In this photo illustration, the Warner Bros. Discovery Channel logo is displayed on a smartphone screen.
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Warner Bros. Discovery It reported first-quarter results on Thursday, with both revenue and profit missing analysts’ expectations.
this is how Warner Bros. Discovery Channel Showcompared with estimates from analysts polled by LSEG:
- Loss per share: Expected loss of 40 cents vs 24 cents
- income: US$9.96 billion, expected US$10.231 billion
Warner Bros. Discovery owns the streaming service Max, a portfolio of cable networks including TNT and Discovery, and a movie studio.
Warner Bros. Discovery reported a net loss of $966 million, or 40 cents a share, an improvement from a loss of $1.07 billion, or 44 cents a share, a year earlier.
The company said total adjusted earnings before interest, taxes, depreciation and amortization fell about 20% to $2.1 billion in the first quarter, citing a sharp drop in revenue from its video game “Suicide Squad: Kill the Justice League.”
The company noted that its cash position improved, with free cash flow increasing to $390 million, an increase of $1.3 billion from the same period last year.
Warner Bros. Discovery Channel has been working to reduce its debt load, which currently stands at $43.2 billion due to the merger of Warner Bros. and Discovery in 2022. , and also announced a $1.75 billion cash tender aimed at further reducing debt.
In addition to paying down debt, Warner Bros. Discovery Channel has also been working to make its streaming business profitable.
The company announced Wednesday that it is combining its streaming service with disney – which combines Max, Disney+ and Hulu – and is available to consumers this summer, is a callback to traditional pay TV packages. Pricing has not yet been announced, but it will be discounted, according to CNBC.
Warner Bros. Discovery Channel said Thursday it added 2 million direct-to-consumer streaming subscribers in the quarter, bringing its total to 99.6 million.
The company said the segment’s adjusted revenue for the quarter was $86 million, an increase of $36 million from the same period last year.
This story is developing. Please check back for updates.
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