Disney4me Posted November 4, 2023 Report Share Posted November 4, 2023 There could be some BIG Disney news on the horizon! ©Disney Even though Destination D23 is behind us, there are still opportunities for big Disney announcements coming up. The IAAPA Expo from November 13th through the 17th could provide some Disney Parks updates but there is one important date just before then which could shed some light on future Disney plans. November 8th will serve as Disney’s Fiscal Full Year and Q4 2023 Earnings Results Webcast. A lot has happened this year with the Walt Disney Company and this investors call could indicate some imminent changes heading into the new fiscal year. We have some speculations as to what Disney might announce. 1 — Updates on the Financial Status of the Parks It likely won’t be considered a banner year for Disney, especially when it comes to box office returns. With that said, Disney’s profits are on the increase as they pertain to the Disney Parks, Experiences, and Products. We typically see these numbers within the earnings report but it is likely to be discussed during the call. Walt Disney World Railroad Main Street Station We’ve covered why Disney was showing some mixed results from its theme park division earlier in the year, and in Quarter 3, once again, Disney had some wins and losses. ©Disney Disney Parks, Experiences, and Products revenues for the last quarter increased 13% from around $7.4 billion in July 2022 to $8.3 billion in July 2023. The increase, in large part, is due to better results in non-U.S. Disney Parks. The quarterly report credited major growth at Shanghai Disney Resort and growth, albeit to a lesser extent, at Hong Kong Disneyland Resort. Shanghai Disney was closed last year due to COVID-19, so obviously there was nowhere to go but up. As for Hong Kong Disneyland, results showed more guest spending in high volumes. Prices across the Disney Parks have also increased, resulting in more income. Spaceship Earth at EPCOT So where are we seeing some negative trends? Domestically, surprisingly. The U.S.-based parks didn’t perform outstandingly and Disney Vacation Club produced lower unit sales. Disney World struggled more than Disneyland Resort this past quarter, yielding decreasing results. Disney World’s cost of operation went up, and the crowds went down. According to the quarterly report, “The increase in costs was attributable to inflation and accelerated depreciation related to the planned closure of Star Wars: Galactic Starcruiser. Lower volumes were due to decreases in occupied room nights and attendance.” Galaxy’s Edge at Disneyland Disneyland Resort actually produced better returns than the prior-year quarter. The cost of operation at Disneyland rose, but guest attendance and increased spending (mostly due to increased ticket prices) helped offset those costs. Disney Wish docked at Castaway Cay Another Disney boon was the Disney Cruise Line. With fleet expansion and a higher need for increased operating costs, the Disney Cruise Line did well by experiencing a nice boost in passenger cruise days. Disney California Adventure So what can we expect? The trends have stayed pretty consistent and the rising prices at both domestic resorts are unlikely to see crowds return quickly enough to change projections dramatically. Therefore, it’s unlikely we learn anything we already weren’t expecting. With that, it could be interesting if there is any indication of worry on behalf of Disney or any indications that changes are coming to the U.S. parks to draw back the consumers. 2 — Streaming Updates Disney+ is not thriving. Subscribers have been decreasing since Q1 of this fiscal year and Disney+ lost another 11.7 million subscribers in Q3. This trend will surely have investors looking for answers. ©Disney Walt Disney Company CEO Bob Iger is aware of the importance of righting the Disney+ ship and said the streaming platform is his “number one priority.” So with that in mind, investors will want to know strides made to win back subscribers in this upcoming earnings call. ©Disney During the Q3 2023 earnings call, Iger said Disney’s streaming business is still young when justifying the platform’s struggles but we’re starting to inch into adulthood when it comes to Disney+. Disney reported that “Direct-to-Consumer revenues for the (third) quarter increased 9% to $5.5 billion.” Despite subscriber loss, Disney still cashed in on monthly revenue, with monthly increase “from $7.14 to $7.31 due to higher per-subscriber advertising revenue.” ©Disney We had seen subscriber growth until Disney introduced an ad-supported option for Disney+. While roughly 40% of Disney+ subscribers are choosing this option, Disney is looking to increase that number to benefit from the ad revenue. It will be fascinating to see what the trends show now after the mass exodus of Disney+ subscribers. ©Hulu Some big news recently dropped regarding Disney’s full acquisition of the remaining 33% of Hulu shares from Comcast. In September, Comcast CEO Brian Roberts stated he believed Hulu’s value is more than the $27.5 billion evaluation set five years ago, but that appraisal has not been confirmed. We can expect to hear more from Disney about what the Hulu acquisition will mean for Disney’s streamig business. ©Disney Disney’s Fiscal Full Year and Q4 2023 Earnings Results Webcast will begin at 4:30 p.m. ET on Wednesday, November 8th, and can be listened to live by clicking this link. The presentation will also be archived. We’ll be sure to bring you all the big news coming out of this earnings call, so stay tuned for more! The ONE Announcement That Every Disney Investor Will Be Waiting for on November 8th Join the DFB Newsletter to get all the breaking news right in your inbox! Click here to Subscribe! WE KNOW DISNEY. YOU CAN, TOO. Oh boy, planning a Disney trip can be quite the adventure, and we totally get it! But fear not, dear friends, we compiled EVERYTHING you need (and the things to avoid!) to plan the ULTIMATE Disney vacation. Whether you're a rookie or a seasoned pro, our insider tips and tricks will have you exploring the parks like never before. So come along with us, and get planning your most magical vacation ever! GET YOUR GUIDE NOW Are Disney’s revenue numbers encouraging, discouraging, or are you completely indifferent? Let us know! The post Two Big Announcements We’re Expecting From Disney Next Week first appeared on the disney food blog.View the full article Quote Link to comment Share on other sites More sharing options...
Recommended Posts
Join the conversation
You can post now and register later. If you have an account, sign in now to post with your account.