Disney Q1 FY25 Earnings Deep Dive: Parks, Streaming, and ESPN’s Next Moves | Green Tagged

Philip Hernandez (00:01.004)
Okay, this week we're gonna talk all about the latest Disney earnings. It's gonna be a full deep dive episode. I got way too much research than what we're gonna have really need for, but that's really like my MO usually on these. This is green time. I hope so. I hope so.

Scott (00:14.901)
It will be more fun than it sounds. right. We'll make sure we'll make that's why I'm here. only reason I'm here. That's the only reason I feel like like I said, like you've heard me say episode after episode, Philip does all the heavy lifting. just show up and and do color commentary and I don't know.

Philip Hernandez (00:29.1)
But it's great, because then I get real-time feedback for what the information is. Well, this is Green Tag Theme Park in 30. I'm Philip and I'm joined by my co-host Scott Swenson of Scott Swenson Career Development. Each week we review the week's top news in theme parks and tourism, and we kind of discuss why it matters. And of course, I looked at this last week's news and I really think that the Disney earnings are the biggest news piece, which is why we're devoting the whole show to them. So, yes, without further ado, let's get started.

Overall, the news was good with a few caveats, but it was very good overall. They reported top line and bottom line growth. Revenue for the quarter came in at 24.7 billion, which is a 5 % year over year increase. And it definitely beat the endless expectations. And the reason behind this, it all ties into their streaming and their parks. These are the two big pillars that are really driving

of this return on here and specifically we'll get into the parks next, but specifically the international parks, not the local parks. So what we're going to do is, you know, during the earnings call and all this kind of stuff, they broke it up into divisions. So that's how we're going to take this. We're just going to start with the parks division because this is called Green Tag Theme Park at 30. So we're going start with the theme parks division and then we'll go through each. That's true. That's why I devote the most time to it. So we'll start here.

Scott (01:49.109)
Yeah, the one that's most important to all of us. You know, let's be honest.

Philip Hernandez (01:55.596)
The parks are the cash cow.

Scott (01:55.827)
Knowing full well that we'll talk about it. Knowing full well that we'll talk about it too much and we may not get to the other stuff. So it's gotta get this stuff in, gotta get it in right away. Especially if I keep interrupting Philip. So go ahead. What? You! Go ahead! Talk about the parks, Philip!

Philip Hernandez (02:02.03)
Yeah, we're leading with, if it bleeds, it leads, right? And I guess it's bleeding. I don't know. Okay. So the parks are the cash cow of Disney. And the only caveat here, which was brought up by a few people and a few analysts after the presentation is that,

If you're looking closely, you do notice that there's problems with the domestic ones and the international ones are the ones that's carrying the whole division basically. But the way that Disney management explained it is that there were unusual events that trimmed about 5 % of the domestic parts of growth. And they specifically named Hurricane Milton and Helene, which impacted the Florida parks. Also, they had the pre-opening cost of $75 million for the launch of the Disney treasure ship.

They argue that if you exclude these one-time factors, the underlying parks business grew year over year, highlighting the strong demand. This is me. I would just argue that these are not going to be one-time factors because there's going to be more hurricanes. But I understand why on the call they would try and minimize these as acts of God, basically.

Scott (03:12.861)
Well, but I think you're also going to see that if, you know, if, God forbid, there is some sort of natural disaster that takes place in the in the parks outside the US, then then those will be down. So I think it I think it is important. Data is not data can be made to say pretty much anything you want it to. But it sounds to me and you've done much more of a deeper dive on this than I have. But it sounds to me like they're at least being transparent. There you can't just ignore the fact.

Philip Hernandez (03:23.298)
Yep. Yes.

Scott (03:40.157)
I mean, having been here in Florida and seeing how badly Milton tore up my neighborhood, you know, I get it. I get it. And it's not just the damage to the park, which was minimal, actually, by comparison. It was the damage to everyone's house who lives around. And the fact that the hour and a half drive it normally takes me to get from Orlando to Tampa took five and a half hours because of all the trees and the flooding and the people can't get to work.

It's not the damage to the park that those things impact. It's their staffing as well as the hotels that surround. We lucked out our hotel had no damage because we actually rode out Milton in Orlando. So I think it's fair that they mention it. To your point, are there going to be future hurricanes? Yes. But who knows? It could be a tsunami or it could be something else that happens in other places. You just have to factor that in. You can't just ignore that in the

Philip Hernandez (04:33.282)
Yeah, like a wildfire.

