Warner Bros. Discovery Takes Loss in Q4 2024, Expects Massive Growth of Streaming Segment

Warner Bros. Discovery disappointed in latest fourth-quarter report. The only bright spot in the statement was WBD’s streaming group.

In the last quarter of 2024, WBD revenue came in at $10.03 billion, a 2% fall compared to the same period the year before. Analysts were looking for $10.19 billion. Net loss in the quarter was $494 million. For the entire year, revenue for the entertainment behemoth dropped 5% to $39.32 billion.

Revenue for Warner Bros. Discovery’s TV networks decreased in the quarter. Down from $5.04 billion, this segment reported income of $4.77 billion year over year. According to WBD leadership, cable subscribers and advertising revenue in the U.S. market will continue a downward slide for the foreseeable future.

Meanwhile, WBD’s movie studios unit fared better in the last quarter. Total revenue was $3.66 billion, surpassing 2023’s fourth quarter figure of $3.17 billion.

“We are laser-focused on getting our studios back to a place of industry leadership,” said CEO David Zaslav, per CNBC.

Warner Bros. Discovery Streaming Services

While the overall financials were down for Q4 2024, WBD’s streaming services segment did manage to make a profit. Led by the company’s Max streaming network, revenue increased 5% to $2.65 billion, significantly better than the $2.53 billion reported in 2023’s fourth quarter. Adjusted EBITDA (earnings before interest, taxes, depreciation, and amortization) for the streaming group reached $409 million, crushing Q4 2023’s EBITDA loss of $55 million.

“In this generational media disruption, only the global streamers will survive and prosper, and Max is just that,” stated Zaslav.

Warner Bros. Discovery reported a substantial boost in streaming subscribers in the fourth quarter. Of the total 116.9 million customers, 6.4 million were added in the three-month period that ended Dec. 31. The media company said it is on track to reach 150 million subscribers before 2026 ends.

The strong growth of WBD’s streaming segment is nearly in line with competitors. In January, Netflix reported revenue of $10.2 billion, a 16% jump, in the fourth quarter of 2024. The top streamer also added 19 million new subscribers in the period, bringing its total to 302 million.