Core Insights - Warner Bros. Discovery (WBD) added 6.4 million global streaming subscribers in Q4, reaching a total of 116.9 million subscribers [1] - The streaming segment revenue for Q4 was $2.65 billion, a 5% increase from $2.53 billion in the same quarter last year [2] - The company forecasts adjusted EBITDA of $1.3 billion for its streaming business in 2025, aiming for 150 million global subscribers by the end of 2026 [3] Financial Performance - WBD's overall Q4 revenue decreased by 2% to $10.03 billion from $10.28 billion in Q4 2023 [5] - Full-year 2024 revenue was $39.32 billion, down 5% from $41.32 billion in 2023 [5] - The net loss for Q4 2024 was $494 million, compared to a net loss of $400 million in Q4 2023 [5] Segment Performance - TV networks revenue for Q4 was $4.77 billion, down from $5.04 billion in the previous year [6] - The studios business saw a revenue increase of 15% in Q4, totaling $3.66 billion compared to $3.17 billion in Q4 2023 [7] - The company anticipates further declines in cable subscribers and a faster-than-expected shrinking of the advertising market for U.S. linear television [6] Strategic Developments - Max will retain B/R Sports and CNN content at no additional cost for standard and premium subscribers, but will remove these from the basic ad-supported tier starting March 30 [4] - Max is set to launch on Sky in the UK and Ireland by Q2 2026, and in Germany and Italy by Q1 2026 [3]

Core Insights - Warner Bros. Discovery (WBD) is implementing a "disciplined" sports strategy to address ongoing declines in pay-TV subscriptions, emphasizing a creative response to the changing landscape [1][3] - The company reported mixed financial results for the fourth quarter, with a 2% revenue decline and an 11% drop in adjusted EBITDA, although the streaming segment gained 6.4 million subscribers [1] Financial Performance - Revenue decreased by 2% and adjusted EBITDA fell by 11% in the fourth quarter [1] - The streaming business added 6.4 million subscribers, indicating growth in that segment despite overall revenue decline [1] Sports Strategy - WBD will relinquish NBA broadcasting rights on TNT after the current season, marking the end of a long-standing relationship, while entering a more efficient long-term partnership with the league [2] - The company will retain some international rights and continue producing "Inside the NBA," which will also be licensed to ESPN in the U.S. [2] Market Challenges - The U.S. linear television advertising market has deteriorated more rapidly than anticipated, impacting the company's financial results [3] - The company acknowledges ongoing pay-TV declines and the challenges in forecasting advertising revenue due to reduced subscribers and pressure on linear viewership [4] Strategic Restructuring - In late 2024, WBD restructured its operations from three divisions to two, focusing on Global Linear Networks and Streaming & Studios, which has led to speculation about potential mergers and acquisitions [4] - The restructuring aims to enhance cash generation potential amid declining linear assets, following similar moves by Comcast [4]

