WEBVTT - Warner Bros. Revenue Misses Estimates Amid Plans for Sale 

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<v Speaker 1>Bloomberg Audio Studios, podcasts, radio news. You're listening to the

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<v Speaker 2>There's a lot going on in media, or we keep

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<v Speaker 2>hearing that there's going to be a lot going on

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<v Speaker 2>in media, because some companies are up for sale and

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<v Speaker 2>other companies are looking to buy, but we haven't gotten

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<v Speaker 2>any actual bids just yet.

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<v Speaker 3>Keitha.

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<v Speaker 2>Ranganathan is our US media analyst here at Bloomberg Intelligence

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<v Speaker 2>and Keitha.

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<v Speaker 4>We've been looking at.

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<v Speaker 2>Warner Brothers because it has announced plans to split itself

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<v Speaker 2>up to extract more value. David Zaslov, the CEO, we

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<v Speaker 2>know as a deal maker. Yet it just came out

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<v Speaker 2>with results that showed revenue and the third quarter dropped

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<v Speaker 2>six percent from a year ago. What does this mean

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<v Speaker 2>for its plan to sell itself?

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<v Speaker 5>So fundamentals Scarlett really don't matter all that much at

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<v Speaker 5>this point, especially yes, the TV networks business as we

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<v Speaker 5>know now for many many quarters has been severely challenged.

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<v Speaker 5>We saw a twenty percent slump in TV advertising. We

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<v Speaker 5>saw a twenty percent decline in TV EBITDA.

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<v Speaker 3>This was kind of well expected, and this.

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<v Speaker 5>Really speaks to why they need to separate themselves, why

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<v Speaker 5>they need to separate the low growth or rather the

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<v Speaker 5>no growth TV assets from one part from the part

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<v Speaker 5>of the business that's actually growing, which is studio and streaming.

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<v Speaker 5>That part of the business actually posted really good numbers.

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<v Speaker 5>We saw the studio Warner Brothers has actually been having

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<v Speaker 5>a very very successful run in the box office this year.

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<v Speaker 5>They have about a twenty seven percent share of domestic

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<v Speaker 5>box office and we've seen that kind of translate into

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<v Speaker 5>really strong EBITDA numbers. And so we saw studio and

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<v Speaker 5>streaming actually put up really really good numbers, and that

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<v Speaker 5>again speaks to why so many different parties, including a Netflix,

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<v Speaker 5>including a Comcast, are interested in going after those studio

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<v Speaker 5>and streaming as. So right now, again fundamentals don't matter

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<v Speaker 5>that much. It's really all about the m and A.

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<v Speaker 6>And I'm actually surprised, Githa that maybe we haven't had

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<v Speaker 6>some more news on the MNA front, because we've seen,

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<v Speaker 6>you know, the m ANDA environment is very very active,

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<v Speaker 6>with the market's very receptive to M and A. Here

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<v Speaker 6>we have a willing seller in terms of David Zaslov

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<v Speaker 6>and the board of directors here who how do you

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<v Speaker 6>think this is going to plug out? Is something to

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<v Speaker 6>make a bid for the entire company or just maybe

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<v Speaker 6>the good pieces for it.

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<v Speaker 5>We're having all possible permutations and combinations here, Paul. So

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<v Speaker 5>we know that Paramounts Guidance is actually interested in all

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<v Speaker 5>of the company, including the TV networks.

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<v Speaker 3>They've already made three bids.

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<v Speaker 5>The highest one was for twenty three and a half

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<v Speaker 5>dollars per share for Warner Brothers Discovery all of it

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<v Speaker 5>that was turned down, so they obviously have to come

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<v Speaker 5>up with a much better offer.

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<v Speaker 3>Now.

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<v Speaker 5>The other bidders, and the two that are most often

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<v Speaker 5>mentioned are Netflix and Comcast. They are the ones that

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<v Speaker 5>are only interested in the studio and streaming assets, no

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<v Speaker 5>interest at all in the TV linear network business. We

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<v Speaker 5>know that Netflix has started looking into the books of

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<v Speaker 5>Warner Brothers Discovery. This doesn't necessarily mean that they have

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<v Speaker 5>to come out with a bid. I mean remember this.

