Is attendance really down at WDW this or…

[PREMiERdrum]

If you have fewer oranges, you have to squeeze them harder.

It works, until....

 

[GhostHost1000]

"a modest amount"

The broader point being that revenue increases overall, could still be compensating for the decreases in attendance. If attendance was down 20% but revenue was down 1%, it wouldn't be all that concerning to them (because people are spending more). Q1 revenue was down (compared to Q1 from FY23 due to the 50th anniversary), but overall they are still making buckets more money than they had before 2019.

Let’s not use the due to the 50th anniversary bs. No one came just for that and no one isn’t attending because it’s over.

So are the discounts working or not? How are they able to rake in so much more revenue if WDW is crashing like a stone?

Apparently not and they aren’t raking in so much more revenue

Are we living in some weird paradox where WDW is both failing but still making tons of money?

They aren’t making tons of money. They are charging tons however.

Or are you going to suggest that WDW just isn't all that important to Disney's bottom line, and whatever massive failures are occurring there are easily made up by the cruise line?

Both things can't be true... can they?

WDW is important to the bottom line, they just have horrible leadership and management to realize how much better it could be to their bottom line by doing the right things and making the right decisions.

I’m sure Bob will fix it though

 

[Jrb1979]

This all stems from the fact those in Burbank don't understand parks. They look down on them. In their mind parks are ATMs

 

[Sirwalterraleigh]

"a modest amount"

The broader point being that revenue increases overall, could still be compensating for the decreases in attendance. If attendance was down 20% but revenue was down 1%, it wouldn't be all that concerning to them (because people are spending more). Q1 revenue was down (compared to Q1 from FY23 due to the 50th anniversary), but overall they are still making buckets more money than they had before 2019.



So are the discounts working or not? How are they able to rake in so much more revenue if WDW is crashing like a stone?

Are we living in some weird paradox where WDW is both failing but still making tons of money?

Or are you going to suggest that WDW just isn't all that important to Disney's bottom line, and whatever massive failures are occurring there are easily made up by the cruise line?

Both things can't be true... can they?

…so you’re not gonna learn then?

 

[BrianLo]

The money did drop a WDW. From the Q1 Report:

"A decrease at Walt Disney World Resort reflecting a modest decrease in revenues and higher costs. These impacts were due to:"

I’m talking about Q2 by the way. That’s what Iger’s new comments were about, operating income is up a low teens percentage this quarter. It doesn’t really make sense how Domestic has pulled that off. The cruise line has great year on year comps up through last quarter, but most lines started to report more normalcy in 2023 for occupancy. Likewise Shanghai Disney finally reopened for the entire quarter last year (Q2). These things were helping prop up WDW declines in a major way. But they stop doing that in Q2.

Only HK maybe has a major boost going on right now year on year, but that’s largely peanuts in their portfolio…. And he seems to imply domestic operating income is up.

As per your newer comment, the cruise line is currently very, very healthy. But the momentum from post pandemic occupancy year on year won’t really be as dramatic until capacity increases with their new ships. That however should allow the cruise line to perform very strongly for a couple more years since they have quite meaningful capacity increases.

 

[GhostHost1000]

This all stems from the fact those in Burbank don't understand parks. They look down on them. In their mind parks are ATMs

Bingo

 

[Sirwalterraleigh]

This all stems from the fact those in Burbank don't understand parks. They look down on them. In their mind parks are ATMs

Disney parks have always cranked out cash…but because of the trust they built in their customers…the ability to pause life and buy “…one more thing” in the store

It’s not because of the signage out front. It really never was.

 

[Sirwalterraleigh]

I’m talking about Q2 by the way. That’s what Iger’s new comments were about, operating income is up a low teens percentage this quarter. It doesn’t really make sense how Domestic has pulled that off. The cruise line has great year on year comps up through last quarter, but most lines started to report more normalcy in 2023 for occupancy. Likewise Shanghai Disney finally reopened for the entire quarter last year (Q2). These things were helping prop up WDW declines in a major way. But they stop doing that in Q2.

Only HK maybe has a major boost going on right now year on year, but that’s largely peanuts in their portfolio…. And he seems to imply domestic operating income is up.

As per your newer comment, the cruise line is currently very, very healthy. But the momentum from post pandemic occupancy year on year won’t really be as dramatic until capacity increases with their new ships. That however should allow the cruise line to perform very strongly for a couple more years since they have quite meaningful capacity increases.

Cruiseline can’t blunt a body blow to wdw…

Combined with Disneyland they might be able to mask it…for a while

It’s not a “plan”

 

[BrianLo]

Guys, keep up. I didn’t revive this discussion to talk about Q1. Iger says revenue is up in Q2 domestically, despite (coded) WDW attendance declines.

