Warner Bros. Discovery (WBD) reported its first quarterly report de la fuziunea de 43 de miliarde de dolari as the company battles consolidation challenges.
The media conglomerate swung to a $3.42 billion loss in the second quarter, partly due to obstacles related to its recent merger. The stock plummeted in after-hours trading, down as much as 9%.
Here are Warner Bros. Discovery second quarter results compared to Wall Street’s consensus estimates, as compiled by Bloomberg:
In total, the company said it ended the second quarter with 92.1 million subscribers across its streaming platforms, up about 1.7 million from the first quarter. It expects to see 130 million global streaming subscribers by 2025.
The leadership team doubled down on the importance of high content spend, explaining that reducing churn remains the number one factor amid increased competition.
CEO David Zaslav maintained that content spend will go up each year in the years to come.
The company estimated that EBITDA for global streaming will hit $1 billion by 2025 with the streaming business breaking even by 2024. It expects peak EBITDA loss in streaming by this year.
Zaslav added that the company is weighing a free, ad-supported streaming plan, too.
Still, despite the growth plans, analysts anticipate messy quarters to come as the streaming conglomerate works to integrate the two businesses, drive free cash flow, and deleverage its balance sheet.
Warner Bros. Discovery a spus anterior că se așteaptă să reducă Costuri în valoare de 3 miliarde de dolari în următorii doi ani și distribuiți aceste economii în conținut de streaming.
HBO Max, Discovery+ to merge into one service
Zaslav a oferit ceva mai multă claritate cu privire la viitorul HBO Max în timpul apelului pentru veniturile companiei. El a confirmat că serviciul de streaming se va combina cu Discovery+ pentru a fi o singură platformă, care va fi lansată în vara viitoare.
Între timp, cele două servicii vor împărtăși conținut. Compania a oferit o actualizare a programării sale înainte de anunț, dezvăluind că conținut selectat de la Magnolia Network de la Chip și Joanna Gaines va ajunge pe HBO Max în septembrie. Va rămâne disponibil și pe Discovery+.
În plus, CNN va primi propriul hub pe Discovery+, care va include seriale originale precum „Stanley Tucci: Searching for Italy” și „Anthony Bourdain: Parts Unknown”.
As the company looks to cut costs, the studio confirmed on Wednesday that two films slated for an HBO Max release — “Batgirl,” starring “In The Heights” star Leslie Grace, as well as “Scoob!: Holiday Haunt” — have been pulled.
Filmul DC Comics a fost aproape complet și a costat studioul a a raportat între 70 și 90 de milioane de dolari a produce.
“We’re not going to release any film until it’s ready,” Zaslav said on the earnings call, explaining that the studio has a 10-year focused plan on DC franchises and that the decision was part of a “strategic shift.”
“We can’t find an economic case for direct-to-streaming films,” the CEO continued, adding the emphasis “will always be on theatrical.”
As investors digest the recent cost-cutting headlines, critics were quick to point out the sky-high pay of CEO David Zaslav.
According to regulatory filings, Zaslav’s 2021 compensation package — which runs through the end of 2027 — jumped to a whopping $246 million, significantly higher compared to 2020 ($37.7 million) and 2019 ($45.8 million).
Alexandra este reporter senior de divertisment și alimentație la Yahoo Finance. Urmărește-o pe Twitter @ alliecanal8193 și e-mail-i la [e-mail protejat]
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Source: https://finance.yahoo.com/news/warner-bros-discovery-earnings-what-to-expect-amid-rumored-layoffs-hbo-max-rebrand-165928430.html