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<v Speaker 5>You know zaslav is, as you just mentioned, he's a

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<v Speaker 5>very very tough negotiator.

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<v Speaker 3>He's a deal maker.

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<v Speaker 5>He is going to make sure that they really get

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<v Speaker 5>paid well for the streaming and studio assets if they

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<v Speaker 5>sell that, and we expect, you know, a price tag

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<v Speaker 5>somewhere in the ballpark of about seventy five to eighty billion,

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<v Speaker 5>So you know, whoever makes a big bid has to

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<v Speaker 5>cough up a huge chunk of change for this asset.

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<v Speaker 2>So we keep talking about how it's Netflix, Comcasts and

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<v Speaker 2>Paramount Skuidance.

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<v Speaker 4>Could there be another bidder that emerges from the shadows.

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<v Speaker 5>Absolutely, I mean you can never rule out big tech.

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<v Speaker 5>You know, Amazon obviously has shown some interest in the past.

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<v Speaker 5>They bought the MGM studio. We're not necessarily sure whether

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<v Speaker 5>they've actually taken a look at the Warner brother assets.

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<v Speaker 5>But again, Scarlett, as you kind of think about the

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<v Speaker 5>whole media land and you kind of think about the

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<v Speaker 5>various assets out there, this is kind of a once

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<v Speaker 5>in a lifetime, kind of a generational opportunity for anybody

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<v Speaker 5>who wants to get big in media to really go

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<v Speaker 5>after Warner I mean, they have some of the best

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<v Speaker 5>ip out there. They have a streaming business that has

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<v Speaker 5>performed really well. HBO Max is a name that resonates

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<v Speaker 5>across the globe. So you know, anybody and everybody should

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<v Speaker 5>really be taking a look at this asset. I wouldn't

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<v Speaker 5>be surprised if we have some kind of a dark

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<v Speaker 5>horsepitter here.

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<v Speaker 2>Okay, speaking of media companies with names, brands that really resonate,

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<v Speaker 2>Disney's ESPN dropped Penn National as its sports betting partner

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<v Speaker 2>and has picked up Draft Kings.

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<v Speaker 4>Why didn't it just do that the first time around?

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<v Speaker 3>Yeah, that's a great question.

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<v Speaker 5>So if you remember actually two three years ago they

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<v Speaker 5>were in talks with DraftKings. I think it ultimately came

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<v Speaker 5>down to price. I think they got a much better

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<v Speaker 5>deal with pen, which was paying them something like about

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<v Speaker 5>two billion dollars over ten years.

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<v Speaker 3>The thing is that they were really a late mover.

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<v Speaker 5>You know, by the time ESPN bet came to the

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<v Speaker 5>market with Ben, DraftKings and FANDUIL had already kind of

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<v Speaker 5>really consolidated their share in the market. They have about

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<v Speaker 5>a seventy percent share of the sports betting market. Ben

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<v Speaker 5>had a lot of problems, you know. Yes, they kind

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<v Speaker 5>of got the product out there, they have just about

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<v Speaker 5>maybe a three percent share. They just haven't been able

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<v Speaker 5>to kind of convert users. The user experience hasn't been good.

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<v Speaker 5>So I think, you know, ESPN did make a good

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<v Speaker 5>decision and dropping them and going back to the DraftKings.

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<v Speaker 6>Mickey Mouse and sports betting. I never thought i'd see that,

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<v Speaker 6>I know.

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<v Speaker 2>Right, Yeah, well, once upon a time they were like,

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<v Speaker 2>we're not getting into any exact you're.

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<v Speaker 6>Exactly right, hey, Keith, I see our good friends of Comcast.

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<v Speaker 6>Speaking of Comcasts, they have plans to split their cable

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<v Speaker 6>networks apart from their broadband and cable TV businesses, and

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<v Speaker 6>they're going to call this lovely company versut go figure.

