The Walt Disney Company Goldman Sachs Communacopia + Technology Conference 2026

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Nice to be here with you all.

Yeah, happy to talk about that, and thank you for highlighting the momentum. We do feel like we have very good momentum in the business right now. When Josh took over as CEO, and it's been less than six months at this point, so still relatively early on, he articulated three things that were going to be priorities for The Walt Disney Company. Number one was continuing to and further investing in IP. As you know, that's the core competitive advantage of Disney, and that's what enables us to reinvent ourselves and drive growth and compound earnings on a continual basis. Toy Story is a great example of that. Toy Story 5 was obviously a very successful movie, but in addition to that, it drove strong performance in terms of consumer products. We had our highest growth rate in CP in 20 years.

In addition to that, very successful on the streaming service and obviously refreshing that story is beneficial to us in the parks and cruises where that IP appears fairly often. The second focus or priority for Josh and the organization is embracing technology. We're not doing that just to embrace technology. We're doing that to increase our ability to create new products and to increase monetization of all that great IP that we have as a company. Certainly leaning into that I think makes a ton of sense, and in a world of AI, even more so. The last focal point Josh brought in was really trying to reach out and both expand our relationship with existing consumers and acquire new consumers over time. The focal point there is this notion of a one Disney model.

In a lot of ways, Disney was sort of broken up into various businesses, and they all tended to communicate with consumers somewhat independently. We're trying to sort of create that single relationship with consumers, and by virtue of doing that, we think we can reduce the friction that we have in terms of engaging consumers, and over time, be able to monetize that more and more effectively. Overall priorities are very clear. The organization has embraced them tremendously, and I think they're going to deliver enhanced results for us over time.

Well, maybe just a little bit of one. If you think about Disney+, we tend to think about it in two ways. Number one, we want to create essentially the best streaming service out there, in terms of product, in terms of consumer engagement. That is sort of the core proposition of Disney+. But in addition to that, we really want to bring our services to consumers under the Disney+ banner and create essentially an integrated ecosystem where we can touch consumers in a variety of ways, almost creating a membership-like ecosystem for our fans. Now, what might that look like? Certainly, it is the normal things like film and TV and video. But in addition to that, you could easily see things like consumer products. You could see parks and cruises on there.

You could see interacting with our talent, interacting with our IP in a more substantial way, and even potentially gaming at some point in the future. The goal there is to increase the frequency of use of Disney+, because we know when people increase their frequency of use, they tend to churn less, retention is higher, and we get better outcomes. More to come on that both in the spring of 2027. But in addition to that, it is a digital product. We are going to be enhancing it, I would say, forever.

Yeah. If you think about what we are trying to do essentially with all of these improvements, it is to drive engagement and to reduce churn and to increase the fandom. We have, based on the moves we have made over the last year and a half, made good progress on that. We have seen impact in terms of churn reduction. A couple other things that are either in the near term or have already been accomplished, number one is profile linking. We had Hulu profiles, we had Disney+ profiles. We have now created that one fan, one account ecosystem. In addition to that, the things you will likely see are live TV on the Disney+ app, which we know drives engagement in a more substantive way, and those members tend to churn less. In addition to that, we have Hulu add-ons and bundles and things like that.

That will also be further integrated into Disney+. If you look at medium term, what is it we are really trying to do? It is really two things. One, making the recommendation engine sharper and better so that you get more of the content that you want to get, because we know there is a limited amount of time from when a consumer opens your app until they actually will decide not to pursue it because they do not see anything interesting. In addition to that, really the user experience. So adding things like a cleaner UI. In addition to that, things like BIRT so people can watch on mobile more easily. So those are the types of things that you are going to see on it. In terms of what should investors be watching for, it really is the basics of streaming. It is churn, it is retention, which we know increases lifetime value.