Financial Performance - Total revenues for Q4 2024 were $10.0 billion, a 1% decrease ex-FX compared to the prior year quarter[5] - Adjusted EBITDA for Q4 2024 was $2.7 billion, an 11% increase ex-FX compared to the prior year quarter[5] - Net income available to Warner Bros. Discovery, Inc. was $(0.5) billion for Q4 2024, reflecting a 24% increase in loss compared to the prior year[5] - Total revenues for FY 2024 were $39.3 billion, a 4% decrease ex-FX compared to the prior year[5] - Free cash flow for FY 2024 was $4.4 billion, a decrease of 28% compared to the prior year[5] - Net loss for the twelve months ended December 31, 2024, was $11,482 million, compared to a net loss of $3,079 million for the same period in 2023, representing an increase in losses of 273%[31] - Adjusted EBITDA for the twelve months ended December 31, 2024, was $9,032 million, down from $10,200 million in 2023, a decrease of approximately 11.5%[34] - Cash provided by operating activities for 2024 was $5,375 million, a decrease from $7,477 million in 2023, reflecting a decline of about 28.1%[31] Subscriber Metrics - Global DTC subscribers reached 116.9 million, an increase of 6.4 million subscribers from Q3 2024[14] - DTC revenues increased 6% ex-FX to $2,651 million compared to the prior year quarter, with subscriber-related revenues up 10% ex-FX[15] - Global DTC ARPU decreased 5% ex-FX to $7.44, influenced by growth in lower ARPU international markets and ad-tier subscriber growth[15] - The aggregate number of Core DTC Subscriptions is referred to as "subscribers," with multiple subscriptions counted individually[44] - Domestic subscribers are defined as those based in the United States or Canada, while international subscribers are based outside these regions[46] Revenue Breakdown - Advertising revenues decreased by 11% ex-FX in Q4 2024, primarily due to declines in domestic linear audience[5] - Content revenues for Q4 2024 were relatively unchanged, while distribution revenues increased by 2% ex-FX[5] - Distribution revenue rose 8% ex-FX, driven by a 20% increase in subscribers and higher pricing following the launch of Max in Latin America and Europe[15] - Advertising revenue increased 27% ex-FX, primarily due to a rise in ad-lite subscribers[15] - Content revenue decreased 40% ex-FX, attributed to fewer third-party licensing deals[15] Expenses and Cash Flow - DTC operating expenses decreased 13% ex-FX to $2,242 million compared to the prior year quarter[15] - Free cash flow decreased to $2,429 million from $3,310 million, primarily due to higher net content investment[20] Debt and Assets - As of December 31, 2024, the company had $5.4 billion in cash on hand and $40.0 billion in gross debt, with a net leverage of 3.8x[19] - Total assets decreased from $122,757 million in December 2023 to $104,560 million in December 2024, a decline of approximately 14.8%[29] - The current portion of debt increased from $1,780 million in December 2023 to $2,748 million in December 2024, an increase of 54.4%[29] - Goodwill decreased significantly from $34,969 million in December 2023 to $25,667 million in December 2024, a reduction of approximately 26.6%[29] - Total liabilities decreased from $76,285 million in December 2023 to $69,622 million in December 2024, a decline of about 8.7%[29] - Cash, cash equivalents, and restricted cash increased from $4,319 million at the end of 2023 to $5,416 million at the end of 2024, an increase of approximately 25.5%[31] - The company reported a net debt of $34.6 billion, calculated by subtracting cash and cash equivalents of $5.4 billion from gross debt of $40.0 billion[47] - Gross debt is defined as total debt of $39.5 billion plus finance leases of $463 million, totaling $40.0 billion[52] Financial Definitions and Metrics - The company defines subscriber-related revenues as the sum of distribution and advertising revenues in the DTC segment, which are crucial for monitoring streaming revenue performance[49] - The DTC Average Revenue Per User (ARPU) is calculated as total subscription revenue plus net advertising revenue divided by the daily average number of paying subscribers[50] - The company excludes certain revenues and subscribers from the ARPU calculation, including those from non-strategic partnerships and free trial users who convert to subscriptions[51] - The company aims to analyze operating performance by excluding revenues from the AT&T SportsNet business, allowing for a clearer view of ongoing operations[48] - The company emphasizes the importance of net leverage, calculated as net debt divided by the sum of the most recent four quarters Adjusted EBITDA of $9.032 million[53] - The company provides detailed reconciliations of net leverage and other financial measures on its investor relations website[54]

Warner Bros. Discovery (WBD) is slated to report fourth-quarter 2024 results on Feb. 27.The Zacks Consensus Estimate for loss has narrowed by a penny to 10 cents per share in the past 30 days. The consensus mark for revenues is pegged at $10.37 billion, indicating 0.81% growth year over year.Find the latest EPS estimates and surprises on Zacks Earnings Calendar.WBD’s earnings beat the Zacks Consensus Estimate once in the last four quarters and missed thrice, delivering an average negative surprise of 525.45 ...

The upcoming report from Warner Bros. Discovery (WBD) is expected to reveal quarterly earnings of $0.10 per share, indicating an increase of 162.5% compared to the year-ago period. Analysts forecast revenues of $10.37 billion, representing an increase of 0.8% year over year.The current level reflects a downward revision of 32% in the consensus EPS estimate for the quarter over the past 30 days. This demonstrates how the analysts covering the stock have collectively reappraised their initial projections over ...

The most recent trading session ended with Warner Bros. Discovery (WBD) standing at $11.04, reflecting a +1.38% shift from the previouse trading day's closing. This move outpaced the S&P 500's daily loss of 0.43%. Meanwhile, the Dow lost 1.01%, and the Nasdaq, a tech-heavy index, lost 0.47%.Prior to today's trading, shares of the operator of cable TV channels such as TLC and Animal Planet had gained 8.36% over the past month. This has lagged the Consumer Discretionary sector's gain of 14.82% and outpaced th ...

Warner Bros. Discovery (WBD) is expected to deliver a year-over-year increase in earnings on higher revenues when it reports results for the quarter ended December 2024. This widely-known consensus outlook gives a good sense of the company's earnings picture, but how the actual results compare to these estimates is a powerful factor that could impact its near-term stock price.The earnings report, which is expected to be released on February 27, 2025, might help the stock move higher if these key numbers are ...

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NEW YORK, Jan. 23, 2025 (GLOBE NEWSWIRE) -- WHY: Rosen Law Firm, a global investor rights law firm, reminds purchasers of securities of Warner Bros. Discovery, Inc. (NASDAQ: WBD) between February 23, 2024 and August 7, 2024, both dates inclusive (the “Class Period”), of the important January 24, 2025 lead plaintiff deadline. SO WHAT: If you purchased WBD securities during the Class Period you may be entitled to compensation without payment of any out of pocket fees or costs through a contingency fee arrang ...