Warner Bros. Discovery (WBD) delivered third‑quarter 2025 results that show diverging performance across its linear and direct‑to‑consumer businesses. In its investor release, the company reported total revenues of $9.0 billion, down 6 % ex‑foreign exchange from the prior year quarter, with distribution revenues decreasing 4 % and advertising revenues dropping 17 %. The net loss available to shareholders was $148 million, which includes $1.3 billion of pre‑tax acquisition‑related amortization and restructuring costs. The group generated $2.5 billion in Adjusted EBITDA—up 2 % ex‑FX—and delivered $1.0 billion in operating cash flow and $0.7 billion in free cash flow, while repaying $1.2 billion of debt during the quarter, ending with $4.3 billion in cash on a gross debt base of $34.5 billion (net leverage 3.3x).
On the streaming front, WBD announced a global direct‑to‑consumer subscriber base of 128 million—a gain of 2.3 million in the quarter and 16 % year‑on‑year—while streaming‑related adjusted EBITDA rose 24 %. The company attributed the growth to its rollout of HBO Max in more than 100 markets and strong uptake in newer regions such as Australia, ahead of planned launches in Italy, Germany, the UK and Ireland. WBD said the streaming offering is centred on premium drama, pay‑one movies and local‑language originals.
In its shareholder letter, WBD highlighted the milestone and said it remains on track for further global expansion. The company noted that linear TV decline and ad‑revenue pressure are offset by streaming growth, but reaffirmed that near‑term distribution revenue growth is expected to be low single‑digit, with re‑acceleration anticipated in the first half of 2026 as European expansion, password‑sharing enforcement and a recent U.S. price rise take effect.
These figures underscore a pivotal moment for Warner Bros. Discovery. While traditional businesses continue to decline, the streaming units are gaining scale and margin improvement. For investors and partners, the streaming growth validates the company’s transformation strategy, though the broader results reflect ongoing pressure in the legacy segments.