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<v Speaker 6>But I understand they're going to have an investor day

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<v Speaker 6>December fourth, So it sounds like Comcast is moving forward

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<v Speaker 6>on this split. Here, give us a sense of what

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<v Speaker 6>do you think verse will look like? And when do

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<v Speaker 6>you think that split's going to happen.

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<v Speaker 5>The split's going to happen before ear end falls. And

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<v Speaker 5>they've you know, they've got all the pieces moving here.

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<v Speaker 5>This is really all of the cable networks other than

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<v Speaker 5>Bravo and you know, so we have the USA Network,

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<v Speaker 5>we have Golf, Sci Fi, all of these networks that

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<v Speaker 5>they're kind of splitting out. Again the problem with the

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<v Speaker 5>cable network business is that it is severely challenged, more

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<v Speaker 5>so than the broadcast business, which is why they're still

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<v Speaker 5>keeping NBC broadcast, the keeping the Peacock streaming platform. It's

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<v Speaker 5>just these cable networks that have been severely challenged, you know,

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<v Speaker 5>as we kind of model out advertising, affiliate fees and EBITDA,

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<v Speaker 5>we're kind of looking for, you know, mid single digit

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<v Speaker 5>IBADA decline. But it still does throw out a good

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<v Speaker 5>amount of cash, so we're you know, as we kind

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<v Speaker 5>of look at it, it's about two and a half

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<v Speaker 5>two point six billion dollars in cash, so again, still

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<v Speaker 5>a recent business.

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<v Speaker 3>Kita.

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<v Speaker 4>Why is Bravo so valuable then to Comcast.

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<v Speaker 5>Because they have a lot of content and nonfiction content

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<v Speaker 5>that they put from Bravo to Peacock and it doesn't, yeah,

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<v Speaker 5>cheap to make, and it doesn't necessarily.

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<v Speaker 3>Fit with the rest of the portfolio. So I want

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<v Speaker 3>to hold on to that.

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<v Speaker 4>Cheap to make.

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<v Speaker 6>I think that's a theme here, Paul, I know, I know,

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<v Speaker 6>But and it's also about sports as well, you know,

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<v Speaker 6>and the sports is still working for these networks, mostly

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<v Speaker 6>the wrong They all.

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<v Speaker 4>Paid up a ton yep, so it's only employment viewing.

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<v Speaker 6>It exactly exactly right. This is Warner Brothers Discovery still

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<v Speaker 6>thinking about a split. Here, githa thirty seconds.

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<v Speaker 5>To anybody's guests called but right now, if they don't

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<v Speaker 5>get the price that they that they want, which we

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<v Speaker 5>think is upwards of thirty dollars a share for the

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<v Speaker 5>entire company, I think they will go ahead with the split.

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<v Speaker 5>And I think Zoslav is willing to wait this out

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<v Speaker 5>and we'll see that split happens sometime in the middle

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<v Speaker 5>of twenty twenty six.

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<v Speaker 6>Stay with us. More from Bloomberg Intelligence coming.

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<v Speaker 4>Up after this.

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<v Speaker 1>You're listening to the Bloomberg Intelligence podcast. Catch us live

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<v Speaker 1>weekdays at ten am. He's done on Apple, Cocklay and

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<v Speaker 6>All right, let's talk a little technology, because we've got

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<v Speaker 6>technology earnings all over the place. Men Deep sing Joints

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<v Speaker 6>is here, research head of Globe Bloomberg Intelligence. On tech stories,

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<v Speaker 6>Uber Lift, they reported some numbers Door Dash repeated. Are

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<v Speaker 6>people talk to us about that SEC segment of the economy,

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<v Speaker 6>the ride sharing, the outsourcing, you know, the third party delivery.

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<v Speaker 6>Are people still spending money on that stuff? They are?

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<v Speaker 7>And all these companies, I mean, Uber reported over twenty

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<v Speaker 7>percent growth, door Dash reported twenty five percent top line growth.

