Walt Disney Company Q3 Earnings Report

[hertamaniac]

Short sellers. DIS will drop tomorrow - I'm fairly sure of it!

Pump and dump? A distinct possibility for the shorters.

 

[anthony2k7]

So what I got from all of this...

Disney will survive the Pandemic.

And I probably have left it too late to buy shares for now.

 

[Krandor]

Domestic theater chains may not be a thing in a year anyways.

If it takes a year for domestic theaters to open they likely just won't be a thing period.

 

[Krandor]

I'm so happy I got to experience Avengers Endgame on opening night. I'd be crushed if this was supposed to come out this year. It was by far the greatest theater experience I have ever had. It was like being at a sporting event

Endgame I don't see them just going to VOD unless they absolutely had to. Mulan is a bit different since the Chinese market is so huge for that one and they are opening theaters. Disney would love the domestic theater revenue as well but just isn't as important as china so china theater and NA disney+ is likely good enough and will still get them a bunch of money. Same math wouldn't have worked for endgame.

 

[bookwormde]

Did anyone else pick up the cash from operations at 1.162 appear to be impacted by a 1 time 5.5 billion reduction in a tax liability

 

[mattpeto]

Glad Mulan is coming to VOD. Unfortunately, I think the movie theater industry is toast until a vaccine.

I’ll gladly fork over $30 for my family to watch it.

 

[anthony2k7]

Glad Mulan is coming to VOD. Unfortunately, I think the movie theater industry is toast until a vaccine.

I’ll gladly fork over $30 for my family to watch it.

They don't need to be. Drive Ins could definitely become more of a thing again.

 

[Krandor]

Glad Mulan is coming to VOD. Unfortunately, I think the movie theater industry is toast until a vaccine.

I’ll gladly fork over $30 for my family to watch it.

I won't. I'm single and live alone. Not worth it for $30. Before covid I could see 3 movies a week in theaters for around $25. Not spending $30 for one movie. Now for a family or 3 or 4 all watching together probably a great deal. Not a good deal for me so I'll be passing but would have seen it in theaters (Pre-covid)

 

[Spaceguy55]

Wait a few months and it will be available with no up charge...maybe less to attract new subs

 

[mattpeto]

I won't. I'm single and live alone. Not worth it for $30. Before covid I could see 3 movies a week in theaters for around $25. Not spending $30 for one movie. Now for a family or 3 or 4 all watching together probably a great deal. Not a good deal for me so I'll be passing but would have seen it in theaters (Pre-covid)

Nothing is ideal right now, just glad we can finally watch it.

 

[SMRT-1]

As I review the segment income I am seeing Parks, Experiences and Products an operating loss of 1.96 billion Below from the chart on page 3 and this does not include any costs that are induced in the one time 5+ billion write down.

https://thewaltdisneycompany.com/app/uploads/2020/08/q3-fy20-earnings.pdf

Quarter Ended Nine Months Ended June 27, 2020 June 29, 2019 Change June 27, 2020 June 29, 2019 Change Revenues: Media Networks $ 6,562 $ 6,713 (2) % $ 21,180 $ 18,317 16 % Parks, Experiences and Products 983 6,575 (85) % 13,922 19,570 (29) % Studio Entertainment 1,738 3,836 (55) % 8,041 7,817 3 % Direct-to-Consumer & International 3,969 3,875 2 % 12,114 5,940 >100 % Eliminations (1,473) (737) (100) % (4,576) (1,155) >(100) % Total Revenues $ 11,779 $ 20,262 (42) % $ 50,681 $ 50,489 — % Segment operating income: Media Networks $ 3,153 $ 2,136 48 % $ 7,158 $ 5,696 26 % Parks, Experiences and Products (1,960) 1,719 nm 1,017 5,377 (81) % Studio Entertainment 668 792 (16) % 2,082 1,607 30 % Direct-to-Consumer & International (706) (562) (26) % (2,226) (1,084) >(100) % Eliminations (56) (133) 58 % (529) (174) >(100) % Total Segment Operating Income $ 1,099 $ 3,952 (72) % $ 7,502 $ 11,422 (34) %

I must've only been looking at revenue. Well now I just feel foolish.

Although that segment also includes products and experiences, so not all of the losses are from the parks; some of the losses are from retail (licensing & Disney Store), Adventures by Disney, etc. I'd be really interested to see what the numbers are just for the parks, but I don't know that Disney releases that level of information.

 

[xuxa777]

On the flip side they haven't really filmed anything in 5 months so there's a lot that's falling behind schedule naturally as well.

they have productions that are filming now.

 

[xuxa777]

Right, so they thought the positive contribution number was fairly easily achievable, but sounds like they struggled to hit it.

OK so maybe cut backs are still coming, especially if September is expected to be quieter

still sticking with that positive contribution i see

 

[rteetz]

They don't need to be. Drive Ins could definitely become more of a thing again.

And they are in many places.

 

[xuxa777]

Disney isn't going to stop something that works.

all depends on the exhibitors and the deal they have/or negotiating

 

[Krandor]

Nothing is ideal right now, just glad we can finally watch it.

Even in non-ideal situations, $30 for me to watch a movie I'll likely watch once is more then I'm willing to pay. If other people are great. I'd love to see it, but $30 is beyond my personal price range. Whenever it hits normal D+ I'll watch it then.

 

[Eric Smith]

Even in non-ideal situations, $30 for me to watch a movie I'll likely watch once is more then I'm willing to pay. If other people are great. I'd love to see it, but $30 is beyond my personal price range. Whenever it hits normal D+ I'll watch it then.

Unless you go to the theater by yourself, you’re probably paying $30 or more to watch a movie there.

 

[bookwormde]

I must've only been looking at revenue. Well now I just feel foolish.

Although that segment also includes products and experiences, so not all of the losses are from the parks; some of the losses are from retail (licensing & Disney Store), Adventures by Disney, etc. I'd be really interested to see what the numbers are just for the parks, but I don't know that Disney releases that level of information.

There were other parts that made if look different, they try to make these hard to track the number through.

Yes I would be interested to see how much the loss was for the cruise part

 

[SMRT-1]

There were other parts that made if look different, they try to make these hard to track the number through.

Yes I would be interested to see how much the loss was for the cruise part

I forgot about DCL. I wouldn't be surprised if that was a large part of the PE&P segment losses.

 

[Mit88]

Even in non-ideal situations, $30 for me to watch a movie I'll likely watch once is more then I'm willing to pay. If other people are great. I'd love to see it, but $30 is beyond my personal price range. Whenever it hits normal D+ I'll watch it then.

Its not even necessarily about just Mulan. If this becomes a trend, you’re looking at 100’s if not 1000s of dollars to see movies.

Bill and Ted. Want to see it without getting the movie spoiled? $20
WW84. Want to see it without getting the movie spoiled? $30
Mulan. Want to see it without getting the movie spoiled? $30
Black Widow. $30
Soul. $30
Dune. $30
Bond. $30

$200 right there when it would cost you ~$70 with AMC or Regal movie passes.

I dont care what kind of home theater system you have, you’ll never replicate the theater experience. And thats what you’re paying for. The reaction’s from Endgame and the moment with mjoilnir went viral even this spring because of what that moment was like BECAUSE of the theater experience. Watching that scene at home for the first time would pale in comparison.