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CFO Armin Zerza outlined capital allocation priorities as: 1) investing in the core music business, 2) stepping up M&A, and 3) returning capital to shareholders. He affirmed the 50-60% cash conversion target, driven by cost savings and A&R efficiency. Regarding streaming, he expressed confidence in future growth, citing industry health, upcoming DSP renewal benefits, and potential from super-fan tiers.

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CFO Armin Zerza outlined capital allocation priorities as: 1) core music business investment, 2) M&A, and 3) shareholder returns. He affirmed the 50-60% cash conversion target, supported by cost savings and A&R efficiency. He expressed confidence in future streaming growth, citing DSP renewals, M&A, and potential from super-fan tiers.

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CEO Robert Kyncl stated that new product rollouts with partners don't require all DSPs to move in unison. Regarding Tempo, he explained that greater control allows for expanded rights monetization and that the deal has built-in growth as existing third-party distribution agreements expire and revert to WMG. CFO Bryan Castellani added that the Tempo catalog is approximately 80% music publishing and 20% recorded music.

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CEO Robert Kyncl expressed confidence in WMG's three-pillar strategy: growing market share, increasing the value of music, and improving efficiency for reinvestment. He pointed to early successes, such as a 50% increase in Spotify global chart share and the launch of the WMG Pulse artist app, as proof the strategy is working. Kyncl stated that the trends seen in Q2 are expected to persist for the remainder of the fiscal year.

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CFO Hugh Johnston deferred specific 2026 Experiences guidance to the Q4 call but noted upcoming ship launch costs. He emphasized that ESPN aims to reach fans wherever they are. CEO Bob Iger added that Disney now operates as one unified television business, with the ESPN app offering superior features and functionality compared to linear channels.

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CFO Hugh Johnston noted a strong outlook, with Q3 and Q4 bookings at Walt Disney World up 4% and 7% respectively, and stated that full-year growth would likely be at the 'higher end' of the 6-8% guided range. He confirmed that the situation in China is not worsening, with attendance remaining strong despite lower per-capita spending. He deferred specific commentary on fiscal '26 growth.

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CFO Hugh Johnston confirmed that forward bookings for the Experiences segment remain positive and are up for the summer. For Direct-to-Consumer profitability, he reiterated the full-year guidance of over $1 billion. He acknowledged the strong start but deemed it premature to raise the outlook after only one quarter, while leaving open the possibility of over-delivering.

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CEO Robert Iger indicated plans for selective content investment in international markets like EMEA and APAC, but only after technology improvements are in place to reduce churn and maximize ROI. CFO Hugh Johnston confirmed that modest incremental content growth is modeled in. For Experiences, Johnston explained that the projected returns are based on a balance of both increased attendance and pricing power, with the flexibility to adjust the strategy as they learn.

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Founder, Chairman & CEO Anthony Wood explained that the two initiatives are complementary, with Roku Ads Manager opening up a new market of smaller, performance-based advertisers, while third-party DSPs serve larger, traditional video advertisers. President of Roku Media Charlie Collier added that the strategy diversifies demand, noting the recent upfront was very positive and that the market is increasingly seeking performance from TV advertising.

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CFO Dan Jedda stated that both streaming service distribution (SSD) and advertising are driving strong Q1 growth, with advertising expected to grow faster. CEO Anthony Wood and President of Devices Mustafa Ozgen addressed the VIZIO acquisition, expressing confidence in continued household growth and their strong retail position, noting Roku is the #1 TV OS and has wide distribution beyond Walmart.

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Co-CEO Greg Peters stated that while he would 'never say never,' the company believes its bundled approach offers great value and simplicity. He expects the current model of providing all content within existing plans will remain an important feature for the foreseeable future, guided by principles of member choice and accessibility.

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Co-CEO Greg Peters said he would 'never say never' but emphasized that the current bundled approach provides great value and simplicity for members. He outlined key principles guiding their model: member choice, accessibility for new members, and ensuring reasonable returns to reinvest in the business. While open to evolution, he expects the all-inclusive bundle to remain a core feature of the Netflix offering for the foreseeable future.

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Co-CEO Greg Peters stated he would 'never say never' but emphasized that the current all-inclusive bundle provides great value and simplicity for members. He expects this model to remain a core feature of their offering for the foreseeable future, guided by principles of member choice, accessibility, and business returns.

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Executive Chair and CEO Lachlan Murdoch stated that FOX 1's pricing will align with wholesale rates to be fair to distributors and will target the 'cordless' market to avoid cannibalizing traditional pay-TV. He confirmed partnerships are planned. CFO Steve Tomsic noted that fiscal 2026 will lack political ad revenue but also the Super Bowl's net cost, with tailwinds from FOX News, Tubi, and affiliate fees. The key variable will be the balance of investment between Tubi and the FOX 1 launch.

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Executive Chair and CEO Lachlan Murdoch attributed the Fox News advertising strength to record ratings that have attracted over 100 new national clients, a trend he sees continuing. Regarding the Tubi Super Bowl stream, he described it as a low-cost, high-reward opportunity to capture valuable first-party data, drive user registration, and provide a significant marketing platform for Tubi.

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Executive Chair and CEO Lachlan Murdoch stated that a potential Comcast separation would not affect Fox, highlighting the deep synergies across Fox's own platforms. He affirmed his belief in a subscriber floor for the core pay-TV package. CFO Steve Tomsic added that while pricing drove recent affiliate revenue growth, the moderation in subscriber declines was a helpful trend.

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Co-President & CPTO Gustav Söderström reported strong early results, with about 70% of eligible creators opting into the new video offering, exceeding expectations. He noted that podcasts are increasingly becoming video-centric and affirmed that the company continues to invest heavily in the TV experience as an important part of its ubiquity strategy.

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CEO Daniel Ek described the AI investment as highly disciplined and not CapEx-intensive. He explained that spending is usage-based, which correlates with value creation like engagement and retention. While Spotify is willing to accept short-term margin trade-offs for significant user benefits, the approach will not be 'reckless.'

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