WBD Earnings Rise on Streaming Gains
Warner Bros. Discovery (NASDAQ:WBD), the media and entertainment company behind HBO, CNN, and major film studios, released its second quarter earnings for fiscal 2025 on August 7, 2025. GAAP revenue was $9.81 billion in Q2 2025, slightly exceeding analyst expectations of $9.77 billion (GAAP) and growing by 1% compared to Q2 2024. Reported net income was $1.6 billion, reversing a large loss from the previous year, but this included a one-time $3.0 billion pre-tax gain from debt extinguishment. Adjusted EBITDA, which strips out interest, taxes, depreciation, amortization, and certain one-off items, was $2.0 billion, up 9% from Q2 2024. The quarter showed ongoing strength in streaming and Studios, but was challenged by declining linear TV revenue and a sharp drop in free cash flow. Overall, the period highlighted progress towards a direct-to-consumer and Studios-driven strategy, while underscoring persistent pressure in legacy segments and monetization challenges in streaming.
Source: Analyst estimates for the quarter provided by FactSet.
Warner Bros. Discovery operates a global portfolio spanning entertainment networks, streaming services, and film and television studios. Its brands include news networks, premium scripted and unscripted programming, and well-known franchises such as Harry Potter, DC Comics, and HBO. The company's competitive edge lies in content creation, owning a vast library of intellectual property, and its ability to distribute this content across multiple platforms, from traditional TV to streaming and theatrical releases.
Source Fool.com
