Account Info
Log Out
No matches yet
Operations too frequent. Please try again later.
Please check network settings and try again Refresh Refresh
History record delete
    Quotes All >
      News All >
        Log in to access Online Inquiry
        Disney Q1 earnings top estimates: Are you satisfied?
        Views 63K Contents 9

        Is Disney's Q1'23 Earnings Really That Great?

        JP_mykayaplus joined discussion · 02/09 11:56
        Entertainment giant$Disney(DIS.US)$ released its much anticipated Q1'23 results. Share prices popped after the market results.
        So are their latest results really that fantastic? What made investors so excited?
        Clear emphasis on the way forward
        The Walt Disney Company Q1'23 Earnings Presentation
        The Walt Disney Company Q1'23 Earnings Presentation
        Disney's strategy is clearly highlighted within the first few pages of its earnings presentation.
        1. Reorganizing leadership structure: Disney was plagued by a management mutiny during Bob Chapek's era. Now with Bob Iger back at the helm, it sought to reorganize the leadership structure. This includes a timetable and key milestones for CEO succession planning.
        2. Implementing cost reduction and streamlining organizational structure to enhance productivity: With Disney operating in various revenue segments, the company has sought to sharpen its efficiency while maintaining growth. This includes a targeted $5.5 billion of cost savings.
        3. Working towards achieving both sustained growth and profitability in DTC business: Disney's direct-to-consumer (DTC) segment is still loss-making due to higher programming and production costs. Thus, it will focus on dishing out more content and has a timetable of series and movies to be released to drive DTC business growth.
        4. Improving the guest experience at Disney parks by providing more value and flexibility: Disneyland is becoming more flexible for its visitors. Disneyland Resort is offering low-priced, one-day, one-park tickets in 2023 to help provide more value to visitors. For Walt Disney World Annual Passholders, you will be able to visit the theme parks without a reservation on certain days and times.
        5. Primarily focusing on and significantly investing in Disney's core brands and franchises: Since Disney is not just a movie production company and has a great track record in honing new brands and intellectual property, it has sought to double down on its initiatives to invest in its core brands and franchises, which will help deliver more revenue.
        6. Leveraging Disney's platforms to reach larger audiences and optimize the value of Disney content: Disney's media flywheel has been effective and evergreen throughout these years. It might not have one-shot wonders like Netflix's series, but it has relatively strong IPs that have withstood the test of time and are still delivering value to Disney's overall business, whether via digital content or even park experiences.
        In a nutshell, due to the clear strategies moving forward, and a better income from continuing operations before taxes, Disney share prices have rallied off-market, and look set to continue going up when the market reopens!
        Still not familiar with Disney's business model? You can know more about it here
        The information available in this article/report/analysis is for sharing and education purposes only. This is neither a recommendation to purchase or sell any of the shares, securities or other instruments mentioned; nor can it be treated as professional advice to buy, sell or take a position in any shares, securities or other instruments. If you need specific investment advice, please consult the relevant professional investment advice and/or for study or research only.
        No warranty is made with respect to the accuracy, adequacy, reliability, suitability, applicability, or completeness of the information contained. The author disclaims any reward or responsibility for any gains or losses arising from the direct and indirect use & application of any contents of the article/report/written material
        Disclaimer: Community is offered by Moomoo Technologies Inc. and is for educational purposes only. Read more
        Sign in to post a comment