question about expected capacity once parks reopen. Just said they won't do it if it's not profitable.

This was not how I understood Chapek’s answer. He said it needed to be profitable at the contribution line. That’s not the same thing as profitable AT ALL. It just means that they need to lose less money open than they do closed.

 

[Bill in Atlanta]

This was not how I understood Chapek’s answer. He said it needed to be profitable at the contribution line. That’s not the same thing as profitable AT ALL. It just means that they need to lose less money open than they do closed.

Ah. I see. So what does that translate to for MK? Any guesses?

 

[robhedin]

This was not how I understood Chapek’s answer. He said it needed to be profitable at the contribution line. That’s not the same thing as profitable AT ALL. It just means that they need to lose less money open than they do closed.

That was my take as well.

 

[jinx8402]

This was not how I understood Chapek’s answer. He said it needed to be profitable at the contribution line. That’s not the same thing as profitable AT ALL. It just means that they need to lose less money open than they do closed.

Yup, and hey, that was the argument I was making the other day. Lol