Scott (04:35.285)
Well, you can't ignore it in this kind of call. That's not fair on the other end, you know.

Philip Hernandez (04:37.154)
Yeah. Yeah, I think I like that they did talk about it your point, but I guess I'm just saying we need to start having discussion about because we just had the wildfires that caused, you know, like you said, all the disruptions on Disneyland side. won't talk about this in this show, but also the Tokyo Disneyland reported the same problems with attendance, but related them to excessive heat waves, you know, and so all over, like all these parks are saying

Weather is causing guests not to want to come to the park. So this is not unique to Disney. mean, SeaWorld has been saying this forever. So it's not unique to Disney. think that what analysts are finally realizing is that Disney is not immune from the weather impacts.

Scott (05:18.835)
Right, absolutely. And truth be told, when you compare weather conditions versus catastrophic acts of God like wildfires or hurricanes, weather conditions you can plan for. And you can do some planning for catastrophic acts of God, but you can plan for it. You're just less likely to know when exactly they're going to hit and how they're going to impact you.

Philip Hernandez (05:47.438)
Yep. Well, the international parks were up about 28 % of a year over year rate, which is incredible. I mean, that's high double digit growth. And so that's really what was driving this. Basically on the macro sense, when you're looking at it, you're looking at the domestic parks that are relatively stagnating. And then you're seeing the international parks that are still having that post opening boom. in looking at pricing,

the, this is where there's good news for everybody. the per cap spending at Disney's parks rose about almost 7 % on admission in 2024 and merchandise food sales per guest climbed 4%. So I guess, unfortunately for Disney fans, that really is proving that the price hikes so far have been tolerated. Not only that, but the resort hotel occupancy was also up 5 % in domestic travel. They did talk specifically about this because this is,

This is always a part that, you know, the Disney fans always are upset about is the pricing. And Bob Iger did call that out, like explicitly on the earnings call. He said, we remain deliberate about pricing and the guest experience and our focus on providing guests great value with a vast array of options to visit theme parks. So a lot of the people in our community, you know, I think I'm thinking now about some of the guest columnists on theme park insider, but they kind of were like,

he can say that, but doesn't mean that they're gonna actually do that. It's kind of like, he might just be saying it to like, of, basically like we'll see, because so far all they've done is like really increase the prices and not really like done too much besides like the SoCal resident three day pass. So, but I think we're gonna see if there is a ceiling.

Scott (07:32.927)
But as you just said, as you just said, they raise their prices and people are paying it.

Philip Hernandez (07:37.57)
Yep. Yeah, mean, yeah. When you get like people still tolerating all this.

Scott (07:42.633)
That sounds deliberate to me, to just use a phrase from the quote. That sounds very deliberate about pricing and guest experience.

Philip Hernandez (07:49.07)
Yeah, yeah. Well, I think he was trying to say that they were gonna be deliberate in providing a good value for the price. So it was not to squeeze out middle income families because the analysts are actually worried now that the prices are getting so high, it's squeezing out the bulk of the people that are attending, which is the middle income families. so I think Eiger's trying to walk that line where he's like, oh, we're gonna keep being able, we're gonna be able to make more money, but also we're not gonna lose the middle class. And that's a tight line to walk, I think.

Scott (08:17.299)
Well, and I think you have to look at that quote. I mean, if you take that quote, and I'm taking it out of context, I realize, but if you take that quote and say, we remain deliberate about pricing, doesn't say cheaper pricing, higher pricing, it just says deliberate about pricing and the guest experience. And are focused on providing great guest value, value, which is also not pricing, value with a vast array of options to visit our theme parks. So.

you know, are they going to, are the days of the local super cheap passes gone? Yeah, probably. Because the local super cheap passes, they don't buy anything in the parks. There's no additional revenue. So it is a bad, from a business standpoint, it's a bad investment. But, you know, I think that as long as people keep paying it, to me, that means that the pricing structure is working and the fact that the revenues are up,

Philip Hernandez (08:55.778)
Yeah.

Philip Hernandez (09:06.22)
Yeah.

Scott (09:11.401)
you seven to five to seven percent kind of across the board, as you've discussed here. That's pretty good. That shows that you're in that spot.

