Prices up…profits down…

[Nevermore525]

Oh look, another piece of absolute drivel from Caroline Reid. This is not the first time I’ve complained about her “journalism”. But since she’s another ranting fan girl who somehow has found ongoing employment, I’m not surprised there’s barely a critical look at it.

What you can’t understand from the article, because she is trying to force a point is that OI domestically was up. International was down. Why? It’s basically explained that Paris collapsed that quarter with the Olympics. End of article; but she wanted to rant about WDW I suppose.

Globally - experiences remains 20% up over 2019, despite the large international decline.

Then she starts trying to draw weird quarter on quarter conclusions with known seasonal variability. Surprise. Halloween and Christmas is always their biggest quarter.

Yeah it’d be one thing if this quarter had been domestic down in revenue/profit and she used it to air her grievances.

Revenue/Profit for domestic parks was up for the year, and for the year domestic attendance didn’t drop either. If there were reported drops, then she’d have more ammo to use in her grievances.

This quarter was the worst profit in 2 years for experiences because International was down $142M in profit from a year ago (299M vs 441M). That’s it. Every other segment in Experiences was up.

The comparing Q1 to Q4 drops was hilarious to me. Even in 2018/2019 OI dropped 50% in the fourth quarter vs the first quarter.

 

[Sirwalterraleigh]

@BrianLo Expect some articulate responses.

It’s a pro-Iger rant…

Are we still debating “theory” on that?

 

[monothingie]

Revenue/Profit for domestic parks was up for the year, and for the year domestic attendance didn’t drop either. If there were reported drops, then she’d have more ammo to use in her grievances.

Revenue was up solely due to price increases, cost cutting, and further monetizing guests. Revenue was not up because more guests walked through the turnstiles or bought more merchandise and food and Beverage or stayed in company hotels.

It’s a sleight of hand trick that people continue to get fooled by into thinking this is completely sustainable.

 

[Sirwalterraleigh]

That’s it. Every other segment in Experiences was up.

That’s it, huh? Everything good?

 

[Minnesota disney fan]

As a baby boomer I grew up on Disney original Mickey Mouse Club, Wonderful World of Disney hosted by Walt on TV, all the Disney major movies in theaters, going to WDW in 1972 shortly after it opened. Was a big Disney fan. Took my sons to WDW a lot. But you know what they never had the love of Disney I had and their kids have even less. My grand kids have been (6 and 8 yrs old) and basically one and done. IMO this is something Disney has lost sight of the, endless price increases, outrageous Resort costs etc etc. There are so many other things my grandkids are in to and it ain't Disney. Do not know if my situation is unique or others feel the same. We baby boomers who grew up on Disney are dying off who is taking our place

I'm with you on this. Our grandkids all went to DisneyWorld when they were younger, but now they go to other places, Universal, National parks, things like that. Disney is not even mentioned. The Disney Co. has lost sight of this fact. For example, I didn't see any disney related Halloween costumes this year, or last year. I did see a lot of Nintendo and other Universal type costumes.
I'm a baby boomer too and we grew up with Disney, watched it on TV, and dreamed of actually going there. I still have the nostalgia for Disney, but that's all I have at this time. I hope they wake up to what is happening, but sometimes arrogance clouds the vision.

 

[Nevermore525]

Revenue was up solely due to price increases, cost cutting, and further monetizing guests. Revenue was not up because more guests walked through the turnstiles or bought more merchandise and food and Beverage or stayed in company hotels.

It’s a sleight of hand trick that people continue to get fooled by into thinking this is completely sustainable.

Pretty sure that’s a basic gist of how capitalism works. Charge more until you’ve hit an unsustainable limit.

Again for the year more rooms were occupied with people paying cash for their stay than 2023, they also had higher volumes of food , merch and beverage sales than 2023. Are less rooms occupied than 2019, yes, but there hasn’t been a substantial enough drop off based on historical norms, yet.

Never said whether it was sustainable or not, but the wheels haven’t really fallen off yet either.

 

[monothingie]

That’s it, huh? Everything good?

Parks and Experiences only bankroll the entire company. But hey Deadpool 3 and Moana 2 did great! And DTC is like bonus cash found in the sofa cushions.

 

[BrianLo]

It’s a pro-Iger rant…

Are we still debating “theory” on that?

