The fall of Disney

_{Leading the agenda}

^{Disney earnings: Streaming booms but parks struggle}

Disney's latest financial results, for the third quarter of 2024, showed a mixed performance with some positive surprises. Revenue came in at $23.16 billion, slightly surpassing the projected $23.05 billion.

🎥 What was up: Disney's Direct-to-Consumer (DTC) business, which includes streaming services like Disney+ and Hulu, showed notable improvement. The release of the record breaking ‘Inside Out 2’ was also highlighted a big win for the entertainment sector.

🎢 What struggled: Disney's Parks, Experiences, and Products division, traditionally a strong performer, showed signs of weakness. Despite a slight revenue increase, operating income for the division was lower than expected.

📉 Market reaction: Shares in the company fell by 3% on Wednesday

_{Leading the agenda}

Former YouTube CEO Susan Wojcicki passes away aged 56

Susan Wojcicki, a pioneering figure in the tech industry and a key player at Google and YouTube, has passed away at the age of 56. As one of Google's earliest employees, Wojcicki played a pivotal role in shaping the company's advertising and video strategies, leading to the acquisition of YouTube in 2006.

She later became the CEO of YouTube, where she oversaw the platform's massive growth and transformation into one of the largest video-sharing sites in the world.

“It is with profound sadness that I share the news of Susan Wojcicki passing. My beloved wife of 26 years and mother to our five children left us today after 2 years of living with non-small cell lung cancer,” Dennis Troper, her husband, wrote in a Facebook post.

_Economy

💷Pound continues steady decline in blow to Brits heading abroad

Despite rallying in the first two weeks of July, the pound has suffered drops four weeks in a row, its most significant downturn since 2023.

Market turbulence has largely stabilised yet the pound is on track for a further 0.3% drop against the dollar this week. Since mid-July the pound has lost 2.2 cents on the dollar.

☀️ Holiday Bother: If you’ve been planning a summer holiday to the south of France or a siesta on a Spanish shoreline - bad news! The pound is down to €1.168 against the Euro. Whilst this shouldn't get in the way of your time in the sun, be prepared for your Aperol Spritz to cost a fraction more than it usually does!

Read more about the pound’s drop-off here.

Elsewhere in the economy:

🏠 UK house prices increased by 0.8% last month, bringing the annual growth rate to 2.3%, the highest since January 2024. According to the latest Halifax House Price Index, the average UK property now costs £291,268 😬😬

🇺🇸 Former President Donald Trump has suggested U.S. presidents should have a direct influence over the Federal Reserve, particularly in setting interest rates. This marks a significant shift from the long-standing tradition of the Fed's independence from political influence. Trump argued that his business success gives him better instincts than some Federal Reserve officials, including the Fed Chair.

_{On this day}

In 2003: Yuri Malenchenko, a Russian cosmonaut, becomes the first person to get married in space.

_Business

🚨 Soho House reports further losses

Top line: Soho House reported a net loss of $33.9 million for the quarter, a significant increase from the $2.6 million loss in the same period last year.

It’s not all bad news: Memberships rose by around 6,000 to a total of 204,028 in the second quarter, while the club's waiting list reached a record high of 110,000. The revenue from memberships grew to $103.6 million, up from $89.2 million the previous year.

Soho House, which was founded in 1995 in London, now operates 44 houses worldwide. The company went public in New York in July 2021, but its share price has since fallen significantly.

Elsewhere in business:

🇬🇧 Hargreaves Lansdown, the UK's largest investment platform, has agreed to a £5.4 billion takeover by a consortium led by CVC Capital Partners, Nordic Capital, and the Abu Dhabi Investment Authority (ADIA). The consortium's plan involves significant investments in technology to drive Hargreaves Lansdown's next growth phase.

🇺🇸 Nvidia, a leader in graphics processing units (GPUs) and AI technology, has seen a massive $900 billion drop in market value from its peak in June.

_{Job of the day}

🛒 Lidl are hiring for their famous graduate trainee programme! It’s renowned for its intensive and fast-paced structure, designed to quickly develop future leaders in retail. £40,000, London. Link here

_Tech

🔥Elon goes to war with advertisers

Top line: Elon Musk's social media platform X (formerly known as Twitter) has filed a lawsuit against a global advertising group and several major corporations including Unilever and Mars over their advertising boycott.

What’s the real story? The boycott by these companies is believed to have been driven by concerns over the content moderation policies and overall direction of X since Musk's takeover.

X's lawsuit alleges that the boycott constitutes an unlawful conspiracy to harm its business.

Elsewhere in tech:

📱 The iPhone 16 is set to be unveiled next month. Leaks leading up to the big reveal suggest the new device will feature significant upgrades in camera technology and come in five colours - blue, green, white, black, or pink.

🇬🇧 The UK government is considering amendments to the Online Safety Act in response to a series of racially charged riots that were sparked by false information circulating on social media. The proposed changes would focus on holding companies more accountable for the content shared on their platforms. This could include implementing stricter requirements for the removal of harmful content. Read more.

Beyond The Biz

👑 King Charles has lauded the "community spirit" and "compassion" demonstrated by citizens in response to the recent riots, which were marked by "aggression and criminality," according to Buckingham Palace.

👮Former model Katie Price has been arrested at Heathrow airport after failing to appear at court for a hearing relating to her bankruptcies

🍕 Three-quarters of the best-selling dishes from high street takeaways, restaurants, and coffee chains are considered unhealthy according to government guidelines, a landmark new study has revealed. More here.