Philip Hernandez (09:17.582)
Yeah. Yeah, think when I read that, actually thought about, we'll get to this next, but I thought about their pricing strategy for streaming. And I was like, this sounds like if they could find a way to have an ad supported tier for attending theme parks, they would. You know, like if they could find a way to like have both, you know, to have like the premium tier, which is the ad free tier or the even higher, and then like an ad supported tier.

they would do that. That kind of sounds, it sounds like a very similar strategy.

Scott (09:49.705)
Well, and it's very possible that's what's gonna happen with Season Passport membership. They could build and they've already got the infrastructure there. It already kind of exists, except instead of making it part of a higher tiered pass, you have to pay an additional fee to get the basically shorter lines. So it's kind of what they're doing already. I think you're right.

Philip Hernandez (10:11.47)
Yep, yep, yep, yep. It's interesting, yeah. So onto the cruise portion. So Dizzy is very bullish on their cruises and they're planning to reach 13 ships by 2030, which we haven't talked about that too much because the cruises are slightly outside of it, but we have talked about how they are trying to extend the theme park experience onto the cruises.

And it looks like they're really, I mean, they're really doubling down on this because, you know, the expenses hitting their account and talking about how they're going to keep going in this direction, right? Basically, there's not even time for them to sit and see how it's going to perform. Like they are building these ships back to back and they're really doing more of a global presence for these as we've talked about because they're launching them in Asia and around the world, not just here in the US.

And of course they're putting on IPs in them. The current fiscal year includes 200 million in pre-opening expenses for the ships they have planned that are going to be coming out. But they really, really see this as a big avenue to expand into. And just for context, mean, like they only have what like six or seven now-ish. So that's basically doubling their ships by 2030, which is like only five years. So it's, I mean, this is really, it's a big expansion.

Scott (11:35.615)
Well, and it shows that there is a market for it. mean, as you said, they're not waiting to see how these are going. They've already done the proof of concept. They know that they can fill these ships.

Philip Hernandez (11:45.154)
Yeah, it's theme parks at sea that can target people from a bunch of different demographics, you know, that wouldn't normally, I mean, like it's whole new markets. Like it's a whole new world of theme park.

Scott (11:55.797)
whole new world yeah it's I only sung that many notes because that way we don't have to pay rights but the you're absolutely right and what's interesting is the you know you say this is kind of a little bit on the periphery but it's really not when you look at the entertainment world because again the the exact same entertainment companies that are providing entertainment for theme parks are also providing entertainment for ships and specifically Disney ships

Philip Hernandez (12:12.61)
Yep.

Philip Hernandez (12:25.25)
That's an excellent point. Yeah, it really is a cross performer.

Scott (12:27.369)
So it really ties directly into our industry and impacts us in a very positive way if they're going to continue to expand. And I will also say that, know, anecdotally, just looking at the number of cruise lines that are back online at the port of Tampa, they're full. I mean, they're like, sending ships out all the time. So, yeah, this makes total sense that Disney, who is all about family entertainment and, you know,

Carnival has just opened a whole new private island and there's a bunch of indicators that say the cruise line industry is back and of course I have to, as I say that, in the back of my head read the article from a Royal Caribbean ship where there was an outbreak of another stomach virus but...

Philip Hernandez (13:15.116)
Yeah.

Scott (13:15.923)
But that said, people still want to go on them. And especially Disney ones, because they are so, I mean, I've heard more people talking about, on the Treasure, I've heard more people talking about the Haunted Mansion bar than really most of the theme park attractions. So they're more excited about that kind of immersive experience. And again, the nice thing about a cruise ship is it is more personal. It is more...

It is more immersive because literally you are living in the world that they're creating.

Philip Hernandez (13:49.742)
Yeah. Well, looking ahead, Disney expects that the park experiences will grow six to 8 % in 2025. And Eiger said that our Q1 results for our travel experiences segment demonstrates Disney's strong enduring appeal and family travel with a robust slate of new offerings planned and carefully designed and planned investment strategy. You might be wondering why they think it's going to be that much.

Scott (14:16.147)
Hey, Philip, why do they think it's going to be that much?

Philip Hernandez (14:18.794)
Yeah, well, so here's the thing. I think that they didn't explicitly draw the line between Epic and that percentage point, but they were asked about it. And the CFO said that Epic Universe opening up may have some impact, but he noted summer bookings at Walt Disney World are actually up year over year despite the looming Epic Universe. And then,

This points to a theory that we have talked about and that a lot of other people in our industry like our like insider, know, professional industry have talked about, which is basically that Epic Universe opening up is actually going to provide a boost to Disney sales and reservations. And that is why the summer bookings are up year over year now, even though traditionally, you know, summer has been more soft now because of the heat, but they're up.

because Epic's opening in May and that's driving people to go see Disney. So basically it's like a lot of people in our space, I'm thinking now about some of the theme park insider or the attractions magazine people that are like writing in our space. They are saying that people that might've been waiting to go to on their Disney trip are now combining their Disney trip with their Universal Epic trip.

