Disney's Q1 FY14 Earnings Results Webcast 2/5 @ 5PM

[mommykds]

Disney's Q1 FY14 Earnings Results Webcast

Financial results for Q1 FY14 will be reported on Wednesday, February 5, 2014 at approximately 4:15 p.m. EST.

The results will be discussed via a live Webcast starting at 5:00 p.m. EST.
• To access the Webcast, please return to this site on February 5th at 4:55 p.m. EST

http://thewaltdisneycompany.com/investors/events#2800

 

[rteetz]

Disney's Q1 FY14 Earnings Results Webcast Financial results for Q1 FY14 will be reported on Wednesday, February 5, 2014 at approximately 4:15 p.m. EST. The results will be discussed via a live Webcast starting at 5:00 p.m. EST. • To access the Webcast, please return to this site on February 5th at 4:55 p.m. EST http://thewaltdisneycompany.com/investors/events#2800

lots of interesting info today from disney. Iger kept saying mymagic+ is doing very well but wouldn't release any numbers. Parks and resorts are up in the first quarter as well. Frozen is looking to be a franchise according to Iger they also want to incorporate them more in the parks. Iger also said they are working on Star Wars projects for the US and overseas. Just a few key points. Also a interesting point was that mymagic+ increases park capacity by 3000. They said this was key over the holidays.

 

[Laketravis]

lots of interesting info today from disney. Iger kept saying mymagic+ is doing very well but wouldn't release any numbers.

But at mark 26:00 - Rasulo makes the comment that "those new initiatives are a drag on our margins, almost to the tune of 190 basis points".

He is speaking specifically to the previous comments made by Iger at mark 25:30 about the implementation and roll-out of MDE/FP+

Rasulo clearly identified the costs of MDE/FP+ for the quarter, and it represented more than 55% of net operating income (170 basis points reported out as net margin against 190 basis points in increased costs).

 

[Yellowstonetim]

From an article I read on the quarterly earnings which totaled $1.84 billion. "At Disney's theme parks, higher guest spending in the United States helped the unit's profit rise by 16 percent to $671 million."

 

[lockedoutlogic]

lots of interesting info today from disney. Iger kept saying mymagic+ is doing very well but wouldn't release any numbers. Parks and resorts are up in the first quarter as well. Frozen is looking to be a franchise according to Iger they also want to incorporate them more in the parks. Iger also said they are working on Star Wars projects for the US and overseas. Just a few key points. Also a interesting point was that mymagic+ increases park capacity by 3000. They said this was key over the holidays.

Blah blah blah...

Nothing shocking or intriguing...

But wait a second... My magic + increased capacity?
How would that be...isn't capacity a reflection of space and staffing?
Or...perhaps having temporary "fast pass+ lines" that stretch 30 minutes or more is "increased capacity"?

Just when you think you've mentally prepared yourself for whatever stupid things CMB and his jester Rasulo are going to say...they still manage to sneak in under the bar

 

[eadavis]

Blah blah blah... Nothing shocking or intriguing... But wait a second... My magic + increased capacity? How would that be...isn't capacity a reflection of space and staffing? Or...perhaps having temporary "fast pass+ lines" that stretch 30 minutes or more is "increased capacity"? Just when you think you've mentally prepared yourself for whatever stupid things CMB and his jester Rasulo are going to say...they still manage to sneak in under the bar

And sneak it into my 31% 2013 401k growth thanks to Disney stock....no complaints here...

 

[lockedoutlogic]

And sneak it into my 31% 2013 401k growth thanks to Disney stock....no complaints here...

Yeah...but it's just money, brother

Seriously...your still gonna be in poor health and on the backstretch when you get to use that...

That's if it doesn't crumble to dust before you get to it.

