Trian Partners Activist Presentation Deck
Confidential-Not for Reproduction or Distribution
We Believe Disney Lacks Cost Discipline as an Organization
. Despite management's rhetoric, we believe Disney has never thoroughly reviewed its cost
structure, as evidenced by the fact that over the last three years costs have outpaced sales
growth by -400bps
Disney Sales -($bn)
Disney Costs-($bn)
$69.6
FY 2019
CAGR: 6%
$83.7
Source SEC sings transcripts
Note: "CAGR represents compounded annual growth rate
FY 2022
D&A
Operating Costs
$57.8
$4.2
$53.6
FY 2019
CAGR: 10%
$76.0
$5.2
$70.8
FY 2022
CAGR
7%
10%
We're really going to try to get the algorithm right to cut where we can and not necessarily do things the
same way. As I mentioned, we're also using technology to reduce some of our operating costs, and that
gives us a little bit of headroom also to absorb some inflation. But we're really trying to use our heads here
to come up with a way to kind of mitigate some of these challenges that we have."
Christine McCarthy, The Walt Disney Company - Senior EVP & CFO
November 10, 2021-FY 2021 Earnings Call
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