Disney reports record earnings but stock falls

OKW Lover · Feb 9, 2016

According to a story in the LA Times, Disney has reported record quarterly earnings for the qtr ended 1/2/16. http://www.disboards.com/threads/cu...ts-plus-my-sleeper-rates-thru-5-2017.3244232/

This was largely attributed to the impact of the Star Wars movie. Disney handily beat Street expectations for revenues and earnings. However, in after hours trading the stock fell ~2% apparently because investors are still concerned about cable cutters.

mshanson3121 · Feb 9, 2016

So what could we glean from this, as far as what their next move might be re: ticket prices etc... Since they had good earnings, might they hold off, or where stocks are falling will they want to boost earnings?

rteetz · Feb 9, 2016

mshanson3121 said:
So what could we glean from this, as far as what their next move might be re: ticket prices etc... Since they had good earnings, might they hold off, or where stocks are falling will they want to boost earnings?

Disney had good earnings every other time they raised prices I don't think this would stop them from increasing prices it would probably only encourage it.

lockedoutlogic · Feb 9, 2016

ESPN

China

Paris

Nothing they say slapping each other's backs and rolling 20's to smoke is throwing the dogs off the scent.

rteetz · Feb 9, 2016

lockedoutlogic said:
ESPN

China

Paris

Nothing they say slapping each other's backs and rolling 20's to smoke is throwing the dogs off the scent.

Paris seems to be doing ok right now. The other two of course are a different story.

lockedoutlogic · Feb 10, 2016

rteetz said:
Paris seems to be doing ok right now. The other two of course are a different story.

Disney just took ownership of it operation, debt, and problems.

That pain hasn't even hit the books yet

halfpintpeggy · Feb 10, 2016

I recently read an article stating that Disney's record earnings were primarily due to their inflating the prices of food, resorts, merchandise, etc.

OKW Lover · Feb 10, 2016

lockedoutlogic said:
Disney just took ownership of it operation, debt, and problems.

That pain hasn't even hit the books yet

Disney now has a wonderful opportunity to turn around the Paris operations and make their contribution to the bottom line a positive one. Having just taken ownership (actually just a majority ownership) they would have already recognized the impact (pain) of the park.

lockedoutlogic · Feb 10, 2016

OKW Lover said:
Disney now has a wonderful opportunity to turn around the Paris operations and make their contribution to the bottom line a positive one. Having just taken ownership (actually just a majority ownership) they would have already recognized the impact (pain) of the park.

They will have to increase the quality and volume of the draws and likely reduce prices to make it a success longterm. Think they're up for that?

It's not the American or Japanese market

rteetz · Feb 10, 2016

lockedoutlogic said:
They will have to increase the quality and volume of the draws and likely reduce prices to make it a success longterm. Think they're up for that?

It's not the American or Japanese market

They kind of already did the price drop except they put in a demand pricing structure.

OKW Lover · Feb 10, 2016

lockedoutlogic said:
They will have to increase the quality and volume of the draws and likely reduce prices to make it a success longterm. Think they're up for that?

Disagree that they will need to reduce prices. We were in the parks in October and they have done a great job already with the "MK" park and are probably 60% or more along with revitalizing the Studios there. So the funds for improving the parks are already flowing. Once the european economy turns around (your guess is as good as mine - no wait, mine is better!) the attendance numbers will improve. Perhaps the need to advertise to US (east coast anyway) audiences as the Euro/$ exchange rate is pretty attractive right now.

So yes, I believe they are up for that.

rteetz · Feb 10, 2016

Saw it pointed out elsewhere but Disney made almost $1 Billion in profit from the theme parks...

lockedoutlogic · Feb 10, 2016

rteetz said:
Saw it pointed out elsewhere but Disney made almost $1 Billion in profit from the theme parks...

Giftshops

carmelhp · Feb 10, 2016

rteetz said:
Saw it pointed out elsewhere but Disney made almost $1 Billion in profit from the theme parks...

I received the financial reports and proxy materials last week but haven't had time to look at them. If the 2015 report holds the 2014 trends the parks have been the cash cows for TDO. That's where most growth occurred. The current thought is that low fuel prices will (pun intended) record attendance this year. We'll see.

lockedoutlogic · Feb 10, 2016

carmelhp said:
I received the financial reports and proxy materials last week but haven't had time to look at them. If the 2015 report holds the 2014 trends the parks have been the cash cows for TDO. That's where most growth occurred. The current thought is that low fuel prices will (pun intended) record attendance this year. We'll see.

Somebody let the airlines know that fuel prices are low, please? ::yes::

rteetz · Feb 10, 2016

lockedoutlogic said:
Somebody let the airlines know that fuel prices are low, please?

I don't know about your airport but the prices out of Milwaukee haven't been bad lately.

lockedoutlogic · Feb 10, 2016

rteetz said:
I don't know about your airport but the prices out of Milwaukee haven't been bad lately.

That's because Escape from Milwaukee is financed by the federal government as a public service

But seriously...my closest is Philly...but I have functional use of about 8.

The deal is that us air (used to dominate the market) is gone. And southwest bought AirTran (value jet...alligator underwear)...and as 100% predictable their fees doubled and the schedule is a mess.

We've been using frontier recently and will coming up.

carmelhp · Feb 10, 2016

lockedoutlogic said:
That's because Escape from Milwaukee is financed by the federal government as a public service

But seriously...my closest is Philly...but I have functional use of about 8.

The deal is that us air (used to dominate the market) is gone. And southwest bought AirTran (value jet...alligator underwear)...and as 100% predictable their fees doubled and the schedule is a mess.

We've been using frontier recently and will coming up.

It's ridiculous. Flying AirTrain IND---MCO in 2012 I could get as low as $50 a leg. Now, on Southwest, I'm lucky to get $150 a leg. And AirTran had better service and more comfortable planes. I used to be able to get around $100 a leg on USAir IND---PHL, direct flight, now I have to change planes and can't get less than $200 a leg. Of course, that's why there is a prediction of increased attendance, people can drive there cheaper than flying. We paid $1.05/gal yesterday.

DSLRuser · Feb 10, 2016

ESPN, ABC, and other video channels are losing money at a huge rate. Projections show a 50% drop in revenue over the next 10 years. As the pay tv model changes, espn has to find a way to get a new revenue stream, or will not be able to continue to pay billions of dollars for rights to things like MLB and NFL.

rteetz · Feb 10, 2016

lockedoutlogic said:
That's because Escape from Milwaukee is financed by the federal government as a public service

But seriously...my closest is Philly...but I have functional use of about 8.

The deal is that us air (used to dominate the market) is gone. And southwest bought AirTran (value jet...alligator underwear)...and as 100% predictable their fees doubled and the schedule is a mess.

We've been using frontier recently and will coming up.

We used to fly Midwest until that went out of business since then we have only flown southwest.

Disney reports record earnings but stock falls

Retired and living 2 miles from The Castle.

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Retired and living 2 miles from The Castle.

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Retired and living 2 miles from The Castle.

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Age is a state of mind

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