INSANITY! Marvel's AVENGERS INFINITY WAR & ENDGAME Truth Revealed | What Disney REALLY SPENT & Made on these two Marvel Studios / MCU movies Marvel Entertainment | Iron Man , Captain America , Spider Man , Thor , Black Panther , Ant Man , Hulk | Box Office | How Much Did Avengers COST | How Much Did Avengers MAKE for Marvel Disney | How much did Avengers Endgame Cost? | How Much did Avengers Infinity War COST? | How Much did Avengers Infinity War & Endgame MAKE for Disney Marvel Studios?

THE TRUTH IS OUT! Disney spent an INSANE amount of money to PRODUCE the final films of the INFINITY WAR SAGA. Avengers Infinity war and Avengers Endgame cost nearly DOUBLE what DISNEY made public.

The numbers were recently revealed by FORBES MAGAZINE but even FORBES made a few calculations errors.  You Will NOT BELIEVE what DISNEY MARVEL STUDIOS SPENT to make these MOVIES.

Forbes Magazine
Revealed: The Two Avengers Movies That Made $1.4 Billion Of Profit For Disney
https://www.forbes.com/sites/carolinereid/2023/09/01/revealed-the-two-avengers-movies-that-made-14-billion-of-profit-for-disney/?sh=39ecf2c5435f

#marvel #disney #mcu #marvel studios #avengers #avengersendgame #avengersinfinitywar 

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Marvel Studios Avengers Infinity War and Marvel Studios Avengers Endgame.

Unquestionably, 2 of the biggest box office smash hits of all time.

If we combine the 2 retail box office hauls for these massive films, it's over 4.8 billion U.S.

But if we go by what the Walt Disney Company publicly stated as the production budgets, 300 million for Avengers Infinity War and 400 million dollars for Avengers Endgame, We get a combined spend of $700 million to produce these 2 films.

The problem, of course, once again, for the Walt Disney Company and for Marvel Studios is that we've got the actual financial returns.

And the lie detector says, that was a lie.

Another great day here at Valiant Renegade.

It's good to see everybody out there once again.

And if you are like 1 of the many folks watching this video, not yet subscribed to this channel, please take a moment and turn that little red subscribe button to gray.

Hit that like button, hit that notification bell, share this sucker out on the social medias.

And of course, please do leave a comment before you head out the door today.

Marvel Studios and the Marvel Cinematic Universe Infinity War saga culminated in 2 of the biggest films that hit theaters of all time, just over 2000000000 dollars for Infinity War and nearly 2800000000.0 dollars for Avengers Endgame with a combined total of $4.8 billion worth of box office globally.

The problem, of course, as we stated in the intro, is what the production budgets were stated publicly to be by the Walt Disney Company.

300 million for infinity war, 400 million for end game.

Now right off the bat, if you're looking at those and thinking, those are insane numbers, you'd be correct.

We have frequently covered here on Valiant Renegade financial reporting that has been uncovered by Forbes magazine and by Caroline Reed and here you can see from just a few days ago the title of the article revealed the 2 Avengers movies that made 1.4 billion dollars of profit for Disney.

Now the headline unfortunately is mistaken as the calculations in the article just don't add up and we'll show you why in just a minute.

However, where the article did do a fantastic job was digging up the actual financial returns.

Because as we've stated before, when these production entities are created to generate these films that make it to either television or the big screen, well, when they're in the United Kingdom, they have to report all of their financial data and those reports are made public.

And unfortunately, we don't always know what the name of the production entity is for a given film or television product.

Most companies try to keep that relatively secret, but the yeomans work by Forbes magazine uncovered the ones for Avengers Infinity War and Avengers Endgame.

And as you can see on the screen, this is the actual United Kingdom return for Assembled Productions 3, as in Avengers Assemble, the third entry into the Avengers.

Avengers Endgame and Infinity War were shot concurrently under the same production entity to receive film tax credits in the UK.

Not all of the Avengers saga was filmed in the UK, but the UK law stipulates that at least 10% of the core costs of production need to relate to activities in the UK.

And in order to demonstrate this to the government, studios usually set up a separate FPC or film production company there for each picture.

Now for the qualified costs actually spent in the UK, Disney and Marvel Studios in this case could receive up to 25% back in a film tax credit and this of course is why they put up with a higher degree of public scrutiny with these returns in order to receive those lucrative tax credits back against the production of what they did.

Now, back to the financial reports, what Forbes magazine did was go back over the years and calculate all of the expenditures that have been made since these 2 movies went into pre-production some 7 to 8 years ago.

