Walt Disney Company Quarter 2 Earnings Report 2020

[BryGuy415]

I caught most of the nuances that people are picking up on from the call but one that I missed that Pete really stressed was Chapek said the cruise lines would be the last to open and that wouldn't be for "a couple of months"...I agree with Pete; why would he say that if he didn't feel good about the parks opening soon? He could have said that wouldn't be for "quite some time" or any other indefinite amount of time, but he said "a couple of months". Agreed - we all see and hear what we want, but this was an intriguing catch

 

[pangyal]

Agreed! I missed the call, but all the updates as they were happening, I feel like I listened to it.

And @pangyal , I almost spit my drink out when I saw you updated your tag to: #teamsven. Way to show your appreciation for your fave rumor. I may update mine to #teamfinnflynnsven

Actually, that was a karmic alignment- it’s been my tag for six years now! Maybe I should start taking bets on WDW reopening with this kind of foresight.

 

[gatour]

I caught most of the nuances that people are picking up on from the call but one that I missed that Pete really stressed was Chapek said the cruise lines would be the last to open and that wouldn't be for "a couple of months"...I agree with Pete; why would he say that if he didn't feel good about the parks opening soon? He could have said that wouldn't be for "quite some time" or any other indefinite amount of time, but he said "a couple of months". Agreed - we all see and hear what we want, but this was an intriguing catch

CDC is being hard on the cruise lines. They are currently on a 100 day hold issued by the gov't. Not sure when it expires. If it does expire the can issue another one.

Plus they are at the mercy of the countries that they sail too. Many are blocking any cruise line visits.

 

[PCFriar80]

Nice to see a positive open for the stock this morning coming off of the pullback after hours yesterday.
Disney positive while the DOW goes negative. Wall St. must of liked what they heard yesterday. It's only 35 minutes in so let's hope it can hold.

 

[Rebma512]

Actually, that was a karmic alignment- it’s been my tag for six years now! Maybe I should start taking bets on WDW reopening with this kind of foresight.

Sorry this probably isn’t the place-but what is this? Flynn, Sven etc?

 

[SaintsManiac]

Sorry this probably isn’t the place-but what is this? Flynn, Sven etc?

Something that happened in the big threads about 10 days ago. You'll have to run a search.

 

[butterscotchcollins]

It was not mentioned on the call. The gist of the Capital Expenditures conversation was that little will happen while they’re closed but that most things will pick up again after; however everything is being re-evaluated.

No specifics were offered around any particular attraction or building.

To add some dimension, Chapek said specifically that planned projects will go ahead but they'll be "going through them with a fine-toothed comb" probably for the purposes of finding cost savings/efficiencies. Hopefully not to the level of austerity we saw in the past but that's the "fiscally responsible" thing to do.

 

[RamblingMad]

Nice to see a positive open for the stock this morning coming off of the pullback after hours yesterday.
Disney positive while the DOW goes negative. Wall St. must of liked what they heard yesterday. It's only 35 minutes in so let's hope it can hold.

Doesn’t make sense to me. I’ll have to do some digging into its valuation. It’s definitely down from its peak already.

 

[Eric Smith]

CDC is being hard on the cruise lines. They are currently on a 100 day hold issued by the gov't. Not sure when it expires. If it does expire the can issue another one.

Plus they are at the mercy of the countries that they sail too. Many are blocking any cruise line visits.

It expires on July 24 as of right now, but they can extend it obviously.

 

[Eric Smith]

To add some dimension, Chapek said specifically that planned projects will go ahead but they'll be "going through them with a fine-toothed comb" probably for the purposes of finding cost savings/efficiencies. Hopefully not to the level of austerity we saw in the past but that's the "fiscally responsible" thing to do.

It's Chapek, so I think we're headed for an era of a lot of austerity in the parks

 

[mrd7896]

i didn't listen to the whole call but i know they said that they are looking at capacity restrictions in shanghai and basing it off of ticket purchase date. i know they made no indication that other parks will be following suit.
but i'm traveling in september and one person in my room purchased their tickets in january (along with our on site room reservation) and another person purchased his about a week ago.
unsure how they are going to go about these types of things?
they need to instill some sort of confidence to who is entering their parks sooner rather than later

 

[Eric Smith]

i didn't listen to the whole call but i know they said that they are looking at capacity restrictions in shanghai and basing it off of ticket purchase date. i know they made no indication that other parks will be following suit.
but i'm traveling in september and one person in my room purchased their tickets in january (along with our on site room reservation) and another person purchased his about a week ago.
unsure how they are going to go about these types of things?
they need to instill some sort of confidence to who is entering their parks sooner rather than later

I wouldn't worry about it too much if you have a reservation at a Disney resort. I think it is very likely they follow the capacity guidelines they follow for busy times of the year. In those plans, resort guests are always able to get in as long as the park isn't totally closed off. Disney isn't going to let people paying up to $600+ per night not be able to get in to the parks.

 

[cakebaker]

i didn't listen to the whole call but i know they said that they are looking at capacity restrictions in shanghai and basing it off of ticket purchase date. i know they made no indication that other parks will be following suit.
but i'm traveling in september and one person in my room purchased their tickets in january (along with our on site room reservation) and another person purchased his about a week ago.
unsure how they are going to go about these types of things?
they need to instill some sort of confidence to who is entering their parks sooner rather than later

I don't think there's a thing to worry about. They aren't going to have resort guests blocked from parks that are open. I'm not sure about much with Disney these days, but that one I am.

