2018 2nd Quarter Earnings for The Walt Disney Company

[rteetz]

https://www.laughingplace.com/w/articles/2018/05/08/live-blog-disney-q2-2018-earnings/

• Disney stock closed .69 down for the day
• Disney revenues at $14.55 billion beating expectations
• Earnings per share $1.84
• Parks and Studios drove results
• Black Panther was a major bright spot
• Guest spending at parks is up
• New digital media outlets are helping offset declines of traditional services
• Iger says Fastpass+ and IP driven attractions is helping the parks
• Iger is confident in closing Fox deal
• Disney intends to hold up to 39% of Sky even if Comcast gets the other 61%
• Iger believes the Fox-Disney deal is different from the ATT-Time Warner deal
• Company expenses was up to $194 million
• Domestic parks spending is up to $713 million from $650 million
• Iger won't comment on numbers with ESPN+ but says there has been a positive reaction
• Shanghai Disney Resort saw a decrease in attendance due to foreign currency change
• Iger expects digital platforms to overtake traditional ones sooner than some may expect
• Iger says MCU is the most lucrative box office franchise of all time
• Disney will be revealing more of the slate for the Disney Streaming service in the coming months
• Room occupancy at domestic Disney resorts was 90%
• Disney expects drag on BAMTech to be $50 million more than expected due to ESPN+ development
• ESPN ad sales are down 1%
• 3rd consecutive quarter that Disney has seen a slowing of cable subscriber loss
• Disney has bought $3.2 billion of its stock this year so far
• Iger says they will continue to grow the parks
• Use of Disney franchises will drive the growth at the parks
• Iger believes improving the guest experience with things like MyMagic+ has allowed them to increase prices
• Disney is looking at quality over quantity with the Disney streaming service
• Iger believes there are other markets in China and around the world for Disney parks
• Iger says it is inevitable they will build parks in other countries
• Marvel movies have been plotted out well into the next decade
• Iger says don't conclude that Avengers 4 is the last Avengers movie
• Infinity War won't see same return due to costs from cast and scope of film
• Toy Story Land in DHS is bigger than Shanghai (duh)
• Iger emphasized National Geographic as part of the Fox deal
• Disney's goal with the ESPN+ service is to create a sports marketplace

 

[TheMaxRebo]

Saw someone post that A Wrinkle in Time LOST $100m - guess expect more superhero movies and live action remakes

 

[PaintsWithAllTheColors]

Questions:

1) There have been rumors about parks in Canada and Saudi Arabia - any truth to those with Iger hinting at other international parks?

2) VERY intrigued that Disney is emphasizing Nationals Geographic - wonder what they’re looking to do with that

 

[rteetz]

Questions:

1) There have been rumors about parks in Canada and Saudi Arabia - any truth to those with Iger hinting at other international parks?

2) VERY intrigued that Disney is emphasizing Nationals Geographic - wonder what they’re looking to do with that

I think the mention of more China is telling.

We could see a mix of Disney Nature and Nat Geo.

 

[Doberge]

• Iger says Fastpass+ and IP driven attractions is helping the parks
• Iger says MCU is the most lucrative box office franchise of all time
• Iger says they will continue to grow the parks
• Use of Disney franchises will drive the growth at the parks
• Marvel movies have been plotted out well into the next decade

And connecting these must keep Iger up at night. "How much money do we need to get more Marvel in Florida? ... ****."

 

[agavegirl1]

• Iger believes improving the guest experience with things like MyMagic+ has allowed them to increase prices

Not sure about a causal relationship here nor a valid reason for raising prices, adding parking fees and charging for things that used to be free first come first served types of things.

 

[rteetz]

• Iger believes improving the guest experience with things like MyMagic+ has allowed them to increase prices

Not sure about a causal relationship here nor a valid reason for raising prices, adding parking fees and charging for things that used to be free first come first served types of things.

I think the rationale is it’s allowed people to plan and get more done in their day.

 

[Keels]

• Domestic parks spending is up to $713 million from $650 million

My husband would say this is largely in part to my current spending habits ...

 

[MommaBerd]

My husband would say this is largely in part to my current spending habits ...

 

[rteetz]

My husband would say this is largely in part to my current spending habits ...

Better you than me!

 

[britjames]

Disney intends to hold up to 39% of Sky even if Comcast gets the other 61%

This doesn't sound so good. Hope it should be the other way around.

 

[Planogirl]

National Geographic is a classic. I hope that they won't change it too much.

 

[Firebird060]

Hmm a park in Canada might be a issue due to season. Saudi Arabia although a interesting prospect is a big finacial risk in a part of the world known for recent uprisings and regime changes I would expect this to be a longer way off. If any where we might actually see a Disney park in Australia like they were planning way back when or even another park in Asia. Its got to be in a place with climate that allows for attendance all year round, DLP kind of shows the seasonal attendance rates.

 

[rteetz]

Hmm a park in Canada might be a issue due to season. Saudi Arabia although a interesting prospect is a big finacial risk in a part of the world known for recent uprisings and regime changes I would expect this to be a longer way off. If any where we might actually see a Disney park in Australia like they were planning way back when or even another park in Asia. Its got to be in a place with climate that allows for attendance all year round, DLP kind of shows the seasonal attendance rates.

I am thinking they will continue to expand their Asia brand.

 

[TheMaxRebo]

Better you than me!

you are contributing more on the retail side of things given all the Magic Bands

 

[hertamaniac]

Questions:

1) There have been rumors about parks in Canada and Saudi Arabia

Iger is going to visit Saudi Arabia, but commented that in no way can that equate to a park presence at this time.

 

[rteetz]

you are contributing more on the retail side of things given all the Magic Bands

I have slowed down on that...

Watch tomorrow they will release a new one I want.

 

[Firebird060]

I am thinking they will continue to expand their Asia brand.

I could see it in Asia as well, Since there is a rumor of another Japan Park, but then again Disney doesnt own the Japanese Parks, but increased licensing is still money in the Bank. China is still a very large country and adding on to Shanghai after a couple of years or even Opening another park might be feasible. The only draw back to China though is that the partners in China have already borrowed a significant amount of money for Shanghai and either Disney would have to get newer partners or put more eggs in the basket themselves. If any of the Chinese partners fail it can make Shanghai possibly become the Next DLP and force Disney to invest more to keep it and the brand afloat. Good news right now is that Shanghai is doing well and there is no cloud on the horizon yet.

 

[TheMaxRebo]

Questions:

1) There have been rumors about parks in Canada and Saudi Arabia - any truth to those with Iger hinting at other international parks?

2) VERY intrigued that Disney is emphasizing Nationals Geographic - wonder what they’re looking to do with that

I saw Iger was interviewed and asked about the Saudi Arabia thing and he downplayed it but said after talking to them he was willing to go and see so he will be taking a trip

There is a ton of money there (obviously not really the same thing but the Saudi's just did a 10 year deal with the WWE for hundreds of millions of $ to brings shows there - so there is interest in bringing Western forms of entertainment there (granted, other issues such as them not letting women perform in the shows, but, you know, $)

 

[TheMaxRebo]

I have slowed down on that...

sure, sure, and you can quit anytime, I get it