Even through 2023 this year, just a couple of months ago, the Walt Disney Company and Marvel Studios were still filing returns for assembled productions 3 UK limited related to the production of Endgame and Infinity War.

The costs for building these films, of course, don't always come in at 1 time.

They come in over the course of several years, and many times we have to wait for several years worth of returns to get the total actual final cost.

We've covered this before previously with things like Indiana Jones and the Dial of Destiny, where we knew through the end of last year, 2022, they had spent roughly $300 million US dollars producing that film.

That, of course, would not include a lot of the big post-production and VFX work that would have been done between January and June of this year when the film actually released.

It'll be sometime next year before we see the rest of the cost for Indiana Jones.

But what Forbes did was to go back and combine the costs from the first filing of assembled Productions 3 through June 30th of this year, when they filed the latest return.

Each shooting was done on location in the UK to qualify for the funding, which is why Disney set up the FPC there.

The UK government's terms require the FPC's financial statements to show the production's entire cost, not just those incurred in the UK.

This reveals that Infinity War and Endgame cost a total of 1300000000.0 U.S.

We have had listed now for years publicly by Disney, The production budgets for these 2 films at 3 and 400000000 dollars respectively, a combined total of 700000000 dollars.

Now of course, there is no federal law requiring that a studio put out the actual cost or the final production cost of a given project, but showing things like 700 million publicly as the initial production budget, not what they actually spent, maybe a bit of an ethical issue.

That seems especially the case when we consider it wasn't 700 million to shoot these 2 films.

It was 1.3 billion US dollars for these 2 pictures combined.

What the filing also shows is they received somewhere around a 43 million dollar British film tax credit for the portion that they actually shot in the UK.

But this is where the first mistake of the Forbes magazine article comes into play.

You can see in the next line where it says this brought the net spending down to 960000000 dollars.

The problem is that's actually in British pounds, not in U.

The expenditure in British pounds back when these 2 films were produced was 1000000000 British pounds sterling.

That was the equivalent at that point of about 1.3 billion U.

If you go back and look on charts yourself on places like Yahoo Finance, you can see the average exchange rate of when the bills would have come due for these films was about $1.30 for every 1 British pound sterling.

So when Forbes magazine says the net cost came down to 960, that would be $960 million roughly in British pounds.

But the cost in US dollars was not correctly adjusted in this article.

The real cost still would have been somewhere around 1.25 billion in the net.

Now, certainly there were probably some other film tax credits depending on where Disney and Marvel studios were actually shooting these films outside of the UK, but unfortunately we'll probably never know exactly what they were, but let's still focus on the fact that in the aggregate, Disney spent $1.3 billion on these 2 films before they got any credits back.

Problem number 2 with this Forbes article is the assertion that Disney would have made a profit of $1.4 billion on these films based on the financial returns that they uncovered.

And of course, that doesn't match up with reality either.

What Forbes has effectively done is take the $4.8 billion global box office haul, simply divided it by 2, suggesting that every penny that comes in at the retail level returns 50 cents on the dollar to the distribution company.

In this case, Disney suggesting that rentals would have come back to Disney to the tune of about $2.4 billion, or half of the 4.8.

The reality is this, domestically, rentals come back to studios at about 55% for big pictures, internationally at 43%, and China alone at 25%.

These are actually numbers excluding China that we get from AMC theaters, the biggest exhibitor that is out there that isn't owned by a government, namely China.

So the reality is, those are excellent numbers to use as a guide.

They're not something made up or fictitious.

These are actually available on public financial reports from AMC.

So if we use these box office rental numbers acquired from AMC, we get this Avengers infinity war, 678 million $1 billion internationally, 359 million from China.

This yielded back of the $2 billion box office, about $897 million to Disney Avengers.

Endgame, 858 million domestically, 1.3 billion internationally, 629 million.

In addition to that international figure from China.

That gave the $2.788 billion global retail haul a return to Disney of $1.188 billion.

This gave a total return in rentals back to the Walt Disney Company for Avengers Infinity War and Avengers Endgame of about $2.1 billion.

Now with those real numbers in mind, let's look back at the article again.

This was going to give Disney a profit of about $1.4 billion.

And of course this brings us to problem number 3, which Forbes has addressed in the past.

And that is the fact that this of course would not include any kind of promotional marketing budget, no global prints and ads as it's referred to, meaning the money that Disney and Marvel Studios would have spent to advertise and market these 2 films into theaters.

