The Walt Disney Company Financial Performance from Time to Time
The Walt Disney Company Financial Performance from Time to Time – Historically, The Walt Disney company was founded on October 16th, 1923, by Walt Disney and Roy O. Disney and along with business development, the Walt Disney Company becomes one of the world’s biggest entertainment companies with diversified of entertainment businesses.
Nowadays, this company has headquartered in Team Disney Building, Walt Disney Studios, Burbank, California, U.S.A. In terms of its business, this company has two core business segments. These two segments are Disney Media and Entertainment Distribution (DMED) and Disney Parks, Experiences, and Products (DPEP). Specifically, the two segments of its business operational, including:
1. The
Disney Media and Entertainment Distribution Segment (DMED) encompasses the global film and Episodic
television content production and distribution activities. The Operations of
DMED’s significant lines of business follow (1) Linear Network includes Domestic Channels: ABC Television Network
(ABC), and Eight owned ABC television stations (Broadcasting), and Disney,
ESPN, Freeform, FX, National Geographic and the other channels. Furthermore,
International Channel includes Disney, ESPN, FOX, National Geographic, and others; (2) Direct-to-Consumer includes Disney+,
Disney+, ESPN+, Hulu, and Star+.
2. Disney
Parks, Experiences, and Products (DPEP) with operational of DPEP’s significant lines are (1) Parks and Experiences (includes theme
parks and resorts, which include Wall Disney World Resort in Florida,
California, Paris, and the other place and Disney Cruise Line, Disney Vacation
Club, National Geographic Expeditions; (2) Consumer
Products (include licensing of trade names, characters, visual, literal,
and others. Furthermore, the sale of branded merchandise through retail,
online, and wholesale businesses, and the sale of books, comics, and magazines).
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Years |
Total
Assets |
Total
Liabilities |
Total
Equity |
|
|
Million
US Dollars |
Million
US Dollars |
Million
US Dollars |
|
2006 |
59,998 |
28,178 |
31,820 |
|
2007 |
60,928 |
30,175 |
30,753 |
|
2008 |
62,497 |
29,174 |
33,323 |
|
2009 |
63,117 |
29,383 |
33,734 |
|
2010 |
69,206 |
29,864 |
39,342 |
|
2011 |
72,124 |
32,671 |
39,453 |
|
2012 |
74,898 |
32,940 |
41,958 |
|
2013 |
81,241 |
33,091 |
48,150 |
|
2014 |
84,141 |
35,954 |
48,187 |
|
2015 |
88,182 |
39,527 |
48,655 |
|
2016 |
92,033 |
44,710 |
47,323 |
|
2917 |
95,789 |
50,785 |
45,004 |
|
2018 |
98,598 |
45,766 |
52,832 |
|
2019 |
193,984 |
100,095 |
93,889 |
|
2020 |
201,549 |
113,286 |
88,263 |
|
2021 |
203,609 |
110,598 |
93,011 |
|
2022 |
203,631 |
104,752 |
98,879 |
|
2023 |
205,579 |
101,622 |
103,957 |
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Source:
Walt Disney Annual Report, 2006-2023 |
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Financially, based on the balance sheet conditions of the Walt
Disney company. The financial structure is in stable condition from 2006 to 2023. The total assets of
Walt Disney in 2006 are USD 59,998 million, with total liabilities of USD
28,178 million, and total equity of USD 31,820 million. Meanwhile, in 20223 the
assets become USD 206,579 million, total liabilities USD 101,622 million, and
total equity 103,957 million.
Based on some financial ratios, The Debt-to-Equity ratio (DER) and Debt to Asset Ratio
(DAR) is about 0.928 and 0.478 on average, respectively. These 2 indicators can
explain the financial structure of the company. The lower the value of the
ratio, the stronger the financial structure of the company. The less value can
mean that the company has a minimum of liabilities. Its conditions affect
how the company is doing its business and can enlarge
the business expansion of the company without
thinking of paying off the debts.
The Revenue and Net Income of Walt Disney
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Years |
Total
Revenue |
Net
Income |
|
|
Million US Dollars |
Million US Dollars |
|
2006 |
33,747 |
3,374 |
|
2007 |
35,510 |
4,687 |
|
2008 |
37,843 |
4,427 |
|
2009 |
36,149 |
3,609 |
|
2010 |
38,063 |
4,313 |
|
2011 |
40,983 |
5,258 |
|
2012 |
42,278 |
6,173 |
|
2013 |
45,041 |
6,636 |
|
2014 |
48,813 |
8,004 |
|
2015 |
52,462 |
8,852 |
|
2016 |
55,632 |
9,790 |
|
2017 |
55,137 |
9,366 |
|
2018 |
59,494 |
13,066 |
|
2019 |
69,607 |
11,584 |
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2020 |
65,338 |
-2,474 |
|
2021 |
67,418 |
2,507 |
|
2022 |
82,722 |
3,505 |
|
2023 |
88,898 |
3,390 |
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Source:
Walt Disney Annual Report, 2006-2023 |
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In terms of business
performance according to the income statement of the Walt Disney Company, the
company has relatively positive performance from time to time. Financially, the
company has grown in revenue and income. Most of the time from 2006 to 2023,
this company generated a net income, and only in 2020, this company suffers
losses. In 2006, this company can gain revenue of around USD 33 billion
and a net income of around USD 3.3 billion. Furthermore, in 2023, the revenue
of the company has grown to USD 88 billion, and the net income of around USD
3.3 billion.
Based on the financial ratio performance from 2006 to 2023, the ratio of net profit margin (NPM) is around 0.118 on average and this value means that the net income of the company comes from 12.3% of total revenue. Based on the other financial ratio, the return on assets (ROA) is about 0.066 and total return on equity (ROE) is about 0.124 on average. These ratios can explain the efficiency of the company doing the business. The bigger the value of these ratios, the more efficient the company is to do the business.
Bibliography of Walt Disney Financial
Performance from Time to Time
Wikipedia. The Walt Disney Company. Accessed via https://en.wikipedia.org/wiki/The_Walt_Disney_Company on April 28th, 2024.
TheWaltDisneyCompany. 2024.Annual Report. Accessed via https://thewaltdisneycompany.com/investor-relations/ on April 27th, 2024.
TheWaltDisneyCompany. 2023. About The Walt Disney Company.
Accessed via https://thewaltdisneycompany.com/ on April 28th, 2024.