🌟💔 Disney Goin’ Cut Moa Jobs: 7,000 Kine Jobs Goin’ Pau 😢🎢
Disney (DIS) stay plannin’ fo’ cut thousands of jobs nex’ week, which goin’ include cuttin’ 15% of its entertainment division. Accordin’ to one report, da cuts goin’ hit plenny areas inside da entertainment division, like da TV, film, theme parks, an’ da corpo’rate teams. All da places wea Disney stay workin’ goin’ get hurt, an’ da peopo’ goin’ know by April 24, da report wen’ say. 🌍🎥
Separate news wen’ say ESPN goin’ start cuttin’ jobs early nex’ week too. We wen’ try fo’ talk to Disney fo’ hear dea side, but neva’ hear back yet. 📺🏈
Da big kahuna Bob Iger, who wen’ come back as da CEO in Novemba, stay lookin’ fo’ make moa money as da investors no like see da numba of subscribers go down. Da company’s direct-to-consumer division wen’ lose ova’ $4 billion in da fiscal 2022 dat wen’ end on Oct. 1, afta’ dey wen’ spend ’bout $33 billion on content las’ year. 💸📉
From den, Iger stay talkin’ ’bout how da kine content decisions an’ da financial stuff stay connected, especially wit’ da tough economic times dat stay pressuring da odda big media guys – like Warner Bros. Discovery (WBD) an’ Paramount Global (PARA) – fo’ do dea own kine cost-cutting moves. Disney stock wen’ go down Wednesday aftanoon afta’ da news wen’ come out, wit’ da shares dropping ’bout 2%. Shares wen’ go down moa late Tuesday afta’ Netflix’s earnings report wen’ come out, an’ da streaming giant wen’ miss da Wall Street subscriber predictions. 📊💔
Disney wen’ announce befo’ dat dey goin’ try fo’ cut 7,000 jobs as dey lookin’ fo’ take out $5.5 billion in costs. Da company wen’ go thru da first round of cuttin’ jobs at da end of March, an’ get moa job cuts planned befo’ da summah time fo’ finish da 7,000-job goal. ⚙️💰
On top of da layoff news from February, Disney wen’ tell ’bout dea plan fo’ restructure da organization into tree core business parts: Disney Entertainment, ESPN, an’ Disney Parks, Experiences an’ Products. 🏰🏟️
Dat time, Iger wen’ say da new strategic organization, “goin’ make one moa cost-effective coordinated an’ streamlined approach to our operations.” Deutsche Bank wen’ write one note on Tuesday, saying dat dey tink da cost reduction stuff goin’ start happenin’ during da June an’ Sept quatas, an’ goin’ make da losses in Streaming an’ smaller [year-over-year operating income] declines in Linear Networks bettah. Dea Buy rating on da stock stay da same. 📈📊
Da bank stay stoked on Disney’s theme parks division an’ da movies dat goin’ come out, an’ dey tink get one “attractive setup” fo’ da shares in da latta part of dis year, writing: “DIS’s [fiscal third quarter] goin’ be one turning point fo’ earnings as da company go from tree straight quatas of earnings going down back to stayin’ wit’ positive earnings growth.” 💹🌈
Disney goin’ announce dea fiscal second quarter earnings results on May 10. Mark yo’ calendars an’ stay tuned, cuz da future of Disney goin’ be one wild ride. 🗓️🎢🎉
NOW IN ENGLISH
Disney to Cut More Jobs: 7,000 Positions Going Bye-Bye 😢🎢
Disney (DIS) is reportedly planning to cut thousands of jobs next week, including a 15% reduction in its entertainment division. The cuts will impact many areas within the entertainment division, such as TV, film, theme parks, and corporate teams. Every region where Disney operates will be affected, and the employees will be notified by April 24th, according to a report. 🌍🎥
In separate news, ESPN will also begin cutting jobs early next week. We tried to reach Disney for comment, but we haven’t heard back yet. 📺🏈
Bob Iger, the big boss who returned as CEO in November, is focused on profitability as investors are concerned about a decline in subscribers. The company’s direct-to-consumer division lost over $4 billion in fiscal year 2022, which ended on October 1st, after spending about $33 billion on content last year. 💸📉
Since then, Iger has emphasized the connection between content decisions and financial performance, especially during these tough economic times that have put pressure on other big media companies such as Warner Bros. Discovery (WBD) and Paramount Global (PARA) to take their own cost-cutting measures. When the news broke on Wednesday, Disney’s stock dropped about 2%, following the late Tuesday dip after Netflix’s earnings report missed the Wall Street subscriber predictions. 📊💔
Disney had previously announced plans to cut 7,000 jobs as it looks to eliminate $5.5 billion in costs. The company went through the first round of job cuts at the end of March, with more cuts planned before the summer to achieve the 7,000-job goal. ⚙️💰
In addition to the layoff news from February, Disney also disclosed its plan to restructure the organization into three core business segments: Disney Entertainment, ESPN, and Disney Parks, Experiences, and Products. 🏰🏟️
At that time, Iger said that the new strategic organization “will result in a more cost-effective, coordinated, and streamlined approach to our operations.” Deutsche Bank wrote a note on Tuesday, saying that they expect cost-reduction initiatives to kick in during the June and September quarters, resulting in better losses in Streaming and smaller declines in Linear Networks. They reiterated their Buy rating on the stock. 📈📊
The bank is particularly optimistic about Disney’s theme parks division and upcoming movie releases and sees an “attractive setup” for shares in the latter part of this year, writing: “DIS’s [fiscal third quarter] will be a turning point for earnings as the company goes from three straight quarters of declining earnings back to sustained positive earnings growth.” 💹🌈
Disney will announce its fiscal second-quarter earnings results on May 10th. Mark your calendars and stay tuned because the future of Disney will be a wild ride. 🗓️🎢🎉
