Latest news with #HughJohnston
Yahoo
12-07-2025
- Business
- Yahoo
The Walt Disney Company (DIS) 'Has Just Continued To Be Right,' Says Jim Cramer
We recently published . The Walt Disney Company (NYSE:DIS) is one of the stocks Jim Cramer recently discussed. The Walt Disney Company (NYSE:DIS) is a well-known American media and entertainment company whose shares have benefited from robust management in 2025. The stock has gained 9.7% year-to-date as the firm has seen catalysts through a growing subscriber base for its streaming service. Cramer has also noted The Walt Disney Company (NYSE:DIS)'s strong media performance and added that investors also need to focus on the firm's cruise ship and theme park businesses. Here are his recent remarks about the firm: 'You know I've got my annual meeting for our club on Friday, and I'm getting bailed out here on a name that has just continued to be right for me after being wrong for some time. It's Disney! Both Citi and Barclays saying really positive things. Barclays by the way, says that legacy media could surprise the upside. I can't recall when legacy media could surprise the upside. So watch the stock take off as people realize the old, the Bob Iger Disney is back. And the Bob Iger Disney is a surprise to the earnings estimates. And by the way, Hugh Johnston there, the CFO, he's the master of underpromise, overdeliver. He's also the master of being an incredibly nice man.' A packed theater of moviegoers watching a blockbuster film produced by the entertainment company. Previously, the CNBC host also mentioned The Walt Disney Company (NYSE:DIS)'s CFO: 'Why doesn't Hugh Johnson get any credit [for improving performance], the CFO. Well look, the theme park's now [inaudible]. What's really interesting is they're now starting to talk about the cruise ships in 26′. I would have waited until 27′. But I do think that Disney had a great quarter, I think that Hugh Johnson plays a big role and James Gorman is going to play a big role. While we acknowledge the potential of DIS as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the . READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now. Disclosure: None. This article is originally published at Insider Monkey.
Yahoo
11-06-2025
- Business
- Yahoo
DIS Q1 Earnings Call: Streaming Integration, Theme Park Expansion, and Strategic Partnerships Highlight Growth Plans
Global entertainment and media company Disney (NYSE:DIS) beat Wall Street's revenue expectations in Q1 CY2025, with sales up 7% year on year to $23.62 billion. Its non-GAAP profit of $1.45 per share was 19.8% above analysts' consensus estimates. Is now the time to buy DIS? Find out in our full research report (it's free). Revenue: $23.62 billion vs analyst estimates of $23.17 billion (7% year-on-year growth, 2% beat) Adjusted EPS: $1.45 vs analyst estimates of $1.21 (19.8% beat) Operating Margin: 15.1%, up from 13.7% in the same quarter last year Market Capitalization: $213.4 billion Disney's first quarter results were shaped by strong execution in its Experiences segment, notably theme parks and cruise lines, and continued momentum in content creation. CEO Bob Iger highlighted the performance of domestic theme parks and the successful integration of new intellectual property into cruise offerings, noting that investments in the Experiences segment "have delivered impressive returns on invested capital with returns from our experiences businesses at all-time highs." The quarter also saw an uptick in audience engagement and lower churn rates for Disney+ as Disney introduced more Hulu and sports content to its streaming platform. Management acknowledged the positive impact of these changes on user experience and retention, underlining the importance of product integration across digital and physical channels. Looking forward, Disney's guidance centers on driving growth through further integration of its streaming services and expanding its global footprint in experiences. CEO Bob Iger announced the partnership to develop Disneyland Abu Dhabi, marking Disney's seventh theme park destination, with the company overseeing design and operations while its partner funds construction. Management expects continued growth from the streaming business by deepening the integration of Disney+, Hulu, and ESPN, leveraging technology enhancements and localized content investment. Hugh Johnston, CFO, stated, 'We absolutely have opportunities to reduce costs,' pointing to both revenue growth and operational efficiencies as contributing factors to future margin expansion. The company also sees the upcoming direct-to-consumer ESPN launch as a key driver for streaming engagement and revenue. Management credited the quarter's growth to expanded theme park offerings, improvements in streaming engagement, and global content success, while also announcing a significant international theme park expansion. Theme park expansion: Disney announced plans for a new theme park in Abu Dhabi, its first in the Middle East, through a partnership with Miral Group. The company will license its intellectual property and oversee operations, while construction and capital come from its partner. Disney's Imagineering team is already at work, and this destination is