Scott (15:32.373)
Universal. Yeah, it's we used to refer to it as the halo effect. I mean, it's if you've got a Again, I think I said it even on the last the last episode when when animal kingdom opened bush gardens Had the halo effect from that because again, especially with international tourism they decide you know what we're gonna go but we're gonna wait until epic opens and then when we go we're gonna instead of doing a week we're gonna do two weeks or actually if it's international guests instead of doing two weeks or into four weeks, but they basically

Philip Hernandez (15:36.066)
Yep.

Scott (16:02.569)
hold off so that they can get the most bang for their buck. Within Florida at least, and I believe this to be true pretty much worldwide, when there is something new to the area, it brings people to the area and they experience not only the new thing but also the other things that are within drive time.

Philip Hernandez (16:22.818)
Yeah, it's interesting to me how much like the analysts and the people on the outside are like obsessed with this competition. But like you just explained, I don't really think that those of us in the theme park world consider it competition. We think of it as growing the overall market, addressable market.

Scott (16:43.069)
without completely over saturating it. that's part of the reason that Disney has tried, Disney here in Florida has tried so hard to make certain that you never leave Disney property. You know, that's why they have so many resorts and so many things that are on Disney properties that you really don't have to go off Disney property if you don't want to.

Philip Hernandez (16:52.472)
Yep.

Scott (17:01.329)
One of things that I don't think that necessarily takes into consideration is people who are traveling here from even different parts of the United States, but also internationally, they're like, well, I want to see what all is there and kind of get a dim sum of everything. Even if I don't experience every single centimeter of Disney property, I want to see what else is in the Orlando, Tampa Orlando corridor, the central Florida area. The other thing that I think is interesting about

about what this is saying is it shows that what we've again said many, many times, what's good for the industry is good for all of us. And so as the industry draws more and more attention and more and more visitors, it's gonna help all of us. When it comes to competition, if you've worked in a theme park in an area that has lots of theme parks, you will know right off the bat, and some of you are just gonna start nodding when I say this.

guests will ask, excuse me, where is the Haunted Mansion? And you have to tell them that's in a different park. Because guests basically put, when they're on vacation, it's like, we're going to see theme park. And we're to go see great theme park. And we used to get all the time back in the day. We used to get all the time at Bush Gardens. Can you tell me how to get to Splash Mountain? Yeah, drive about an hour and a half northeast and go to Disney. So.

Philip Hernandez (18:02.584)
Yeah.

Scott (18:22.773)
I don't even think guests necessarily differentiate as much between brands. Now, because the parks, Universal and Disney especially, are leaning more and more into IP, that's made it a little bit easier, a little bit clearer, but still, when people are on vacation, they want to do everything they possibly can in that area. I think what's even better about it is now we have enough saturation that it's going to cause repeat visitation. So it's not just, we'll go to Orlando or central Florida this year and then next year we'll

to Barcelona, but then they realized, wait, we didn't do everything in Orlando. Let's go back to Orlando because we missed this and this.

Philip Hernandez (18:57.944)
Yeah. Okay. We need to move on to streaming, speaking of IP or, you know, the enduring appeal of IP and we need to go faster because we have a little, so I'm going to try and go a little bit faster and summarize this faster to get through more segments. So streaming, this was the other big part on it and it is doing well. It's, this was the third straight quarter of profitability. hit about the streaming, which is Disney plus and Hulu hit about 293 million in operating revenue, which is a big difference.

from the 138 million loss that it had a year ago. And they actually expect, the CFO expects that the streaming segment will make more than a billion dollars in profit in 2025. really what's happening here is that it's pricing again, just like we talked about the tickets, it's a pricing model here because it's, what they've done is they've spent less on content and they've grown their ad revenue and then

they're making it more accessible to people by providing that like that, that ad supported tier and investing less. So they're basically controlling costs and they're bringing in more top line revenue, which is what's finally flipped it into profitability. And they actually described that they were pleased that the churn wasn't worse after the price hike. So Bob Iger said we had expected a significantly higher number of account closures after raising prices. And the company

was surprised that, so basically it's the same thing that's happening in the parks. They raised the prices and they added the ad sports here and they were like surprised that more people didn't cancel. They still do expect there to be modest decline as these like pricing changes kind of flow out and people look at the bills and all that as it goes, but they still expect it to be a billion dollars in profit for this next year. And just for,

some context here. 60 % of the new Disney signups choose the ad-supported plan. So it really has been working. They've also hired in some people from YouTube to enhance their tech stack so they can do better personalization engines and redo that. They also divested their segment in India. So basically they decided they were like, we can't handle this India streaming thing because the content's like too different from what we're doing. So they kind of divested.