No, no it isn’t. I’m often on your side.

Never once did “Bob” leave my mouth in this thread. I’m not surprised it has left yours, you are obsessed.

But you absolutely cannot read my posts without misassigning me talking points. Stop and for once slow down to read what I say without inaccurately filling in the blanks. I’m attacking this bad journalist.

 

[Nevermore525]

Parks and Experiences only bankroll the entire company. But hey Deadpool 3 and Moana 2 did great! And DTC is like bonus cash found in the sofa cushions.

The Media side actually provided more Operating Income for the company in Q4 2024. Media provided $1.996B in OI vs $1.659B from Experiences. Experiences has been providing the bankroll from Q1FY22 until this past Quarter. Prior to that it was always the media side leading the way

 

[monothingie]

Pretty sure that’s a basic gist of how capitalism works. Charge more until you’ve hit an unsustainable limit.

Except the reaction for consumer behavior in this segment isn’t instantaneous. The trending is the wrong way for this. Saying nothings wrong here is quite frankly nuts.

Again for the year more rooms were occupied with people paying cash for their stay than 2023, they also had higher volumes of food , merch and beverage sales than 2023. Are less rooms occupied than 2019, yes, but there hasn’t been a substantial enough drop off based on historical norms, yet.

Merch and food and others are tracked based on revenue not kernels of popcorn sold. Prices went up and up and up on everything across the board.

Never said whether it was sustainable or not, but the wheels haven’t really fallen off yet either.

 

[monothingie]

The Media side actually provided more Operating Income for the company in Q4 2024. Media provided $1.996B in OI vs $1.659B from Experiences. Experiences has been providing the bankroll from Q1FY22 until this past Quarter. Prior to that it was always the media side leading the way

Well considering that thing that happened from 2020-2022 which had a tiny effect on the segment…

There is no reason why P&E should be second.

 

[Sirwalterraleigh]

I heard Disney did poorly at the box office last year thanks to Genie+. Another Caroline article inbound! But Forbes lacks editorial oversight.

I’m somehow getting a reputation, but it’s not that people don’t have valid criticisms of many arms of the company… it just annoys me when we have to start lying and contorting data that in no way is related to the gripe(s) at hand.

The data is right there for the picking, but not when you lack financial literacy or critical appraisal skills. It’s easy just to make things up that “sound right”, but very clearly are not.

Reputations are born of patterns.

For instance…someone once called me cynical…how DARE they?!?

 

[Nevermore525]

Well considering that thing that happened from 2020-2022 which had a tiny effect on the segment…

There is no reason why P&E should be second.

Prior to 2020 the Media side brought in more OI than P&E, consistently.

 

[Chi84]

No, no it isn’t. I’m often on your side.

Never once did “Bob” leave my mouth in this thread. I’m not surprised it has left yours, you are obsessed.

But you absolutely cannot read my posts without misassigning me talking points. Stop and for once slow down to read what I say without inaccurately filling in the blanks. I’m attacking this bad journalist.

To be fair, you were instructed to explain using "small words."

 

[Chi84]

It’s a pro-Iger rant…

Are we still debating “theory” on that?

But why post an article if you are not willing or able to discuss it?

 

[monothingie]

Prior to 2020 the Media side brought in more OI than P&E, consistently.

Based solely on 3 franchises which Disney has not managed well. Any guess as to which ones?

 

[lewisc]

I was told they were trying to reduce attendance on purpose to make more money and it would be more magical for the aristocrats still attending…

I thought the intent was to reduce the impact of AP holder attendance, particularly locals.

Isn't the Chase Disney Card intended to insure customers have enough credit to enjoy their trip?

 

[Nevermore525]

Based solely on 3 franchises which Disney has not managed well. Any guess as to which ones?

You could remove studio entertainment revenue/operating income and the media side still would consistently have brought in more operating income prior to 2020.

 

[networkpro]

I showed up to Epcot today wearing my aristocratic crown and with a slice of Cake Bake Shop cake in hand, but alas none if my fellow aristocracy was present. No capes, crowns, or thrones!

But Epcot is for the masses, it's not the Kingdom.

 

[Sirwalterraleigh]

You could remove studio entertainment revenue/operating income and the media side still would consistently have brought in more operating income prior to 2020.

Have you noticed the costs of things since 2020?