TWDC 2QFY16 Earnings Call Thread

ThemeParkJunkee

ThemeParkJunkee

Well-Known Member
Well that was interesting. So glad I sold almost every share back in November at just under the 52 week high. I was absolutely hating the market's over-reliance on projections for the movies and their concentration on how the media arm was doing while ignoring the workhorse that is Parks and Resorts. Except as a source of cash of course.

About time they got out of video games. They weren't that good at it. The write down isn't going to look pretty for this quarter though.

Loved Iger's comment about not being a "quarter to quarter business. While true, it reeked of CYA.

Gotta read the transcript.
 
Andrew C

Andrew C

You know what's funny?
GhostHost1000 said:
3 years huh? just what they need...3 more years of decline until these magic lands appear
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I assume he's talking about Pandora, TSL, and SWL.

I mean, they are all happening. So there is park investment. Yes, some will wonder about the timetables. Yes some will wonder why this didn't happen sooner. And then there is the cost of each to consider.

But park investment is occurring. Can't really deny it.

Whether you agree with the type of investment at the parks is of course always up for debate.
 
GhostHost1000

GhostHost1000

Premium Member
Andrew C said:
I assume he's talking about Pandora, TSL, and SWL.

I mean, they are all happening. So there is park investment. Yes, some will wonder about the timetables. Yes some will wonder why this didn't happen sooner. And then there is the cost of each to consider.

But park investment is occurring. Can't really deny it.

Whether you agree with the type of investment at the parks is of course always up for debate.
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I'm glad they are adding. But time will tell I guess. We have already seen some cuts to toy story land
 
JohnD

JohnD

Well-Known Member
PhotoDave219 said:
Earnings for P&R:

For the quarter, P&R pulled $3.9B this year, up 4% over 2QFY15's $3.7B.

For the six months ended, looking at $8.2B in revenue for Q1&Q2 for P&R. Up 7% over last year.

Here's what the Mouse had to say...

Parks and Resorts

Parks and Resorts revenues for the quarter increased 4% to $3.9 billion and segment operating income increased 10% to $624 million. Operating income growth for the quarter was due to an increase at our domestic operations, partially offset by a decrease at our international operations. The current quarter reflected an offsetting impact from a shift in the timing of the New Year’s and Easter holidays relative to our fiscal periods. The current quarter was adversely impacted by the absence of several days of the New Year’s holiday, which occurred in the second quarter of the prior year. This impact was essentially offset by the benefit of the two-week Easter holiday, which occurred in the second quarter of the current year compared to the third quarter of the prior year.

Higher operating income at our domestic operations was due to guest spending growth, partially offset by higher costs. The increase in guest spending was due to higher average ticket prices at our theme parks and cruise line, increased food, beverage and merchandise spending and higher average hotel room rates. Cost increases were due to labor and other cost inflation and higher depreciation associated with new attractions. Attendance at our domestic theme parks was relatively flat, as an increase at Disneyland Resort was offset by a modest decrease at Walt Disney World Resort.

Lower operating income at our international operations was due to higher pre-opening expenses at Shanghai Disney Resort, increased operating costs at Disneyland Paris and lower volume at Hong Kong Disneyland Resort, partially offset by higher guest spending at Disneyland Paris.

(Bold added by me)

​
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So the fiscal year begins in October, I assume, since WDW was launched October 1, 1971? That would explain this being a second quarter (Jan - Mar) report.
 
JohnD

JohnD

Well-Known Member
I'll be interested to see the Q3 report (Apr - Jun). New offerings rolling out (Frozen, Soarin, ROL, etc) this year vs last SWW last year.
 
ParentsOf4

ParentsOf4

Well-Known Member
ThemeParkJunkee said:
Loved Iger's comment about not being a "quarter to quarter business. While true, it reeked of CYA.
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It's the kind of statement every CEO of every company keeps in their back pocket to pull out when the current quarter's results do not meet expectations.

Similar to the comments regarding theme park price increases and declining attendance. That's a comment Iger & Co. have had at the ready for several quarters now.

Remember, the CEO is a company's biggest cheerleader. This is exactly what they should be saying at an earnings call to calm overly reactive traders.
 
the.dreamfinder

the.dreamfinder

Well-Known Member
jt04 said:
Stocks already recovering after hours from the knee-jerk reaction. Disney is in better shape than other media companies. All is well.
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image.png
 
U

UpAllNight

Well-Known Member
So does Disney Springs construction come out of P&R or a separate company expenditure? Just thinking its completion, along with Shanghai might free up some % of the spend for some as of yet unnanounced projects. I can dream, right?
 
the.dreamfinder

the.dreamfinder

Well-Known Member
UpAllNight said:
So does Disney Springs construction come out of P&R or a separate company expenditure? Just thinking its completion, along with Shanghai might free up some % of the spend for some as of yet unnanounced projects. I can dream, right?
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Disney Springs would be considered P&R capex. But the two parking structures and ramp off I-4 were paid for by RICD issued bonds.
 

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