Warner Bros. Discovery (WBD) recently shared its third-quarter results for 2024. And how interesting is the fact that Warner Bros Discovery is one of the most powerful film studios in the world but they have been saved by OTT.
Yes.
Between July and September, WBD’s combined streaming services i.e. HBO, Max, and Discovery+ hit over 110 million global subscribers. However, box office numbers were down 40% compared to last year, which had the blockbuster Barbie.
Streaming did well, with direct-to-consumer sales up by 9%, totalling $2.6 billion. Distribution revenue grew 8%, and ad sales jumped by 51%, though content revenue saw an 11% drop. Highlights included House of the Dragon’s second season, Olympics coverage, and Discovery’s Shark Week. CEO David Zaslav remains optimistic, saying WBD is on track to exceed its $1 billion streaming profit target for 2025.
WBD also plans to start addressing password sharing on Max later this year, a move JB Perrette, head of streaming, called a “soft messaging” strategy.
Overall, WBD managed to beat Wall Street’s expectations with earnings per share of 5 cents on $9.6 billion in revenue. Zaslav emphasized the company’s focus on global expansion and partnerships, including a new deal with Charter Communications, to strengthen WBD’s presence in a changing entertainment landscape.