As we've seen from sources in the past, places like Deadline magazine, a total figure combined for these 2 movies for global prints and ads or global marketing easily around $500 million or half a billion dollars of total spend.

And to be clear, that is in addition to the actual production costs of the movies.

That means that the Walt Disney Company spent in total for Infinity War and Endgame from Marvel Studios between production and marketing, somewhere close to $1.8 billion.

Somebody call the men in the little white coats because I think they've gone insane.

So with a $2.1 billion total rental income and a $1.8 billion total expenditure to get that, That means that the Walt Disney Company would have only made about $300 million on both of those 2 movies combined.

Now again, there were, of course, some film tax credits, and let's say that maybe they brought in a combined total between the U.

Markets in anywhere else they would have filmed maybe as much as $200 million in tax credits.

That would add another $200 million to the pot, maybe making the total haul for Disney or profit of around $500 million.

But still, that seems like a very small amount considering a $4.8 billion global box office.

However, we want to be completely fair, and this was in a completely different era for the Walt Disney Company and film distribution.

This was before the massive rise of proprietary streaming, particularly in the case of Disney Plus.

When those 2 films came out in 2018 and 2019, Disney still had very lucrative contracts with third parties like Netflix, who is paying Disney billions of dollars to acquire that content and put onto Netflix itself, as opposed to Disney's own proprietary streaming service, which didn't launch until the end of 2019.

Disney still enjoyed hundreds of millions of dollars of physical media and premium video on demand sales for those 2 titles as well.

And of course, that wouldn't even include things like massive toy and merchandise licensing revenue, hundreds of millions, if not maybe close to a billion dollars for Avengers at that point at the peak of its popularity.

So even though Disney's margin in the theater wasn't what people think it is, certainly nowhere close to the $1.4 billion suggested by Forbes, but Disney was still making money elsewhere.

And that's the problem with the movies that Disney is putting out today.

All of that third party revenue for things like post theatrical distribution on streaming services or premium cable channels or even broadcast television.

That's all been collapsed into Disney plus now where Disney plus is still losing money quarter over quarter even though Disney has promised that they're going to get to profitability by 12 months from now.

It's absolutely astonishing to me that a film studio could spend this much money on 2 movies.

Yes, granted, they were 2 of the biggest movies of all time.

$1.3 billion in gross expenditures for 2 movies like this.

That's why it takes so much money at the retail box office for Disney to actually break even and try to make a profit.

They have got these costs that are out of control.

And that has a lot to do with poor planning, lots of reshoots, tons of last minute post-production and VFX work that Disney is constantly asking post-production art houses to complete at the last minute.

It's also the reason that Disney, and particularly Marvel Studios, have developed such a bad reputation over the years that people don't want to work with them.

And it's probably also why Disney needed somebody to fall on the sword, and her name was Victoria Alonso.

Let me know your thoughts in the comments below.


Speaker 0: Marvel Studios Avengers Infinity War and Marvel Studios Avengers Endgame. Unquestionably, 2 of the biggest box office smash hits of all time. If we combine the 2 retail box office hauls for these massive films, it's over 4.8 billion U.S. Dollars. But if we go by what the Walt Disney Company publicly stated as the production budgets, 300 million for Avengers Infinity War and 400 million dollars for Avengers Endgame, We get a combined spend of $700 million to produce these 2 films.

The problem, of course, once again, for the Walt Disney Company and for Marvel Studios is that we've got the actual financial returns. And the lie detector says, that was a lie. You're not going to believe this. Here we go. Renegade Online.

Well folks, welcome back. Another great day here at Valiant Renegade. It's good to see everybody out there once again. And if you are like 1 of the many folks watching this video, not yet subscribed to this channel, please take a moment and turn that little red subscribe button to gray. Hit that like button, hit that notification bell, share this sucker out on the social medias.

And of course, please do leave a comment before you head out the door today. Marvel Studios and the Marvel Cinematic Universe Infinity War saga culminated in 2 of the biggest films that hit theaters of all time, just over 2000000000 dollars for Infinity War and nearly 2800000000.0 dollars for Avengers Endgame with a combined total of $4.8 billion worth of box office globally. The problem, of course, as we stated in the intro, is what the production budgets were stated publicly to be by the Walt Disney Company. 300 million for infinity war, 400 million for end game. Now right off the bat, if you're looking at those and thinking, those are insane numbers, you'd be correct.

