Warner Bros. Discovery reported a steep $2.92 billion loss for the first quarter of 2026, compared with a $453 million loss a year earlier.
This loss was primarily driven by a $2.8 billion termination fee paid to Netflix after Paramount Skydance outbid them for the acquisition of WBD. Paramount agreed to pay the termination fee as part of its agreement, but the cost shows on WBD’s books until the deal closes.
WBD shareholders approved the sale to Paramount last month and the deal is expected to close at the end of the third quarter.
WBD also reported a revenue that declined one percent to $8.89 billion, driven by a seven percent drop in advertising revenue to $1.85 billion, while distribution revenue remained flat at $4.91 billion. Content revenue, meanwhile, increased one percent to $1.89 billion.
Total streaming revenue was up 9 percent to about $2.89 billion, thanks to the expansion of HBO Max in international markets.
Leave A Comment