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<v Speaker 7>Even though the stock reaction was negative, that was primarily

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<v Speaker 7>because they plan to spend more money next year on

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<v Speaker 7>building their tech stack. I think what the playbook here

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<v Speaker 7>is to expand in more geographies as well as branch

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<v Speaker 7>out into other areas of last mile delivery. And in

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<v Speaker 7>the case of door Dash, they are experimenting with, you know,

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<v Speaker 7>delivering food without a career human person involved, and also

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<v Speaker 7>expanding into restaurant point of sale devices. I mean they're

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<v Speaker 7>developing technology where you can pay using a door dash

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<v Speaker 7>hardware and point of sale device. So clearly there is

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<v Speaker 7>a lot that these companies are doing beyond you know,

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<v Speaker 7>the original business that they have.

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<v Speaker 6>You know having you know, when you spend time in

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<v Speaker 6>England and you go pay for meal, the card never

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<v Speaker 6>leaves your presence. They just tap it on some machine

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<v Speaker 6>and here they take it. They put it in a

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<v Speaker 6>little folder, they take it away for.

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<v Speaker 4>Five minutes, and that's what you pay twenty person for.

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<v Speaker 6>You don't know where it's going. And that's why I'm

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<v Speaker 6>surprised we're so behind here in Yos about that.

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<v Speaker 2>At point We've always been kind of behind this, you

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<v Speaker 2>know that that's been our calling card.

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<v Speaker 7>The way to think about it is, there are so

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<v Speaker 7>many legacy systems that anytime you have new technology, even

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<v Speaker 7>everyone is talking about AI agents and whatnot, it has

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<v Speaker 7>to sit on top of a lot of legacy technology.

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<v Speaker 7>And like the promise of AI is it can rewrite

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<v Speaker 7>a lot of that legacy code and migrate into the

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<v Speaker 7>you know, the modern technology. But we have yet to

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<v Speaker 7>come across, you know, real proof points of that.

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<v Speaker 2>So when you're talking man Deep, I noticed that you

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<v Speaker 2>talked a lot about how these companies are spending, they're investing,

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<v Speaker 2>and I'm curious about the reception that gets from investors

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<v Speaker 2>because initially in the big AI build up, everyone was

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<v Speaker 2>excited about these plans. But now more and more everyone's like, oh,

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<v Speaker 2>I'm not so sure that's a great idea that you're

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<v Speaker 2>spending so much, whether it's on AI or whether it's

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<v Speaker 2>on new products and internal platform like it is with

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<v Speaker 2>door Dash. Why do you think investors are now more

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<v Speaker 2>skeptical about this idea of companies spending.

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<v Speaker 7>Well, just because we've seen you know, Uber and all

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<v Speaker 7>these companies really struggle with free cash flow. Initially, I

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<v Speaker 7>mean in the zerp era, you know, these companies burned

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<v Speaker 7>a lot of cash. Now they have gotten to a

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<v Speaker 7>point where the business model does generate you know, seven

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<v Speaker 7>to eight billion dollars in free cash flow for Uber

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<v Speaker 7>and even for door Dash it's twenty percent ebit dumb margins.

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<v Speaker 7>So the fact that they're talking about spending again, it

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<v Speaker 7>makes you think, Okay, if you're an investor, you waited

0:11:09.440 --> 0:11:11.840
<v Speaker 7>all this while for these companies to get mature and

0:11:11.920 --> 0:11:14.640
<v Speaker 7>you know, start delivering on cash, and now they're talking

0:11:14.679 --> 0:11:17.720
<v Speaker 7>about another investment cycle. And that's where you know, in

0:11:17.760 --> 0:11:20.319
<v Speaker 7>the case of Uber, it's their hand is forced by

0:11:20.880 --> 0:11:25.000
<v Speaker 7>Veimo launching on in ten cities and really expanding and

0:11:25.120 --> 0:11:28.280
<v Speaker 7>potentially Tesla. I think in the case of door Dash,

0:11:28.800 --> 0:11:32.560
<v Speaker 7>they feel, you know, making acquisitions will help them expand

0:11:32.600 --> 0:11:35.880
<v Speaker 7>their geographic footprint and then obviously they want to expand

0:11:35.880 --> 0:11:37.920
<v Speaker 7>their tech stach to more areas.

