Warner Bros Discovery Q1 revenue comes largely in line with expectations on streaming, studios growth

Warner Bros Discovery

06/05/2026 21:12

Overview

Media and entertainment giant's Q1 revenue declined 3% yr/yr, largely meeting analyst expectations

Adjusted EBITDA for Q1 was relatively unchanged from prior year

Company's net loss widened to $2.9 bln, reflecting acquisition-related amortization and restructuring

Outlook

Company did not provide specific guidance or outlook for future quarters or full yr

Result Drivers

LINEAR NETWORKS WEAKNESS - Co said revenue decline was mainly due to lower advertising and distribution revenues in Global Linear Networks, impacted by absence of NBA programming and continued decline in domestic linear pay TV subscribers

STUDIOS SEGMENT GROWTH - Studios segment revenue increased, driven by higher intercompany content licensing and expansion of HBO Max in international markets

STREAMING EXPANSION - Streaming segment saw revenue growth from expansion in existing and new markets, though content revenue declined due to timing of third-party licensing deals

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Revenue
Meet
$8.89 bln
$8.90 bln (15 Analysts)

Analyst Coverage

The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 2 "strong buy" or "buy", 18 "hold" and 2 "sell" or "strong sell"

The average consensus recommendation for the broadcasting peer group is "buy."

Wall Street's median 12-month price target for Warner Bros Discovery Inc is $30.00, about 10.2% above its May 5 closing price of $27.22

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)