Philip Hernandez (21:20.278)
that segment, is opposite of what Netflix is doing, right? Where they're like moving to have more content in all different countries. But Disney is like, y'all, we are like English speaking families, you know? Like, so let's just focus on that and divest some of these other things.

Scott (21:35.253)
And the 60 % of new subscribers going for the ad-supported tier does not surprise me at all because the reason they weren't subscribers is because they didn't feel they could afford it. So now that a cheaper option is available, that's why they're going, well, mean, we can get it for less than we thought we had to pay before. OK, and commercials, we're used to that. So, you know, yeah, it makes total sense. The book publishing model, it's the book publishing model.

Philip Hernandez (22:00.514)
Yeah, no, and I think it

And it's all, yeah, it's all aligned. It all makes sense. They remember previously they made the agreement to buy Hulu. so they're, that's going to come up towards the end of this year. So they're most likely merging all that content together. We probably won't get time to talk about this, but you already see that basically they're, they're large plan here. We won't have time to talk about USP and ESPN, but they're large plan. They're betting also big into sports, which is similar to what we talked about with Comcast earnings, but.

they're essentially trying to integrate all of this into the one app. So once they have full ownership over Hulu, they're gonna try and like merge a lot of that content. They're also including parts of ESPN into the app as well, just to make it a more robust offering for the new subscribers that are coming in. And now a lot of analysts are like comparing this to Netflix. And basically they're like, look, Netflix added 19 million subscribers in the same quarter. So by comparison, Disney Plus

Basically, Disney Plus is fighting to be number two or number three. And they're like, clearly Netflix won the quarter's battle with overall streaming war. And while Disney's streaming business has posted a modest revenue increase, it was largely driven by price hikes, price pinching consumers isn't a long-term strategy. That was from Reuters. So basically, I think this is another problem again. I think the analysts are trying to compare Disney and Netflix, right? And they're like,

Disney's losing and you can't keep rising your prices forever, consumers aren't gonna allow it. But I don't think that's the point of Disney Plus. I kinda think it's more to go vertical and to drive like, yeah. So I'm not sure you should compare it to Netflix.

Scott (23:52.681)
Well, and I just, I find it, I just, I'm gonna go off on a minor sidetrack, but it's not gonna take long. Since we've talked about Epic and we've talked about the purchase of Hulu from Comcast, I don't know whether many of you have seen the meme that just makes me laugh. It says, since Bob Iger paid Comcast 8.6 billion for Hulu, Disney just paid for Epic Universe. Think about that one for a moment. I'm sorry, go ahead.

Philip Hernandez (24:14.178)
Yeah, no, that's a great, that's a great, yeah, that's basically what's going on.

Scott (24:21.151)
So they recognize that Epic is not gonna be a huge detriment to the Disney parks, and they're also recognizing that the Hulu content and the Hulu subscribers are going to help their streaming. So to me, that sounds like a weird but unique business approach that probably is pretty darn smart.

Philip Hernandez (24:39.232)
I think that it's almost like Disney is still playing chess and other people are still playing checkers, right? They're looking at really, they're looking at making like a Disney lifestyle. And all these individual analysts are just looking at comparing, you know, similar businesses, but Disney's like, no, we are trying to make a Disney lifestyle and we're trying to make sure that this app is robust enough to like survive. Like they don't, it doesn't have to be Netflix. It just has to be one of the things that you keep.

Scott (24:41.139)
Mm.

Scott (24:45.141)
Yep.

Scott (25:08.691)
Right. How very meta of them. Not the concept.

Philip Hernandez (25:11.406)
Jeez. Okay, so.