 

[JacknSally]

i didn't listen to the whole call but i know they said that they are looking at capacity restrictions in shanghai and basing it off of ticket purchase date. i know they made no indication that other parks will be following suit.
but i'm traveling in september and one person in my room purchased their tickets in january (along with our on site room reservation) and another person purchased his about a week ago.
unsure how they are going to go about these types of things?
they need to instill some sort of confidence to who is entering their parks sooner rather than later

The date-based tickets in SDL aren't based on ticket purchase date - what matters is the dates you'll be using your tickets, not the date you purchased your tickets. At least that was my understanding of the date-based system. SDL APs will have to go online and say what dates they'll be in the parks, since those tickets aren't only for specific dates. WDW's tickets are already set-up for specific use dates, except for APs.

 

[EmJ]

The date-based tickets in SDL aren't based on ticket purchase date - what matters is the dates you'll be using your tickets, not the date you purchased your tickets. At least that was my understanding of the date-based system. SDL APs will have to go online and say what dates they'll be in the parks, since those tickets aren't only for specific dates. WDW's tickets are already set-up for specific use dates, except for APs.

Disneyland's multiday tickets are not necessarily purchased for a specific date. My family currently hold five-day tickets, which I purchased in May 2019 and which expire January 2021. So far, Disney has given no indication that multi-day ticket holders will be provided an extension on the expiration dates, as was provided for APs and other types of tickets. We were supposed to go in March (cancelled), then August (proactively cancelled), and now we don't know when we will go. I'm very curious to see how date reservation would work for multiday tickets at Disneyland, as there are a great many like me who are holding tickets with no firm dates set.

 

[JacknSally]

Disneyland's multiday tickets are not necessarily purchased for a specific date. My family currently hold five-day tickets, which I purchased in May 2019 and which expire January 2021. So far, Disney has given no indication that multi-day ticket holders will be provided an extension on the expiration dates, as was provided for APs and other types of tickets. We were supposed to go in March (cancelled), then August (proactively cancelled), and now we don't know when we will go. I'm very curious to see how date reservation would work for multiday tickets at Disneyland, as there are a great many like me who are holding tickets with no firm dates set.

I was speaking about Shanghai Disneyland, not DLR in California. They said on the call yesterday that what they do for Shanghai may not be what they do for domestic parks. I'm not sure if the poster I responded to is traveling to DLR or WDW, but I was mainly addressing her concern that when you purchase your tickets matters - I didn't get the impression from the call that it does.

I just mentioned WDW because I know their tickets are currently set-up in a sort of date-based way since they implemented the date-specific pricing structure. You at least have to choose a starting date for your multi-day WDW tickets, and then there is a window of time (based on ticket length) that you can use those tickets on and after the starting date. I am not familiar with Disneyland's ticketing structure so I just mentioned what I knew.

Of course, no one knows as of yet if that will still be WDW's system when they reopen the domestic parks. I have seen mention on the boards of Disneyland's Flex Pass reservation system, so possibly that sort of system will apply to multi-day tickets that aren't purchased for specific dates, like the situation you describe. People who purchased WDW tickets back under the multi-day, no-expiration-option system would also fall into that sort of situation. I am sure they will address all of these scenarios and provide some kind of solution when they have a game plan ready, though.

 

[EmJ]

I was speaking about Shanghai Disneyland, not DLR in California. They said on the call yesterday that what they do for Shanghai may not be what they do for domestic parks. I'm not sure if the poster I responded to is traveling to DLR or WDW, but I was mainly addressing her concern that when you purchase your tickets matters - I didn't get the impression from the call that it does.

I just mentioned WDW because I know their tickets are currently set-up in a sort of date-based way since they implemented the date-specific pricing structure. You at least have to choose a starting date for your multi-day WDW tickets, and then there is a window of time (based on ticket length) that you can use those tickets on and after the starting date. I am not familiar with Disneyland's ticketing structure so I just mentioned what I knew.

Of course, no one knows as of yet if that will still be WDW's system when they reopen the domestic parks. I have seen mention on the boards of Disneyland's Flex Pass reservation system, so possibly that sort of system will apply to multi-day tickets that aren't purchased for specific dates, like the situation you describe. People who purchased WDW tickets back under the multi-day, no-expiration-option system would also fall into that sort of situation. I am sure they will address all of these scenarios and provide some kind of solution when they have a game plan ready, though.

I'm so impatient, lol! I feel like that lady in the old JC Penny Christmas commercial who is standing with her face pressed against the glass doors saying, "Open open open open". Except my brain is going, "Info info info info"

 

[LSUmiss]

I'm so impatient, lol! I feel like that lady in the old JC Penny Christmas commercial who is standing with her face pressed against the glass doors saying, "Open open open open". Except my brain is going, "Info info info info"

I think it was actually a Mervyn’s commercial!!

eta: I’m just impatient for any answer. I can pretty much rebook for any time so I just want to be able to plan.

 

[cakebaker]

I think it was actually a Mervyn’s commercial!!

It was and that's exactly how I feel!

 

[RivShore]

It's Chapek, so I think we're headed for an era of a lot of austerity in the parks

Not that I'm a huge fan of either of the Bob's but i like to throw interesting facts around these boards once in a while...

How do you reconcile that statement with this fact of recent park history:

"Chapek “oversaw the largest capital expansion in the history of our parks,” Iger said"