Warner Bros Discovery reports 94.9m subs, brings forward unified streamer rollout date

Warner Bros Discovery has reported total revenues of $9.8bn for Q3 2002, down 8% compared to the prior year. As the company slogs its way through a massive restructuring exercise, it also posted a net loss of $2.3bn. With the ultimate goal of being a streamer-first business, the company reported 94.9 million global direct to consumer subscribers, an increase of 2.8 million compared to the end of Q2.

David Zaslav

Despite the internal ructions caused by the company’s restructuring, David Zaslav, president and CEO of Warner Bros. Discovery, said, “We have one of the strongest portfolio of assets and IP across sports, news, and entertainment, and the best leadership team in media executing against the right strategy and financial framework to drive profitability, generate meaningful shareholder value, and ultimately position us for long-term success. We are reimagining and transforming the organisation for the future, and making progress on our combined DTC product. While there are some difficult decisions still to be made, we have total conviction in the opportunity ahead.”

Launch brought forward

Zaslav sought to sweeten the Q3 update for markets with a couple of upbeat pieces of news.

Firstly, he said, the company has increased its efficiency target as a result of the merger from $3bn to $3.5bn. Secondly, he said the company is on target to bring forward the launch of its unified global streaming platform to spring 2023.

While there is no news yet on what the eventual streamer will be called, WBD execs used their results earning call to provide a few indications about the eventual service.

WBD CEO, global streaming and interactive, JB Perrette said the enhanced service will almost certainly cost more than its current $15 per month (subject to local promotions and discounts). There is also likely to be a great emphasis on generating ad revenue through a lower-cost hybrid tier. Echoing the approach at Marvel, the turbo-charged service will place renewed focus on franchises like DC and Harry Potter.