Following a decisive victory over activist investor Nelson Peltz, Disney CEO Bob Iger has emphasized the board's commitment to swiftly identifying the next chief executive. Iger stated that succession planning is the board's top priority, with the search committee meeting frequently to expedite the process.
The board is considering internal candidates such as division heads Dana Walden, Alan Bergman, Jimmy Pitaro, and Josh D'Amaro, while also potentially exploring external options. Iger's contract extension until 2026 adds urgency to the succession planning.
Despite the distraction caused by the proxy fight, Iger maintained that strategic plans were not influenced by Peltz's activism. The proxy battle, however, facilitated increased engagement with shareholders, a positive outcome according to Iger.
Regarding Disney's streaming business, Iger reiterated the company's aim for double-digit profit margins and announced plans to crack down on password sharing. The integration of Hulu on Disney+ has been successful, with future bundling opportunities anticipated.
Additionally, the sports-streaming joint venture involving Disney, Fox Corp., and Warner Bros. Discovery is progressing, with expectations of regulatory approval. Iger highlighted the venture as a boon for sports fans.
At the recent shareholder meeting, Disney's current board members were reelected by a substantial margin, signaling investor confidence. Despite Peltz's proxy fight shedding light on CEO succession concerns, Iger emphasized that the transition from Bob Chapek presented significant challenges.
Addressing criticisms of Disney's content, Iger dismissed claims of producing 'woke' films, emphasizing the company's focus on entertainment first. He also disregarded comments from Elon Musk and Peltz regarding Disney's creative direction.
Lastly, Disney's $1.5 billion investment in Epic Games aims to create a Disney universe alongside 'Fortnite,' with plans for further collaboration.
