Warner Bros. Discovery (WBD) reported third-quarter 2024 earnings of 5 cents per share, significantly higher than the Zacks Consensus Estimate of a loss of 7 cents. The company had incurred a loss of 17 cents in the year-ago quarter. Revenues decreased 6.2% year over year to $9.62 billion, which missed the Zacks Consensus Estimate by 3.4%.Advertising revenues decreased 6.4% year over year to $1.68 billion. Distribution revenues dropped 2.1% year over year to $4.92 billion. Content revenues declined 4.1% yea ...

Financial Data and Key Metrics Changes - The company has paid down more than $16 billion in debt, with expectations for strong cash generation in the upcoming quarter [9] - Direct-To-Consumer (D2C) revenue reached $2.6 billion, up 9% year-over-year, while EBITDA increased by over 175% year-over-year to $290 million [17] - Free cash flow generated was approximately $630 million, reflecting a year-over-year decline of nearly $1.4 billion due to higher net cash content spend [57] Business Line Data and Key Metrics Changes - The Direct-To-Consumer segment saw significant growth, adding 7.2 million subscribers in Q3 alone, totaling over 110 million subscribers globally [16] - The Networks business continues to be a core part of the company, with a renewal agreement with Charter Communications indicating ongoing value [24][25] - The Studios business is experiencing challenges, with a focus on improving consistency and performance, particularly in the Motion Picture segment [28][29] Market Data and Key Metrics Changes - Internationally, the D2C segment is expanding, with Max launching in 65 markets and plans for further expansion in Southeast Asia and Australia [21] - The company is seeing strong demand for its content, particularly in international markets, which is driving subscriber growth [20][22] Company Strategy and Development Direction - The company is focused on three strategic areas: deploying Max globally, optimizing the Networks business, and returning Studios to industry leadership [14] - Investments in new technologies, platforms, and creative talent are aimed at accelerating growth and enhancing shareholder value [11][12] - The company believes its content will provide a competitive advantage and is committed to achieving a target of $1 billion in EBITDA by 2025 [22] Management's Comments on Operating Environment and Future Outlook - Management acknowledges the generational disruption in the industry, presenting both challenges and opportunities [34] - There is confidence in the ongoing growth of the D2C segment, with expectations for continued revenue and subscriber growth [35] - The company is committed to improving performance across all segments and enhancing shareholder value [60] Other Important Information - The company is actively evaluating content licensing strategies to maximize revenue and support the growth of its D2C product [54][56] - The company anticipates improved profit results for its Studios in Q4, driven by a successful quarter for Warner Bros TV [52] Q&A Session Summary Question: Opportunities for DTC subscriber acquisition and EBITDA expectations - Management discussed the balance between investments in subscriber acquisition and the expectation for DTC EBITDA to exceed $1 billion in 2025, highlighting growth in established markets [61][64] Question: Discussions with distributors and studio approach - Management confirmed ongoing discussions with other distributors regarding innovative deal structures similar to the Charter agreement, emphasizing the long-term potential of the Studio business [75][80] Question: US subscriber growth and international partnerships - Management noted that the US subscriber growth is impacted by price-sensitive households and highlighted the importance of partnerships and bundling strategies to drive growth [84][90] Question: Confidence in cable network renewals - Management expressed confidence in upcoming renewals with Comcast, citing the value of unique content and successful past collaborations [99][100] Question: M&A and asset sales/spins - Management reiterated the focus on enhancing shareholder value and acknowledged the potential for industry consolidation, while not providing specific details on asset sales or acquisitions [103][106]

For the quarter ended September 2024, Warner Bros. Discovery (WBD) reported revenue of $9.62 billion, down 3.6% over the same period last year. EPS came in at $0.05, compared to -$0.17 in the year-ago quarter.The reported revenue represents a surprise of -2.77% over the Zacks Consensus Estimate of $9.9 billion. With the consensus EPS estimate being -$0.07, the EPS surprise was +171.43%.While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations t ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2024 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number: 001-34177 | --- | --- | --- | --- | |------------------------------------------------------------------------------------------------|---- ...

Warner Bros. Discovery (WBD) came out with quarterly earnings of $0.05 per share, beating the Zacks Consensus Estimate of a loss of $0.07 per share. This compares to loss of $0.17 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 171.43%. A quarter ago, it was expected that this operator of cable TV channels such as TLC and Animal Planet would post a loss of $0.18 per share when it actually produced a loss of $4.07, delivering a ...

Core Insights - Warner Bros. Discovery's streaming platform Max achieved its largest quarterly growth, adding 7.2 million global subscribers in Q3, bringing the total to 110.5 million as of September 30 [1] - The streaming business has become a key growth area for Warner Bros. Discovery amid challenges in traditional TV networks, which faced a $9.1 billion write down last quarter due to cord cutting and a weak advertising market [2] Financial Performance - Warner Bros. Discovery reported a 4% decrease in revenue to $9.62 billion compared to the same period last year, with adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) down 19% to $2.41 billion [3] - Revenue from TV networks rose 3% to $5.01 billion, despite declines in distribution and advertising revenue [4] - The studios segment saw a 17% drop in revenue to $2.68 billion, with theatrical revenue falling 40% due to weaker box office performances of certain films compared to last year [4] Streaming Business Highlights - The streaming segment's revenue increased by 8% to $2.63 billion, driven by a rise in global subscribers, higher advertising revenue, and increased average revenue per user [5] - Adjusted EBITDA for the streaming segment was $289 million, reflecting an increase of $178 million compared to the previous year [5]

Q3 2024 Earnings Press Release | November 7, 2024 Warner Bros. Discovery, Inc. Reports Third Quarter 2024 Earnings Results Warner Bros. Discovery's Q3 results demonstrate once again that while we continue to confront extraordinary disruption in our environment, the strategy we have undertaken to ready Warner Bros. Discovery for future success is showing important results. Thanks to our rapid international expansion and continued investment in high quality, diverse content, we saw momentum accelerate in our ...

Warner Bros. Discovery (WBD) is slated to report third-quarter 2024 results on Nov. 7.The Zacks Consensus Estimate for loss has widened by a penny to 5 cents per share in the past 30 days. The consensus mark for revenues is pegged at $9.98 billion, indicating no change year over year.Find the latest EPS estimates and surprises on Zacks Earnings Calendar.Let’s see how things have shaped up for this announcement.Factors to ConsiderSeveral fundamental challenges are expected to have influenced Warner Bros. Dis ...

Warner Bros. Discovery, Inc. (NASDAQ: WBD ) has demonstrated resilience in the streaming market, with steady growth in subscribers and ARPU (average revenue per user) pointing to its adaptability in a competitive landscape. This stable growth and attractive valuation metrics suggest potential Yiannis Zourmpanos, founder of Yiazou IQ, an AI-driven stock research platform providing all-in-one stock reports. Experience: Previously worked at Deloitte and KPMG in external/internal auditing and consulting. Educat ...

Warner Bros. Discovery (WBD) is one of the stocks most watched by Zacks.com visitors lately. So, it might be a good idea to review some of the factors that might affect the near-term performance of the stock.Shares of this operator of cable TV channels such as TLC and Animal Planet have returned -5.1% over the past month versus the Zacks S&P 500 composite's +4.5% change. The Zacks Broadcast Radio and Television industry, to which Warner Bros. Discovery belongs, has gained 8.4% over this period. Now the key ...