Warner Bros. Discovery reported that its streaming revenues saw significant growth in the second quarter. The revenue from this segment, based on the HBO Max platform, exceeded $3 billion, marking a 10% increase compared to the same period last year. The adjusted EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) stood at over $500 million.
The company noted that the positive results were driven by HBO Max's entry into new markets and the successful releases of popular projects such as 'Euphoria,' 'House of the Dragon,' and 'The Pitt.' Streaming advertising revenues grew by 9% due to an increase in subscribers to the main pricing plan. However, the loss of broadcasting rights for NBA games, excluding currency fluctuations, reduced the growth rate by 16%.
At the same time, Warner Bros. Discovery's total revenue decreased by 11% during the quarter, amounting to $8.72 billion, which did not meet expectations. The company's net profit fell to $149 million compared to $1.58 billion a year earlier, primarily due to restructuring costs.
The financial results were released amid significant attention surrounding the proposed merger with Paramount Skydance. In May, Paramount's CEO David Ellison announced plans to combine the HBO Max and Paramount+ platforms into a single service that could reach around 200 million subscribers worldwide.
The deal has faced criticism from lawmakers due to potential antitrust risks, and court hearings regarding the state attorneys general's lawsuit are scheduled for March. Meanwhile, Ellison emphasized that the HBO brand would be retained, asserting that HBO must remain HBO.