0:11:38.679 --> 0:11:41.040
<v Speaker 6>Most important. Do you arbitrage Lift versus Uber?

0:11:41.840 --> 0:11:45.120
<v Speaker 7>I don't these days, simply because I think what Uber

0:11:45.200 --> 0:11:49.800
<v Speaker 7>has done well is they know my preferences, especially when

0:11:49.800 --> 0:11:54.199
<v Speaker 7>it comes to business travel, and their you know, frequency

0:11:54.400 --> 0:11:58.840
<v Speaker 7>and their ability to reduce wait times is far beyond

0:11:58.920 --> 0:12:01.679
<v Speaker 7>anyone else in terms of giving me a ride wherever

0:12:01.760 --> 0:12:05.959
<v Speaker 7>I am and shrinking that way time. I think that's

0:12:06.120 --> 0:12:08.880
<v Speaker 7>very important when you compare to autonomous drive, Like I

0:12:08.880 --> 0:12:11.400
<v Speaker 7>could go to San Francisco and get a Vema, but

0:12:11.480 --> 0:12:13.640
<v Speaker 7>then I have to wait for five minutes, whereas I

0:12:13.640 --> 0:12:16.160
<v Speaker 7>get an Uber in less than a minute. So that's

0:12:16.160 --> 0:12:19.120
<v Speaker 7>where if you really care about your time, you still

0:12:19.160 --> 0:12:19.760
<v Speaker 7>go for Uber.

0:12:19.960 --> 0:12:22.520
<v Speaker 2>Yeah, I use Lyft because I have a Chase card

0:12:22.600 --> 0:12:23.880
<v Speaker 2>and I get a ten dollars a month.

0:12:24.040 --> 0:12:25.760
<v Speaker 7>Quality points is another aspect.

0:12:25.800 --> 0:12:27.680
<v Speaker 4>Yeah, stay with us.

0:12:27.840 --> 0:12:30.160
<v Speaker 6>More from Bloomberg Intelligence coming up after this.

0:12:34.120 --> 0:12:37.800
<v Speaker 1>You're listening to the Bloomberg Intelligence podcast. Catch us live

0:12:37.880 --> 0:12:41.280
<v Speaker 1>weekdays at ten am Eastern on Applecarplay and Android Auto

0:12:41.360 --> 0:12:44.440
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0:12:44.480 --> 0:12:47.480
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0:12:47.960 --> 0:12:51.040
<v Speaker 2>Let's talk a little bit about companies that are affected

0:12:51.080 --> 0:12:54.160
<v Speaker 2>not just by tariffs, but by a consumer that perhaps

0:12:54.240 --> 0:12:57.120
<v Speaker 2>is somewhat weakened, a little bit more cautious given the

0:12:57.800 --> 0:13:00.360
<v Speaker 2>softness in the job market. Let's bring and put on Goyle,

0:13:00.440 --> 0:13:02.960
<v Speaker 2>she is our senior US e commerce and retail analysts,

0:13:03.000 --> 0:13:05.240
<v Speaker 2>to talk a little bit about under Armour, whose shares

0:13:05.280 --> 0:13:10.240
<v Speaker 2>are down about five percent in late morning trading. When

0:13:10.280 --> 0:13:13.040
<v Speaker 2>it comes to under Armour, how much of the struggles

0:13:13.040 --> 0:13:15.280
<v Speaker 2>that this company is experiencing is due to things like

0:13:15.400 --> 0:13:19.280
<v Speaker 2>teriffs which is beyond its control, versus an overall product

0:13:19.360 --> 0:13:22.640
<v Speaker 2>selection and a consumer whose taste might have shifted.

