Disney’s Q3 FY24 Earnings Results Webcast

[lentesta]

Can someone explain how the Olympics and all the tourism it supposedly brings to a city, ie Paris, causes a negative attendance situation at the Paris theme park?

Everyone else avoids the city.

 

[wdwmagic]

Can someone explain how the Olympics and all the tourism it supposedly brings to a city, ie Paris, causes a negative attendance situation at the Paris theme park?

Presumably everyone visiting is attending the olympic venues and ignoring DLP, and nobody else wants to travel there because the city is mobbed.

 

[MisterPenguin]

Q: what's up with DTC ARPU?; what's up again with attendance, esp. per quarter?

CFO: bundling has an effect on ARPU and ad tiers, too.

 

[doctornick]

So "no significant churn" in D+ means only 200k additional subscribers, mostly overseas? And content is "more attractive"?

No, domestic D+ actually increased subscribers -- 800K more this quarter. International "core" actually lost 100K subs while India lost another 500K (which the company doesn't seem to care about). Overall, they actually increased subs year over year despite the subscription rate being higher.

 

[Ayla]

Third time in two calls Iger has mentioned "recommendation engines" for D+.

Is that corporate-speak for algorithms?

 

[wdwmagic]

Earnings call just aren't as interesting these days. Bob seems a little less willing to get into things like he did previously.

 

[MisterPenguin]

Q: what's up with ad sales?; what's up increased content licensing?

CFO: ad market is healthy, grew 8%, dtc up 20% thanks to sports and DTC; are ad delivery is more targeted for advertisers

Licensing number is mostly BO success.

 

[DznyGrlSD]

Earnings call just aren't as interesting these days. Bob seems a little less willing to get into things like he did previously.

D23 is this week too...shock & awe incoming

 

[lentesta]

Is that corporate-speak for algorithms?

Yeah. Netflix considers their recommendation engine a strategic asset and invests significantly in it.

Disney's is about as primitive as it gets.

 

[Tha Realest]

Can someone explain how the Olympics and all the tourism it supposedly brings to a city, ie Paris, causes a negative attendance situation at the Paris theme park?

Because participants and spectators flood the gap, and most others avoid the area if at all possible

 

[HauntedPirate]

No, domestic D+ actually increased subscribers -- 800K more this quarter. International "core" actually lost 100K subs while India lost another 500K (which the company doesn't seem to care about). Overall, they actually increased subs year over year despite the subscription rate being higher.

Ok. I'm meeting hopping, so no time to dig into anything outside of things here. Still seems like the subscribers curve is leveling out.

 

[wdwmagic]

Yay - it took 26 minutes, but there is "turbocharge"

 

[MisterPenguin]

Last Q: ?? mumbling ??

CFO: we feel good investing in experiences, those segments provide great rate of return, tho, it takes time

 

[Lilofan]

Q: what's up with 'strategic partners'; managing costs

Bob: JV is great and ongoing.

Cost cutting is still being looked at.

Doesn’t take a college degree to understand what is cost cutting.

 

[GhostHost1000]

Last Q: ?? mumbling ??

CFO: we feel good investing in experiences, those segments provide great rate of return, tho, it takes time

Ah the setup for the next 5 years of waiting on that return

 

[CaptainAmerica]

That was like the most boring earnings call in memory.

 

[MisterPenguin]

Yeah. Netflix considers their recommendation engine a strategic asset and invests significantly in it.

Disney's is about as primitive as it gets.

While being far behind Netflix, the other streamers are worse than Disney's, tho.

 

[ABQ]

Because participants and spectators flood the gap, and most others avoid the area if at all possible

So we should expect Disneyland to be down in 4 years? I know these parks aren't apples to apples, but Olympic events and all are scattered and not all surrounding the theme park. Just seems like an excuse for a park that doesn't get much attendance to begin with, speaking of Paris.

 

[MisterPenguin]

Ah the setup for the next 5 years of waiting on that return

Takes time to put up all those walls.

 

[doctornick]

Ok. I'm meeting hopping, so no time to dig into anything outside of things here. Still seems like the subscribers curve is leveling out.

Yes. I think that at this point their goal is to keep subs where they are as much as possible while increasing what they are charging and they feel that will enable a profit. It seems to me that they have done a good job at retaining customers while increasing prices so I think it is going "according to plan". Doesn't mean they couldn't miscalculate and have the next price increase be the straw that broke the camel's back and loss substantial subscribers.

I do think however that churn isn't as common as people suggest and inertia how things work for a large number of consumers. A lot of people are too lazy to drops and re-add services regularly.