But the problem is they're not right. We have frequently covered here on Valiant Renegade financial reporting that has been uncovered by Forbes magazine and by Caroline Reed and here you can see from just a few days ago the title of the article revealed the 2 Avengers movies that made 1.4 billion dollars of profit for Disney. Now the headline unfortunately is mistaken as the calculations in the article just don't add up and we'll show you why in just a minute. However, where the article did do a fantastic job was digging up the actual financial returns. Because as we've stated before, when these production entities are created to generate these films that make it to either television or the big screen, well, when they're in the United Kingdom, they have to report all of their financial data and those reports are made public.

And unfortunately, we don't always know what the name of the production entity is for a given film or television product. Most companies try to keep that relatively secret, but the yeomans work by Forbes magazine uncovered the ones for Avengers Infinity War and Avengers Endgame. And as you can see on the screen, this is the actual United Kingdom return for Assembled Productions 3, as in Avengers Assemble, the third entry into the Avengers. Avengers Endgame and Infinity War were shot concurrently under the same production entity to receive film tax credits in the UK. Not all of the Avengers saga was filmed in the UK, but the UK law stipulates that at least 10% of the core costs of production need to relate to activities in the UK.

And in order to demonstrate this to the government, studios usually set up a separate FPC or film production company there for each picture. Now for the qualified costs actually spent in the UK, Disney and Marvel Studios in this case could receive up to 25% back in a film tax credit and this of course is why they put up with a higher degree of public scrutiny with these returns in order to receive those lucrative tax credits back against the production of what they did. Now, back to the financial reports, what Forbes magazine did was go back over the years and calculate all of the expenditures that have been made since these 2 movies went into pre-production some 7 to 8 years ago. Even through 2023 this year, just a couple of months ago, the Walt Disney Company and Marvel Studios were still filing returns for assembled productions 3 UK limited related to the production of Endgame and Infinity War. The costs for building these films, of course, don't always come in at 1 time.

They come in over the course of several years, and many times we have to wait for several years worth of returns to get the total actual final cost. We've covered this before previously with things like Indiana Jones and the Dial of Destiny, where we knew through the end of last year, 2022, they had spent roughly $300 million US dollars producing that film. That, of course, would not include a lot of the big post-production and VFX work that would have been done between January and June of this year when the film actually released. It'll be sometime next year before we see the rest of the cost for Indiana Jones. But what Forbes did was to go back and combine the costs from the first filing of assembled Productions 3 through June 30th of this year, when they filed the latest return.

Each shooting was done on location in the UK to qualify for the funding, which is why Disney set up the FPC there. The UK government's terms require the FPC's financial statements to show the production's entire cost, not just those incurred in the UK. And That is key. This reveals that Infinity War and Endgame cost a total of 1300000000.0 U.S. Dollars.

Hold the phone. We have had listed now for years publicly by Disney, The production budgets for these 2 films at 3 and 400000000 dollars respectively, a combined total of 700000000 dollars. Now of course, there is no federal law requiring that a studio put out the actual cost or the final production cost of a given project, but showing things like 700 million publicly as the initial production budget, not what they actually spent, maybe a bit of an ethical issue. That seems especially the case when we consider it wasn't 700 million to shoot these 2 films. It was 1.3 billion US dollars for these 2 pictures combined.

What the filing also shows is they received somewhere around a 43 million dollar British film tax credit for the portion that they actually shot in the UK. But this is where the first mistake of the Forbes magazine article comes into play. You can see in the next line where it says this brought the net spending down to 960000000 dollars. The problem is that's actually in British pounds, not in U. S.

Dollars. The expenditure in British pounds back when these 2 films were produced was 1000000000 British pounds sterling. That was the equivalent at that point of about 1.3 billion U. S. Dollars.

If you go back and look on charts yourself on places like Yahoo Finance, you can see the average exchange rate of when the bills would have come due for these films was about $1.30 for every 1 British pound sterling. So when Forbes magazine says the net cost came down to 960, that would be $960 million roughly in British pounds. But the cost in US dollars was not correctly adjusted in this article. The real cost still would have been somewhere around 1.25 billion in the net. Now, certainly there were probably some other film tax credits depending on where Disney and Marvel studios were actually shooting these films outside of the UK, but unfortunately we'll probably never know exactly what they were, but let's still focus on the fact that in the aggregate, Disney spent $1.3 billion on these 2 films before they got any credits back.