expected to tap into a large, previously underserved market. Streaming integration gains: The integration of Hulu content and live sports into Disney+ led to higher user engagement and lower churn. Management sees bundling and seamless user experience as differentiators, aiming for a fully integrated offering that combines Disney+, Hulu, and ESPN content. Paid sharing initiatives and improvements in personalization are also underway to further boost streaming performance. Content strategy shift: Disney is focusing on quality over quantity in its film and series production, especially within Marvel Studios. CEO Bob Iger acknowledged that in the past, producing too much content diluted quality. The company is now consolidating efforts around major theatrical releases and expects upcoming films like 'Lilo & Stitch,' 'Elio,' and 'Avatar: Fire and Ash' to support its content-driven business model. Parks and Experiences margins: Domestic park and cruise businesses contributed to higher operating margins, reflecting both increased attendance and efficient cost management. Cruise ships, such as the recently launched Disney Treasure, received high guest ratings and are expected to support growth as new ships debut in global markets. Advertising and sports momentum: ESPN's performance was bolstered by strong live sports programming, with advertising demand particularly healthy in sports and general entertainment. Management noted that ESPN's upcoming direct-to-consumer launch will feature additional "bells and whistles" and features not available on the linear service, aiming to capture both traditional and streaming audiences. Disney's outlook for the coming quarters is driven by ongoing expansion in experiences, further streaming integration, and increased investment in technology and local content. Global theme park growth: The introduction of Disneyland Abu Dhabi and continued investments in Florida and California parks are expected to broaden Disney's reach and reinforce experiences as a growth platform. Management highlighted the potential to serve new markets without cannibalizing existing attendance, leveraging local partnerships to minimize capital outlay and maximize returns. Streaming platform evolution: Disney plans to further integrate Disney+, Hulu, and ESPN into a single, customizable user experience, with an emphasis on technology improvements such as personalization and ad-tech. The upcoming launch of ESPN's direct-to-consumer service and continued investment in local content outside the U.S. are expected to drive subscriber growth and reduce churn. Management is also focused on capturing operating leverage through revenue growth and cost efficiencies. Content and advertising resilience: Upcoming theatrical releases and a strong sports calendar are expected to support revenue growth across both entertainment and advertising segments. Management cited ongoing demand for live sports advertising and a robust general entertainment pipeline. Risks include international consumer weakness, particularly in China, and increased competition in streaming and advertising markets. In future quarters, the StockStory team will closely watch (1) the rollout and consumer uptake of the ESPN direct-to-consumer service, (2) the progress of Disneyland Abu Dhabi's development and early market response, and (3) the impact of further streaming integration on subscriber engagement and churn. Execution on upcoming film releases and continued improvement in park attendance will also be key signposts for Disney's growth trajectory. Disney currently trades at a forward P/E ratio of 21.5×. Should you double down or take your chips? See for yourself in our full research report (it's free). The market surged in 2024 and reached record highs after Donald Trump's presidential victory in November, but questions about new economic policies are adding much uncertainty for 2025. While the crowd speculates what might happen next, we're homing in on the companies that can succeed regardless of the political or macroeconomic environment. Put yourself in the driver's seat and build a durable portfolio by checking out our Top 5 Growth Stocks for this month. This is a curated list of our High Quality stocks that have generated a market-beating return of 183% over the last five years (as of March 31st 2025). Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 2025) as well as under-the-radar businesses like the once-small-cap company Comfort Systems (+782% five-year return). Find your next big winner with StockStory today. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
CNBC
07-05-2025
- Business
- CNBC
Watch CNBC's full interview with Hugh Johnston, Disney CFO
Hugh Johnston, Disney CFO, joins CNBC's 'Squawk on the Street' to discuss the company's most recent earnings, consumer behavior, ares of investment, and more.
CNBC
07-05-2025
- Business
- CNBC
Disney CFO: We have confidence from what we're seeing in data
In this video Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via Email Disney CFO: We have confidence from what we're seeing in data Hugh Johnston, Disney CFO, joins CNBC's 'Squawk on the Street' to discuss the company's most recent earnings, consumer behavior, ares of investment, and more.