Stop for a second, take a look around, and live in the now while you can

(And by the way...I bet you lost 10 pounds in tears in 2009 looking at that 401...didnt you? )

 

[tjkraz]

But wait a second... My magic + increased capacity?
How would that be...isn't capacity a reflection of space and staffing?
Or...perhaps having temporary "fast pass+ lines" that stretch 30 minutes or more is "increased capacity"?

FP+ was almost entirely online until mid January. What you describe shouldn't have impacted Oct-Dec.

Not entirely certain how to interpret their 3K growth in capacity. My initial thought was higher utilization of the Standby queues. Parks reach capacity when there isn't anymore room for people to move about safely. Previously guests often wandered aimlessly while waiting for FP return times to arrive. Now they may be spending more time in certain attraction queues with the limit of 3 FP+ per day.

(That's not to say that people are necessarily riding fewer attractions per day. FP+ is altering how people spend their time and redistributing individuals within the confines of the theme park. Website TouringPlans.com recalculated their computer-generated plans after the full implementation of FP+ and actually concluded most people would benefit from FP+ in the end.)

 

[OnSpaceshipEarth]

Yeah...but it's just money, brother

Seriously...your still gonna be in poor health and on the backstretch when you get to use that...

That's if it doesn't crumble to dust before you get to it.

Stop for a second, take a look around, and live in the now while you can

(And by the way...I bet you lost 10 pounds in tears in 2009 looking at that 401...didnt you? )

Excellent advice.

 

[lockedoutlogic]

FP+ was almost entirely online until mid January. What you describe shouldn't have impacted Oct-Dec.

Not entirely certain how to interpret their 3K growth in capacity. My initial thought was higher utilization of the Standby queues. Parks reach capacity when there isn't anymore room for people to move about safely. Previously guests often wandered aimlessly while waiting for FP return times to arrive. Now they may be spending more time in certain attraction queues with the limit of 3 FP+ per day.

(That's not to say that people are necessarily riding fewer attractions per day. FP+ is altering how people spend their time and redistributing individuals within the confines of the theme park. Website TouringPlans.com recalculated their computer-generated plans after the full implementation of FP+ and actually concluded most people would benefit from FP+ in the end.)

I think I agree with you...

That number seems like a stockholder red herring...

Fast pass + should not affect "capacity" at all. It could and they hope should drive up average "attendance" naturally if it works...

Capacity is the wrong word

 

[tjkraz]

I think I agree with you...

That number seems like a stockholder red herring...

Fast pass + should not affect "capacity" at all. It could and they hope should drive up average "attendance" naturally if it works...

Capacity is the wrong word

The only sense I could make of it was that on days of peak capacity (Christmas, NYE), they were able to allow 3000 additional guests in the park beyond what they have in the past. And the most direct way to do that would seem to be Standby queues (although I've never been in MK on these days, thus have no idea what Standby queues looked like before or after FP+)

Whatever the case, increasing total park capacity on the handful of days where they often have phased closures doesn't have an enormous impact on the bottom line. 3000 people with average ticket prices around $60 means $180K on...what...4 or 5 days per year?

Iger loses that sort of coin in his sofa cushions.

I agree they gave the impression that the 3K is far more meaningful than it appears to be.

 

[mvk]

http://www.orlandosentinel.com/business/os-disney-first-quarter-earnings-20140204,0,4577346.story

At Disney's theme-parks-and-resorts division, operating profit jumped 16 percent to $671 million. Revenue rose 6 percent to $3.6 billion.

The growth was driven primarily by spending increases, as visitors to Disney World and Disneyland in Anaheim, Calif., paid higher ticket prices and spent more on food, drinks and souvenirs. Per-visitor spending in Disney's U.S. theme parks rose 8 percent, and per-room spending in its hotels gained 5 percent.

Domestic attendance was essentially flat. Iger said Disney World set an attendance record during the quarter, but that was offset by declines at Disneyland, which faced a tough comparison with record crowds last year.

Doesn't sound like market share is being taken away by Universal, like many here would lead us to believe.