0:13:23.800 --> 0:13:25.840
<v Speaker 8>Sure, I think it's a combination of both. When you

0:13:25.840 --> 0:13:29.480
<v Speaker 8>look at the top line, it's really self inflicted. Right,

0:13:29.520 --> 0:13:32.200
<v Speaker 8>they're trading out of off price, They're trying to drive

0:13:32.240 --> 0:13:36.720
<v Speaker 8>more full price sales. They're really revamping their whole message,

0:13:36.760 --> 0:13:39.640
<v Speaker 8>trying to resonate better with consumers. So that's why we

0:13:39.679 --> 0:13:41.920
<v Speaker 8>continue to say weakness there. They need to drive more

0:13:42.000 --> 0:13:44.920
<v Speaker 8>product innovation. But then when it comes to margins, it's

0:13:44.920 --> 0:13:47.920
<v Speaker 8>a little bit of both. Tariffs are impacting them, in

0:13:47.920 --> 0:13:50.520
<v Speaker 8>fact more than some of our other companies who have

0:13:50.600 --> 0:13:53.800
<v Speaker 8>been largely able to offset these headwinds. They are not

0:13:53.920 --> 0:13:56.520
<v Speaker 8>able to and that's sending gross margins down about two

0:13:56.559 --> 0:13:58.319
<v Speaker 8>hundred basis points for their fiscal year.

0:13:59.120 --> 0:14:02.840
<v Speaker 6>So I think about that, you know, athletic market plunam

0:14:02.880 --> 0:14:06.760
<v Speaker 6>it just feels super uber competitive to me. Is this

0:14:07.040 --> 0:14:09.880
<v Speaker 6>a place where under Armour can win? Visa be the

0:14:09.960 --> 0:14:11.439
<v Speaker 6>Nikes of the world the iddas.

0:14:12.760 --> 0:14:15.679
<v Speaker 8>Yeah, look, I think the market is growing and competitive,

0:14:15.679 --> 0:14:18.520
<v Speaker 8>and that's you're absolutely right. It feels like every company

0:14:18.600 --> 0:14:20.960
<v Speaker 8>right now in the at leisure space is on a

0:14:21.040 --> 0:14:23.720
<v Speaker 8>reset mode. When you think of Nike, they're under reset,

0:14:23.760 --> 0:14:26.440
<v Speaker 8>Pumas under reset, under Armors under a reset, right, So

0:14:26.440 --> 0:14:29.440
<v Speaker 8>they're all going after the same customer, but in a

0:14:29.600 --> 0:14:33.440
<v Speaker 8>different way. Nike clearly the giant in the room. They

0:14:33.560 --> 0:14:37.320
<v Speaker 8>have the dollars to invest in brand, marketing and endorsements,

0:14:37.400 --> 0:14:41.480
<v Speaker 8>so they can continue to step harder on innovation. When

0:14:41.480 --> 0:14:44.640
<v Speaker 8>it comes to under Armor. I think we've heard the

0:14:44.680 --> 0:14:47.880
<v Speaker 8>story so many times now, Paul. I mean I've heard

0:14:47.880 --> 0:14:50.680
<v Speaker 8>their turnaround and seen it go up and then away

0:14:52.440 --> 0:14:55.480
<v Speaker 8>every couple of years. So will this be the time

0:14:55.600 --> 0:14:58.920
<v Speaker 8>they get it right. It's really hard to tell because

0:14:59.560 --> 0:15:02.600
<v Speaker 8>right now they've controlled their inventories, which is a good thing.

0:15:02.640 --> 0:15:05.600
<v Speaker 8>They're down six percent, they're downward than the sales decline.

0:15:05.920 --> 0:15:09.920
<v Speaker 8>But the innovation adds and flows, so we'll let's stick.

0:15:10.040 --> 0:15:13.680
<v Speaker 8>Will the consumer, you know, stay committed and loyal to

0:15:13.840 --> 0:15:16.560
<v Speaker 8>under Armour? I don't think the consumer is weld at

0:15:16.600 --> 0:15:17.280
<v Speaker 8>anything today.

