The continued growth and success of Disney+ and other streaming services were on full display during today’s Q3 2021 Earnings Call for The Walt Disney Company!
Overall revenue on the quarter came in at $17.02 billion, slightly above expected estimates of $16.76 billion. Disney Parks, Experiences, and Products also saw its first profitable quarter since the pandemic’s start. Revenue for this division in Q3 was $4.3 billion as compared to $1.1 billion in 2020. This growth is strongly related to all domestic and international Disney Parks being reopened for a portion of the quarter.
“We ended the third quarter in a strong position, and are pleased with the Company’s trajectory as we grow our businesses amidst the ongoing challenges of the pandemic,” said Bob Chapek, Chief Executive Officer, The Walt Disney Company. “We continue to introduce exciting new experiences at our parks and resorts worldwide, along with new guest-centric services, and our direct-to-consumer business is performing very well, with a total of nearly 174 million subscriptions across Disney+, ESPN+ and Hulu at the end of the quarter, and a host of new content coming to the platforms.”
Here are some noteworthy takeaways from the call. You can see the official release HERE.
- Disney+ exceeded its subscriber expectation of 112.8 million for Q3 2021 by ending the quarter at over 116 million subscribers worldwide. Across all streaming services, including Disney+, Hulu, and ESPN+, the company quickly approaches 175 million total subscription customers.
- Disney Cruise Line saw strong success in Q3 based on strong Fall 2022 bookings, centered around the all-new Disney Wish, which is still on track for completion in Summer 2022.
- Walt Disney World capacity levels throughout Q3 2021 were at or near capacity levels, which gradually increased during the quarter.
- We learned a bit more about the upcoming launch of Disney Genie, with promises of more information to come very soon. “The goal of this user-friendly app is to create a better, more personalized, and customized experience for guests – putting them in control and providing even greater flexibility and choice. They will be able to spend less time waiting in line and figuring out what attractions and dining options are available and more time having fun.”, said Chapek.
- Direct-to-consumer remains the companies top priority and will be featured in a special “Disney Plus Day” on November 12th, 2021.
- During the question and answer portion of the presentation, it was asked what effects the current COVID variant concerns were having on Parks and Resorts. Chapek stated that overall booking trends and attendance continue to be strong, and the only long-term effect continues to be convention cancellations.
- Currently, 70% of all available hotel rooms are open at Walt Disney World, with plans to get to 100% by the end of the year.