Problem number 2 with this Forbes article is the assertion that Disney would have made a profit of $1.4 billion on these films based on the financial returns that they uncovered. And of course, that doesn't match up with reality either. What Forbes has effectively done is take the $4.8 billion global box office haul, simply divided it by 2, suggesting that every penny that comes in at the retail level returns 50 cents on the dollar to the distribution company. In this case, Disney suggesting that rentals would have come back to Disney to the tune of about $2.4 billion, or half of the 4.8. The problem is that's not reality.

The reality is this, domestically, rentals come back to studios at about 55% for big pictures, internationally at 43%, and China alone at 25%. These are actually numbers excluding China that we get from AMC theaters, the biggest exhibitor that is out there that isn't owned by a government, namely China. So the reality is, those are excellent numbers to use as a guide. They're not something made up or fictitious. These are actually available on public financial reports from AMC.

So if we use these box office rental numbers acquired from AMC, we get this Avengers infinity war, 678 million $1 billion internationally, 359 million from China. This yielded back of the $2 billion box office, about $897 million to Disney Avengers. Endgame, 858 million domestically, 1.3 billion internationally, 629 million. In addition to that international figure from China. That gave the $2.788 billion global retail haul a return to Disney of $1.188 billion.

This gave a total return in rentals back to the Walt Disney Company for Avengers Infinity War and Avengers Endgame of about $2.1 billion. Now with those real numbers in mind, let's look back at the article again. This was going to give Disney a profit of about $1.4 billion. And of course this brings us to problem number 3, which Forbes has addressed in the past. And that is the fact that this of course would not include any kind of promotional marketing budget, no global prints and ads as it's referred to, meaning the money that Disney and Marvel Studios would have spent to advertise and market these 2 films into theaters.

As we've seen from sources in the past, places like Deadline magazine, a total figure combined for these 2 movies for global prints and ads or global marketing easily around $500 million or half a billion dollars of total spend. And to be clear, that is in addition to the actual production costs of the movies. That means that the Walt Disney Company spent in total for Infinity War and Endgame from Marvel Studios between production and marketing, somewhere close to $1.8 billion. Somebody call the men in the little white coats because I think they've gone insane. So with a $2.1 billion total rental income and a $1.8 billion total expenditure to get that, That means that the Walt Disney Company would have only made about $300 million on both of those 2 movies combined.

Now again, there were, of course, some film tax credits, and let's say that maybe they brought in a combined total between the U. S. Markets and the U. K. Markets in anywhere else they would have filmed maybe as much as $200 million in tax credits.

That would add another $200 million to the pot, maybe making the total haul for Disney or profit of around $500 million. But still, that seems like a very small amount considering a $4.8 billion global box office. However, we want to be completely fair, and this was in a completely different era for the Walt Disney Company and film distribution. This was before the massive rise of proprietary streaming, particularly in the case of Disney Plus. When those 2 films came out in 2018 and 2019, Disney still had very lucrative contracts with third parties like Netflix, who is paying Disney billions of dollars to acquire that content and put onto Netflix itself, as opposed to Disney's own proprietary streaming service, which didn't launch until the end of 2019.

Disney still enjoyed hundreds of millions of dollars of physical media and premium video on demand sales for those 2 titles as well. And of course, that wouldn't even include things like massive toy and merchandise licensing revenue, hundreds of millions, if not maybe close to a billion dollars for Avengers at that point at the peak of its popularity. So even though Disney's margin in the theater wasn't what people think it is, certainly nowhere close to the $1.4 billion suggested by Forbes, but Disney was still making money elsewhere. And that's the problem with the movies that Disney is putting out today. All of that third party revenue for things like post theatrical distribution on streaming services or premium cable channels or even broadcast television.

That's all been collapsed into Disney plus now where Disney plus is still losing money quarter over quarter even though Disney has promised that they're going to get to profitability by 12 months from now. Good luck with that. It's absolutely astonishing to me that a film studio could spend this much money on 2 movies. Yes, granted, they were 2 of the biggest movies of all time. $1.3 billion in gross expenditures for 2 movies like this.

That's why it takes so much money at the retail box office for Disney to actually break even and try to make a profit. They have got these costs that are out of control. And that has a lot to do with poor planning, lots of reshoots, tons of last minute post-production and VFX work that Disney is constantly asking post-production art houses to complete at the last minute. It's also the reason that Disney, and particularly Marvel Studios, have developed such a bad reputation over the years that people don't want to work with them. And it's probably also why Disney needed somebody to fall on the sword, and her name was Victoria Alonso.

Let me know your thoughts in the comments below. Make sure you

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INSANE COST of AVENGERS Infinity War & Endgame TRUTH REVEALED | What Disney REALLY SPENT