A：Walt Disney's film studios generated more than $6.5 billion at the global box office in 2025, marking the company's third year as number one in the office of the past decade. The latest release to cross the $1 billion threshold is a new franchise that joins other successful titles. The film, Zootopia II, also became the highest grossing animated film ever and one of the top 10 highest grossing films of all time.

A：Disney's streaming performance is highlighted by the strength of its content and continued technology improvements. Local content investments have been contributing to international growth, and the focus on enhancing the user experience on Disney Plus through product improvements and new content developments such as a curated slate of short-form content and verticals is emphasized.

A：ESPN is noted as the industry leader in sports, offering a compelling portfolio of live sports, studio shows, and original content with various ways to watch. In the quarter, ESPN delivered outstanding ratings across its portfolio, including the most watched college football regular season, second highest Monday Night Football viewership in over ten years, and the third most watched NBA regular season. Additionally, ESPN has closed a transaction with the NFL to acquire NFL Network and related media assets, enhancing its content offering.

A：The theme parks and experiences segment had a solid start to the fiscal year with quarterly revenue exceeding $6 billion for the first time. There are expansion projects underway at every one of the theme parks, and the newly reimagined Disney Adventure World at Disneyland Paris is set to open next month, alongside the debut of the Disney Adventure ship in Asia, which will be the company's first ship homeported in Asia.

A：While the speaker indicates that the company is focused on international growth and is rolling out product enhancements to elevate the user experience on Disney Plus, there is no detailed strategy provided in the excerpt regarding international growth or a clear explanation of the absence of subscriber disclosure. The speaker only expresses optimism about the company's strategies and future prospects without delving into specifics of the topics asked about.

A：The value of the company's IP beyond the big screen is illustrated by experiences such as the Zootopia land in Shanghai and the parks' attractions like Star Wars and Frozen attractions, as well as the long-term value generated from movies like Zootopia 2,Avatar 2, and others contributing to Disney Plus streaming.

A：A new attraction called 'Frozen land' is opening in Paris, showcasing the company's extensive library of stories and characters, such as those from 'Zootopia,' and reinforcing the company's strong portfolio of intellectual property.

A：Revenue growth in the subscription side was driven by pricing, North American and international growth, and the bundling of Disney+ and ESPN+ bundles, which drove both engagement and revenue realization.

A：There is no mention of fiscal year adjusted EPS growth in the earnings release, and the company did not update the script guidance, implying that it has not changed. Similarly, no update was provided on CapEx.

A：Walt Disney World had a very good quarter, benefiting from the overlap of a hurricane and strong attendance and pricing performance. Bookings for the full year are up 5%, weighted more toward the back half, indicating positive demand trends.

A：As CEO, Bob significantly impacted profit growth by taking steps such as moving Monday Night Football from ABC to ESPN for a dual revenue stream and acquiring Pixar, which provided a new avenue for content creation and growth.

A：Bob's successor is expected to continue driving the company forward by focusing on growth opportunities and adapting to changes, rather than maintaining the status quo, as the world is constantly evolving.

A：Disney views its relationship with the NFL positively, having recently closed a deal that benefits their streaming business. The NFL has an existing agreement set to end in 2030, and while details beyond that are not specified, the focus is on the current agreement.

A：Significant progress has been made in transforming the streaming business into a profitable one by developing technology to improve the user experience and content programming across the globe, setting the stage for accelerated growth.

A：Disney is working on creating a one app experience for both Disney Plus and Hulu, which is expected to reduce churn and improve the bottom line. The strategy includes integrating experiences across platforms, making it easy for consumers to access both services together. The fully integrated experience is anticipated to be available sometime at the end of the calendar year.

A：Disney has entered into a license agreement with OpenAI to enable the creation of short videos without human voice or face, using about 250 of Disney's characters. This is a three-year deal where Disney is paid for the usage. These AI-generated videos will be curated and featured on Disney Plus, which is expected to jumpstart short-form video content on the platform and allow Disney Plus subscribers to create short-form videos using Sora tools.

A：Disney underwent a reorganization three years ago, putting streaming under the leadership of Alan Berg and Dana Walden to align investments in content with the impact on the bottom line. This reorg aimed to create more accountability, particularly in the studio and television organization which were major content generators for streaming. Disney's structure is positioned to maintain accountability as part of the transition plan and ongoing operations.

A：Disney's goal is to return the streaming business to profitability and achieve double-digit margins. The streaming business improved significantly from losing a billion dollars a quarter to achieving a positive margin and guidance to reach 10% margin for the current year. Disney delivered 12% revenue growth and over 50% earnings growth in the recent quarter. The company expects to continue driving operating leverage while investing in international content and technology to enhance the product, balancing growth and efficiency.

A：Adding Zootopia 2 and Avatar: Fire and Ash to Disney Plus between now and the end of the fiscal year is expected to have significant value for the service, based on the prior Zootopia and Avatar movies achieving a million first streams and hundreds of millions of new hours consumed.

A：The speaker is not being specific about the timing for user-generated content appearing on Disney Plus, stating that they are working through technical details and the feature is expected to be ready sometime in fiscal year 2026.

A：The speaker indicates that international visitation data is somewhat less visible due to international visitors staying less in Disney hotels. However, they have been able to pivot marketing and sales efforts to a more domestic audience, which has helped maintain high attendance rates.

A：Disney manages the entertainment business as a single entity and does not focus on the distinction between linear networks, streaming, and theatrical as it does not reflect the reality of content creation and distribution. The new disclosure is seen as more relevant and provides a better understanding of the business's future and management approach.

A：Mr. Iger believes that Disney's return on invested capital in the parks and resorts business improved significantly with the addition of intellectual property from Pixar, Marvel, and Lucasfilm, among others. He is very bullish on the future of the parks business due to its broad and diverse nature, ongoing projects, and expansion potential in new territories like DHA. The trajectory of the streaming business and upcoming projects in the movie business are also positive indicators for Disney's future profitability. He suggests that there is a healthy competition within the company between the streaming and entertainment businesses to be the primary driver of profitability.