What am I missing? Did I skip over major cost increases?

 

[el_super]

Let’s not use the due to the 50th anniversary bs. No one came just for that and no one isn’t attending because it’s over.

It's a perfectly sensible answer.

Apparently not and they aren’t raking in so much more revenue

But they are.... Domestic Parks and Resorts revenue increased 4% in Q1, year over year. How did they do it? This thread complaining about attendance being down is almost a year old.... and despite that, revenue keeps going up?

Is it magic?

They aren’t making tons of money. They are charging tons however.

They are doing alright for themselves.

 

[Sirwalterraleigh]

Guys, keep up. I didn’t revive this discussion to talk about Q1. Iger says revenue is up in Q2 domestically, despite (coded) WDW attendance declines.

What am I missing?

You’re not missing anything

Some troll in typical fashion saw “genie sold out” on a day where 1/3 of the schools and 1/2 the colleges in the country are off…

Extrapolating that overall wdw attendance must be up?

…Checks hotel availability….NEIN!!!

 

[GhostHost1000]

It's a perfectly sensible answer.




But they are.... Domestic Parks and Resorts revenue increased 4% in Q1, year over year. How did they do it? This thread complaining about attendance being down is almost a year old.... and despite that, revenue keeps going up?

Is it magic?





They are doing alright for themselves.

Ok. Have a magical day.

 

[el_super]

Guys, keep up. I didn’t revive this discussion to talk about Q1. Iger says revenue is up in Q2 domestically, despite (coded) WDW attendance declines.

What am I missing? Did I skip over major cost increases?

All sorts of things could be happening: people are paying more for entry, paying more for Genie+, paying more for private parties. The demand is still there to pay for the product (at a higher price), even if fewer people can afford it.

Also it could just be favorable/unfavorable comparisons between quarters year over year.

 

[Disstevefan1]

"Mobbed" is perception, and many things can be done to alter that perception and make things feel crowded. It wasn't mobbed when I was there. Nothing was more than a 45 minute wait the entire day, except for Peter Pan and 7DMT, which both never got to more than 65 minutes. And that was a Saturday.

Amazing. You had a great day! Too bad all days aren't like yours.

 

[el_super]

Ok then. Have a magical day.

The stock certainly is.

 

[BrianLo]

You’re not missing anything

Some troll in typical fashion saw “genie sold out” on a day where 1/3 of the schools and 1/2 the colleges in the country are off…

Extrapolating that overall wdw attendance must be up?

…Checks hotel availability….NEIN!!!

I guess. I’ll have to put a pin in it and see what they actually report next time or if he is stretching the truth.

All sorts of things could be happening: people are paying more for entry, paying more for Genie+, paying more for private parties. The demand is still there to pay for the product (at a higher price), even if fewer people can afford it.

Also it could just be favorable/unfavorable comparisons between quarters year over year.

That’s the really interesting thing, because he more or less calls out Florida as being unfavorable. I do wonder if the comment is out of context and he means the entirety of P&R is up (International + Domestic) a low teens. Even though domestic may be down.

Guess we’ll find out in a couple months.

 

[GhostHost1000]

The stock certainly is.

Shew well thank god for that. Iger is fixing it all. That puts all my worries to rest with a positive stock day. I’m surprise though, since the 50th celebration is over and all

 

[HauntedPirate]

Shew well thank god for that. Iger is fixing it all. That puts all my worries to rest with a positive stock day. I’m surprise though, since the 50th celebration is over and all

Oh, you mean that stock price which has basically stagnated since Bob announced a dividend, thinking that's all the stock analysts needed to start boosting the price like before? Thanks be to Bob!!!

 

[GhostHost1000]

Oh, you mean that stock price which has basically stagnated since Bob announced a dividend, thinking that's all the stock analysts needed to start boosting the price like before? Thanks be to Bob!!!

the stock price is obviously a direct reflection of how crowded WDW is. Raising the G+ prices today hopefully will help with record profits again. No need to do anything... they got this...everything is fine.

I hear they are investing billions and could be adding 7 new full lands in Orlando soon too! Drawings will probably be released at D23 of what they are thinking of. Can't wait! Do I renew my AP now or wait until 2045?

 

[Sirwalterraleigh]

"Mobbed" is perception, and many things can be done to alter that perception and make things feel crowded. It wasn't mobbed when I was there. Nothing was more than a 45 minute wait the entire day, except for Peter Pan and 7DMT, which both never got to more than 65 minutes. And that was a Saturday.

When you accept that they don’t have enough capacity to comfortably move crowds around - at any park on ANY day - as most of the old war horses around here have…the assessment completely changes