Last night was the Walt Disney Company’s Q4 earnings call, and we got a lot of news!
We got more details on the company’s financial situation, especially about how Disney is recovering from the pandemic. But besides that, there were some other announcements that were particularly important!
Disney+ Got Even MORE Subscribers
Let’s start with some Disney+ news! As we approach the 2nd anniversary of the streaming service, it continues to grow and attract more subscribers. The official count is that Disney+ now has 118 million subscribers. That’s up 1% from Q3 when the number was 116 million.
Disney has some long-term growth goals for the service, hoping to reach between 230 and 260 million subscribers by the end of the fiscal 2024 year. And Walt Disney Company CEO Bob Chapek says that they’re currently well on track to reach that goal!
The Response to Disney Genie
Moving on to the theme parks, Chapek gave an update on something we’ve been discussing here quite frequently — the success of Disney Genie+. He noted that the response to the new paid offering in Disney World has been “extremely positive” and that nearly 1/3 of guests in the parks have been upgrading to add Genie+ to their park tickets.
The new system allows guests to pay $15 per ticket, per day to skip the lines for select attractions in the parks. Our readers have been pretty split on whether or not they like this service, so Chapek’s comments are certainly interesting in that regard.
The Response to Annual Passes
After sharing details on Genie, Bob Chapek moved on to discuss annual passes at Disney World and Disneyland Resort. Both resorts have recently revamped their pass systems, and apparently, sales have been going very well so far.
So far, 40% of Magic Key sales at Disneyland Resort have been to new passholders. And of all the sales, the majority of people have purchased the top two tiers of pass — the Dream Key or the Believe Key.
The Parks Are Getting More Popular
As things continue to go back to normal, attendance numbers are rising at Disney’s theme parks. At Disney World, attendance rose by double digits from Q3 to Q4. At Disneyland Resort, the numbers are continuing a steady climb as well. Disney didn’t give any details on what park capacities are currently set at.
Movie Releases Are Still Flexible
As Disney continues to release more films in this post-pandemic era, they plan to remain “flexible” with their releases. In the past, we’ve seen some movies released in theaters, some on Disney+ Premier Access, and some as a mix of both. Those currently planned seem to favor a theatrical release, but there’s a reason for this, according to Bob Chapek.
Chapek noted that the reason for several theatrical releases in the latter part of this year is because the movie theater industry is beginning to recover. As that continues, they will likely test the waters with more movies but will watch things carefully. This hasn’t been tested as much with family films, so Disney may look to have shorter release windows for those types of movies.
Disney+ is Getting a Much Bigger Library
Up next, let’s discuss the Disney+ library. During Investors Day last December, Disney announced several upcoming shows and movies for its streaming service. We’ll begin to see much of that content arrive in the next fiscal year, with a particular focus on Q4.
Throughout the earnings call, Bob Chapek noted multiple times that they intend to build a more robust library for Disney+ and that Q4 of next year will be when the streaming service starts to get into more of a groove with its releases. That’s when we’ll truly see Disney+ become what it was intended to be.
Disney is Looking for Ways to Save in the Parks
Towards the end of last night’s call, Disney CFO Christine McCarthy was asked how Disney plans to mitigate inflation. McCarthy noted “There are lots of things that are worth talking about. We can adjust suppliers. We can substitute products. We can cut portion size which is probably good for some people’s waistlines. We can look at pricing where necessary. We aren’t going to go just straight across and increase prices.”
This comment comes at a time when many have criticized Disney for increasing prices and taking away perks. So whether it’s smaller meals at restaurants or cheaper supplies, it looks like the cutbacks aren’t yet over in Disney World and beyond.
That’s a wrap on the big news from last night’s call! Stay tuned to AllEars for more news and updates from Disney and the theme parks.
Click Here to Check Out Disney’s Latest Financial Numbers!
Which of these announcements surprised you the most? Tell us in the comments!