 

[eadavis]

Yeah...but it's just money, brother Seriously...your still gonna be in poor health and on the backstretch when you get to use that... That's if it doesn't crumble to dust before you get to it. Stop for a second, take a look around, and live in the now while you can (And by the way...I bet you lost 10 pounds in tears in 2009 looking at that 401...didnt you? )

Actually, I was blessed with great timing. I'm luckily at the ripe old age of 26, the only thing that made me stressed and dropping those 10 pounds in 2009-2010 was trying to find gainful employment. I started my 401 in 2011 and bought my home just as the housing market bottomed out at their lowest prices and interest rates. And now my assets are diversified over a multitude of options and I'm a year ahead on my mortgage...I feel pretty good about my financial future and living life to the fullest each day. Who says Millennials don't have a hold on their future? However, there are many out there not so lucky and your advice is quite applicable to them.

 

[WMorganS]

The only sense I could make of it was that on days of peak capacity (Christmas, NYE), they were able to allow 3000 additional guests in the park beyond what they have in the past. And the most direct way to do that would seem to be Standby queues (although I've never been in MK on these days, thus have no idea what Standby queues looked like before or after FP+) Whatever the case, increasing total park capacity on the handful of days where they often have phased closures doesn't have an enormous impact on the bottom line. 3000 people with average ticket prices around $60 means $180K on...what...4 or 5 days per year? Iger loses that sort of coin in his sofa cushions. I agree they gave the impression that the 3K is far more meaningful than it appears to be.

Capacity is the right word. Those 3000 people are in guest services and FP+ kiosk lines ;-)

 

[Laketravis]

I agree they gave the impression that the 3K is far more meaningful than it appears to be.

And Iger was shrewd enough to preface his comment with "people in the parks tell us........"

 

[rteetz]

Capacity is the right word. Those 3000 people are in guest services and FP+ kiosk lines ;-)

yes they all go to the same one. I've seen photos and video of the one in liberty square being completely empty and the one in tomorrow land having a line that was over 15 minutes.

 

[ArthurKing1220]

Q: "Mr. Iger, you say that parks & resorts revenue and income are both up year-on-year for Q4. But we're all familiar by this point with how your company lumps DVC-derived revenue (and per guest statistics) into the broader parks & resorts category. So just how much of this growth is being driven by DVC purchase and rental rather than by actual, organic growth through spending in the parks?"

A: "Next question."

 

[mvk]

Q: "Mr. Iger, you say that parks & resorts revenue and income are both up year-on-year for Q4. But we're all familiar by this point with how your company lumps DVC-derived revenue (and per guest statistics) into the broader parks & resorts category. So just how much of this growth is being driven by DVC purchase and rental rather than by actual, organic growth through spending in the parks?"

A: "Next question."

It's always fun to make up fake quotes and all, but record attendance at WDW this quarter pretty much points to increased revenues due to more than just DVC.

 

[ArthurKing1220]

It's always fun to make up fake quotes and all, but record attendance at WDW this quarter pretty much points to increased revenues due to more than just DVC.

Then let's see the breakdown. Oh, that's right. They've continuously refused to provide it despite now having 4k+ in DVC housing stock (with more planned!). But let's just take them at their word. No problem! Apologies for having the haughtiness to ask sir Disney sir.

 

[mvk]

Then let's see the breakdown. Oh, that's right. They've continuously refused to provide it despite now having 4k+ in DVC housing stock (with more planned!). But let's just take them at their word. No problem! Apologies for having the haughtiness to ask sir Disney sir.

Yes, I'm sure Disney has gotten to where they are by lying to investors and Wall Street when it comes to profit drivers (attendance up, guest spending up, etc.)

These analysts would crush Iger and company if they thought he was misleading them, but hey, I'm sure you have it all figured out. These analysts are all just Disney World fans.

I know about 75% of this board is rooting for Universal to overtake WDW, or even just to cut into their market share, but guess what? Not going to happen anytime soon, if ever.