Let's, we only have five minutes left. So maybe we should jump to the ESPN thing because I think it's the most interesting. I'll give you the top line, the content strategy. They were excited because they were, had Moana 2 and Mufasa did really well this year and they were the first studio post pandemic to surpass the five billion in global box office. So they're happy about that. And of course, Eiger is like.

or our content strategy is working. We're back to making good content. I'm like, well, you know, we'll see. Because you had a lot of like, you know, Marvel stuff that didn't do well. But they also talked about

Scott (25:51.743)
Well, Moana, too, a critic standpoint, but that's a whole other story. People went to see...

Philip Hernandez (25:55.39)
Yeah, okay. Linear TV, linear TV, they talked about linear TV being on the decline, you know, it's continuing to be declined. A lot of people were thinking that basically, Eiger had a whole section where he's like, Disney's traditional TV networks are not a burden, but an asset. But he also said he won't rule out the possibility of some of the smaller networks being configured differently in terms of how we bring them to market, maybe even different ownership. So

A lot of people, because a lot of people are pushing for them to divest basically those assets and get some cash for them. But he didn't commit to that. He just said it might be on the table. Okay. ESPN. This is a big part of their strategy and it's going to be a lot of money they're going to invest in for a while. essentially what they're trying to do is they're trying to make later this year in 2025, they plan to roll out what's called ESPN flagship.

which is a streaming offering that will include the full ESPN linear channel plus additional exclusive content. And essentially this will be the streaming version of the main ESPN cable network. And here's specifically what I want to draw your attention to. This is what they said in the earnings call. Eiger said, the service aims to be a digital destination for sports fan unlike anything available in the marketplace today with the full suite of ESPN networks and ESPN plus highly interactive and personalized features. Flagship is not really designed to preserve a business.

It's designed to grow a business in a market that's evolving right before our eyes. We're extremely excited about it and we think it's a sports fan's dream. If you're a sports fan, it's not about one day and one event or one night of football. It's about sports every single day of the year and every hour of the day. So, I mean, there's a lot more. We don't have time to go into it, but basically the top level is, Iger is, I think, this vision.

of how they're gonna break into the sports arena and take what seems to me to be their Disney approach, which we just talked about, where they're like, hey, look, we're gonna have all the sports all the time. And if you're a sports fan, you're gonna wanna just be glued to this constantly. now analysts have noted, they also talked about this, but basically the more sports you put on this thing, that's the more licenses you have to pay, right? And so.

Scott (27:55.837)
Lifestyle.

Philip Hernandez (28:17.078)
A lot of people are like bringing up concerns about the amount of costs that go into this, especially with the renegotiating fees or some of the contracts they already have in ESPN. So that's a big like section of this, but they, what they say, you know, in, in what they say is basically they're like, look, we had some of the most, most watched segments in history, in the history of some of our platforms, like with sports. so they're kind of pointing.

to the enduring appeal of live sports and why it's important to kind of break into that because the numbers they cited were, let's see, the 2024 season of My Night Football was second most watched over ever on the platform and ABC's college football hit a 15 year high in 2024. And advertisers also are paying a premium on this content because domestic ad revenue jumped 15 % year over year to 1.3 billion.

to thanks to the higher ad rates. So you have on the one side, the skeptics that are like, this is gonna cost a lot of money if you're gonna license all this stuff to make this a big, you know, stuff. But then Disney is like, yes, except that we can charge way more for the ads and people are paying that money. And if we can make this a thing that people get addicted to, it becomes part of their life and we can like go vertical with them, then that means it'll pay for it. So.

Scott (29:42.057)
Yeah, in essence, in essence, what it sounds to me like he's saying is, we're going to make ESPN what we claimed it was when ESPN first started, which were all sports all the time. And then it became ESP this ESP and this ESP and that it got completely watered down and spread out. And now he's bringing them all back under one big umbrella ESPN flagship, which makes total sense. And the other thing that I think you need to take into consideration here is US sports are very, popular around the world.

Philip Hernandez (29:50.925)
Yeah.

Scott (30:10.069)
and especially in places like the Middle East where attractions and entertainment continue to grow because it's part of their 2030 plan. There's a lot of legs to what he's talking about here, so I'm glad to see that. However, we have to take our legs and run away because we are out of time. This is Green Tag Theme Park in 30. Thank you for joining us for this episode. If you'd like to become part of our Patreon-supported

Green Tag Unhinged, please go to Patreon and search Green Tagged and you will find us and you will hear even deeper dives and a bit more unhinged perspective on some of the information that we talk about on this show. But that aside, we will see you all next week here on Green Tagged, Theme Parking 30.