CBS News
07-05-2025
- Business
- CBS News
Disney boosts profit expectations after 2nd quarter success
Disney posted solid profits and revenue in the second quarter as its domestic theme parks thrived and the company added well over a million subscribers to its streaming service. The company also boosted its profit expectations for the year. For the three months ended March 30, Disney earned $3.28 billion, or $1.81 per share. The Burbank, California, company lost $20 million, or a penny per share, a year earlier. Removing one time charges or benefits, earnings were $1.45 per share, easily topping the $1.18 that Wall Street was expecting, according to a survey by Zacks Investment Research. Revenue rose 7% to $23.62 billion, also topping projections. Revenue for Disney Entertainment, it's movie studios and streaming, climbed 9%, while revenue for the Experiences division, its parks, increased 6%. Recent box office hits include "Moana 2" and "Mufasa: The Lion King." Its latest film, "Thunderbolts(asterisk)," is currently s itting atop the box office. CEO Bob Iger and Chief Financial Officer Hugh Johnston said in prepared remarks that they're confident in this year's movie slate, which includes "Lilo & Stitch," "The Fantastic Four: First Steps" and "Avatar: Fire and Ash." Trump administration's impact on House of Mouse Disney, however, faces potential ramifications from the trade war launched by President Donald Trump. Other U.S. corporations have noted blowback by consumers in overseas markets and on Monday, Trump opened a new salvo in his tariff war, targeting films made outside the U.S. In a post Sunday night on his Truth Social platform, Trump said he has authorized the Department of Commerce and the Office of the U.S. Trade Representative to slap a 100% tariff "on any and all Movies coming into our Country that are produced in Foreign Lands." Disney has come under some scrutiny from Trump's administration for other issues. In March the head of the Federal Communications Commission said that he was opening an investigation into Disney and its ABC television network to see whether they are "promoting invidious forms of DEI discrimination." FCC Commissioner Brendan Carr announced the probe in a letter to Iger. The company said at the time that it was reviewing the letter and was looking forward to answering the commission's questions. Streaming and studios success As of now, Disney's streaming business continues to grow. Its direct-to-consumer business, which includes Disney+ and Hulu, posted quarterly operating income of $336 million compared with $47 million in the prior-year period. Revenue increased 8%. The Disney+ streaming service had a 2% increase in paid subscribers domestically, which includes the U.S. and Canada. There was a 1% rise internationally, which excludes Disney+ HotStar. Total paid subscribers for Disney+ edged up 1% in the quarter to surprising 126 million subscribers, from 124.6 million in the first quarter. The Walt Disney Co. previously said that it expected a modest decline in Disney+ subscribers in the second quarter when compared with the first three months of the year. Disney+ and Hulu subscriptions totaled 180.7 million, up 2.5 million from the first quarter. Iger and Johnston said that Disney has benefited from success at the box office, which becomes content for its growing streaming service. "Moana 2" has more than 139 million hours streaming since hitting Disney+ on March 12, making it the biggest Walt Disney Animation Studios' premiere on the platform since "Encanto," he said. The first "Moana" film remains the most watched movie on Disney+ with more than 1.4 billion hours streamed. The Moana franchise also drives traffic at Disney's theme parks, with meet and greets with characters at theme parks and on cruise ships and the Journey of Water at Epcot at Walt Disney World in Orlando, Florida. The Experiences division, which includes Disney's six global theme parks, its cruise line, merchandise and videogame licensing, reported operating income rose 9% to $2.5 billion. Operating income climbed 13% at domestic parks. Operating income dropped 23% for international parks and Experiences, due to softness at its Shanghai and Hong Kong theme parks. Disney also announced Wednesday that it will build its seventh theme park in Abu Dhabi. The waterfront resort will be located on Yas Island and be Disney's seventh theme park. The theme park will be built and run by the developer Miral, with Disney licensing its intellectual property for the project and providing development and management services, according to a regulatory filing. Disney, which won't provide any capital, will earn royalties based on the project's revenues and will also earn service fees. Search for CEO successor While Disney continues to pull levers to successfully manage all of the different components of its business, it also continues to work on its search for a successor to Iger, the face of Disney for most of the past two decades. Disney created a succession planning committee in 2023, but the search began in earnest last year when the company enlisted Morgan Stanley Executive Chairman James Gorman to lead the effort. Disney does have some time, as Iger agreed to a contract extension that keeps him at the company through the end of 2026. Disney is looking at internal and external candidates. The internal candidates are widely believed to include the chairman of Disney-owned ESPN, Jimmy Pitaro, Chairperson of Walt Disney Parks and Resorts Josh D'Amaro, Disney Entertainment Co-Chairman Alan Bergman and Disney Entertainment Co-Chairman Dana Walden. Disney is projecting full-year adjusted earnings of $5.75 per share, which is better than the $5.43 per share that analysts polled by FactSet are looking for. The company's previous guidance was for high-single digit adjusted earnings per share growth for fiscal 2025. Shares surged more than 6% before the market open on Wednesday.