0:15:17.560 --> 0:15:18.440
<v Speaker 4>That's a really good point.

0:15:18.440 --> 0:15:20.920
<v Speaker 2>They're loyal to price price first is what they're loyal

0:15:20.960 --> 0:15:26.240
<v Speaker 2>to and deals phuna. Under Armour also announced a new executive,

0:15:26.280 --> 0:15:30.080
<v Speaker 2>a new CFO for the company, Raisa Taligani, will be

0:15:30.080 --> 0:15:33.200
<v Speaker 2>taking over or starting in February. Does this raise concerns

0:15:33.240 --> 0:15:37.280
<v Speaker 2>about not leadership so much, but in terms of strategy

0:15:37.320 --> 0:15:39.640
<v Speaker 2>for the company, because as you mentioned, feels like under

0:15:39.720 --> 0:15:42.240
<v Speaker 2>Armour has been in turnaround mode for a long time.

0:15:43.320 --> 0:15:45.800
<v Speaker 8>It doesn't concern me about the strategy. He was a

0:15:45.880 --> 0:15:48.520
<v Speaker 8>CFO in his prior role as well with another company.

0:15:48.960 --> 0:15:53.200
<v Speaker 8>I think the leadership is really identified by the CEO,

0:15:53.400 --> 0:15:56.880
<v Speaker 8>Kevin Blank at this example, and he has a plan

0:15:56.960 --> 0:15:59.720
<v Speaker 8>to lead this turnaround. And the plan is pretty basic.

0:15:59.760 --> 0:16:04.239
<v Speaker 8>It's not anything new. It's returning back to product customer

0:16:04.360 --> 0:16:07.200
<v Speaker 8>innovation and going back to full price selling to maintain

0:16:07.320 --> 0:16:10.400
<v Speaker 8>brand help That is retail one on one playbook for

0:16:10.440 --> 0:16:13.040
<v Speaker 8>any brand, and he's just going back to the roots.

0:16:13.240 --> 0:16:15.720
<v Speaker 8>So I think the strategy is right. It's whether the

0:16:15.760 --> 0:16:19.080
<v Speaker 8>customer will respond and whether they will drive enough innovation.

0:16:19.600 --> 0:16:22.880
<v Speaker 8>But innovation with performance. I think that's what you need

0:16:22.920 --> 0:16:25.000
<v Speaker 8>from an athletic were brand and that's where they need

0:16:25.040 --> 0:16:25.840
<v Speaker 8>to put the focus.

0:16:26.720 --> 0:16:30.120
<v Speaker 6>Plut how's the holiday shopping season shaping up. What are

0:16:30.160 --> 0:16:30.880
<v Speaker 6>the expectations.

0:16:32.400 --> 0:16:34.760
<v Speaker 8>The expectations are for at least for online. You know,

0:16:34.800 --> 0:16:36.760
<v Speaker 8>we think online will continue to game share over the

0:16:36.760 --> 0:16:39.720
<v Speaker 8>holiday season. We do see strength. I mean I cover

0:16:39.800 --> 0:16:41.680
<v Speaker 8>Amazon as well, and I think Amazon's going to have

0:16:41.720 --> 0:16:45.000
<v Speaker 8>a great holiday season. In terms of the broader retail

0:16:45.120 --> 0:16:47.760
<v Speaker 8>I think what you'll see again is a biification and trends.

0:16:48.000 --> 0:16:50.880
<v Speaker 8>The retailers that push the pedal on price and have

0:16:51.080 --> 0:16:54.280
<v Speaker 8>the product the consumer's desire will take share. But then

0:16:54.320 --> 0:16:57.360
<v Speaker 8>those in the middle still stand to fall behind. And

0:16:57.360 --> 0:16:59.760
<v Speaker 8>that's been the case for many years now. It hasn't changed.

0:17:00.520 --> 0:17:05.240
<v Speaker 1>This is the Bloomberg Intelligence podcast, available on Apple, Spotify,

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0:17:12.800 --> 0:17:16.320
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