Join the AllEars.net Newsletter to stay on top of ALL the breaking Disney News! You'll also get access to AllEars tips, reviews, trivia, and MORE! Click here to Subscribe!
Well, Mr. Chapek does not hold the same vision of Walt Disney World as prior CEOs have; that has been obvious for some time now. The price increases are beyond ridiculous and the comment that there are many positive reviews of Genie+ is hard to believe. We just returned from a 13 day trip (DVC) to WDW and we did not speak to one person who was in favor of this additional cost. We waited in line for the rides and we noticed that there really weren’t many people going through the “Lightening Lanes”. We also spoke to many employees who told us about the overwhelming negative comments about Disney’s Lightening Lane and Pay to Go rides and they would know. They are in contact with the real people and not the “imaginary” people Mr. Chapek has been speaking too. So, I believe his comments are completely false. As far as commenting on the waistlines of other people, Christine attempting to explain away the raising of prices and providing smaller portions as doing Disney guests a favor (is this a “service” she is supplying to all of us for free?) RUDE……. We have been DVC members since 1997 and have usually visited WDW several times a year. All during that time we have never gotten the impression that Disney was blatantly increasing prices on everything while reducing the quality and quantity of their product, as they are doing now under this new CEO.
I’m waiting for the numbers on how many repeat customers purchase Genie+. I’ve not had the opportunity to try it, but the more one minces out exactly how much benefit is provided, I don’t think many will make that purchase a second time. Just like Parkhopper passes used to be a given purchase for us, now they are not worth the extra money, IMHO. As for the food, My kids still bemoan the loss of the mini hotdogs at Chef Mickey’s. The only explanation give was that Disney was trying to cut out unhealthy food from their offerings. Strangely, they never cut out the buttered popcorn, ice creams, soft drinks, Dole Whips, etc. I can assure Disney, few people can afford what it would cost to put on pounds while eating at the parks. Furthermore, I don’t believe Disney can impact anyone’s health or waistline when most families are only there one week out of the year.
Christine (the leadership of WDW) is tone deaf. Let’s cut her portions and charge her more money. Eating at WDW for a family of 3, 6 nights $1800 and we only had 2 table services. Prices have been going up with the regular portions they had last year. $10 for two small spring rolls at the Adventureland entrance. Be Our Guest has still not returned to sandwiches at lunchtime, so your meal will be $62/adult. I wrote WDW my opinion of Christine. I suggest others do the same.
At a time when we all have to make hard choices, Disney decides to hurt the people that depended on them the most. For many of us, Disney was more than a destination, it was our rock, our place where life was still unconditionally good, where we were kids again. We would do anything to hold onto that feeling. But just like many lessons learned in the post Covid-19 world, we realize that what we thought made Disney different was not real, it was our hope that they were truly different. It was these last few changes by Disney management that really changed that feeling for me, realizing that they were just selling this feeling, not believing it. They took that feeling from me and I don’t think I will ever be the same little boy again.
Reduce portions of food, but keep the pricing the same. And shamefully stating some peoples waistlines could use this ?
The gall of such a statement is insulting and an end around, to get you to pay for more food, because portions won’t fill a six year olds belly.
Walking 15 miles a day in their parks can generate an appetite. I read another person’s opinion and he might be spot on. He said this will push people to buy multiple meals, because the small portions will not be satisfying.
Disney has always been a business, they’ve just made a business decision that “hiding” that won’t make a difference to the average park goer. The “illusion” of happiness is not the same as actual happiness. I’m sure there are exceptions, but the vast majority of Cast Members are “nice and happy” because they are PAID to be that way. What has happened in the past 2-3 years is that veneer of happy is slipping away. And that has as much to do with the increase in crowds to the point that 90 minute wait times are accepted as “normal” as it does with the increased costs and reduction in perks.
Well said. The comment I submitted was similar but more sharply worded. It appears too sharp to be postable.