Disney4me Posted 1 hour ago Report Posted 1 hour ago Every quarter of the year, Disney hosts an earnings call to update shareholders and anyone else who would like to listen in on how the company is doing. ©Disney It’s a great way to understand what the company is focusing on, changes we could possibly see hit the parks or other aspects of the company, and to get some answers about what Disney is thinking when it comes to next steps. The latest earnings call was held on Wednesday, August 5th, and it was CEO Josh D’Amaro’s third time leading the call. During the call, he highlighted four things the company is especially focusing on moving ahead, and it gives us an insight on what to expect for the future. During the recent earnings call, Josh D’Amaro was asked about the company’s top priorities right now. His response was that while the company currently generates a lot of free cash flow, they’re not looking to build cash or the balance sheet at this time. Instead, one of the main goals is to drive growth and cap the return to shareholders. ©Disney He continued to break it down further, outlining three major goals the company is currently focused on reaching. The first is working on investing back into the business to drive growth. Disney is working on “TURBOCHARGING experiences growth,” which could mean we continue to see new additions and updated practices in the parks to drive more people to visit. Disney, and Josh D’Amaro himself, has often talked about making sure that the guest experience in the park is as great as it can possibly be, and it sounds like this is still a main focus to help them invest back into the business. ©Disney The second goal is working on a plan to grow content spending over time. Disney is on track to spend $24 billion across the company on content, which is up pretty modestly from previous numbers. It’s assumed that this content is mostly talking about TV shows and movies, both in theaters and on their streaming platform, though it’s possible there could be other types of content included in that statement as well. ©Disney The third goal Josh D’Amaro briefly mentioned was increasing shareholder dividends. The Walt Disney Company is highly focused on operating with speed and agility so they can invest in accelerating growth, and that work is ongoing. Josh then continued to elaborate on this answer as a whole, saying, “in order for us to compete successfully, we’re clear on what we need to do: invest in our core competitive advantages.” He went on to say that their approach is to leverage Disney’s own IP and own that DTC relationship through their platforms. That positions them in the best place to monetize across the entire ecosystem, and owning the relationship gives them data, consumer insight, etc. The streaming industry is consolidating through acquisitions, but Josh clarified that that fact won’t change their path, helped by the fact that the company has a long history of partnering and streaming, which Disney will keep building. Josh finished by saying that the company has been able to segment the marketplace through bundling, and they’ve seen retention improve the further up the ladder customers go, and that they feel really good about where they currently sit as a company. ©Disney This is exactly why we love these earnings calls, though they can sometimes be a little difficult to decode — now we’ve got a clear picture of what Disney is really focusing on. Could that change in a week? Sure, but it could also stay the same for months, and give us a heads-up on what to watch and look for. We’ll be sure to keep you updated on all the latest Disney news, so stay tuned to DFB. Disney Is All In With AI. Here’s Their Rationale. 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 How do you feel about these focus points of Disney’s? Tell us in the comments! View the full article Quote
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