The numbers
$9.5 billion—Warner Bros. Discovery’s total revenues in Q4. Total revenue for fiscal 2025 was $37.3 billion, a 5% decrese.
-9%—Ad revenues decline, as ad-lite streaming subscriber growth was more than offset by domestic linear audience declines. The loss of the NBA negatively impacted the growth rate by 4%.
-10%—Content revenues decrease, driven by lower content sales due to the timing of renewals at the studios and global linear networks segments.
131.6 million—WBD’s total streaming subscribers across HBO Max and Discovery+, an increase of 3.5 million from Q3. However, WBD said Q4 2025 was also the final quarter it would consistently report subs.
The watercooler talk
WBD gave a little insight into the company’s upcoming sale during a Q4 earnings call on Thursday. In a letter to shareholders, WBD noted that, while its merger with Netflix “remains in effect” and the company’s board “continues to recommend the Netflix transaction,” a recent updated proposal from Paramount Skydance could lead to a “Company Superior Proposal” as defined in the Netflix Merger Agreement.
During the call, WBD CEO David Zaslav also said that, due to a competitive merger process, the company has continually raised its value. WBD’s stock was around $12 in Sept. 2025 and is now sitting at around $29. Zaslav said there’s been a more than 60% increase in value since the first offer was received. The CEO added that any deal would focus on maximizing value and minimizing downside risk. In addition, the company’s board is continuing to lead a “rigorously highly competitive” sales process.
Though Paramount recently raised its proposal from an all-cash offer of $30 per share to $31 per share, WBD is still recommending Netflix’s bid for now. Netflix’s bid was revised in January to an all-cash offer of $72 billion, or $27.75 per WBD share.
The key quote
“There can be no assurance that the board will conclude that the transaction proposed by [Paramount Skydance] is superior to the merger with Netflix or that any definitive agreement or transaction will result from Warner Bros. Discovery’s discussions with [Paramount Skydance]. The board remains committed to maximizing shareholder value and certainty while mitigating downside risks, and the board will evaluate any proposal against that standard with the objective of delivering the best deal for our shareholders.” — WBD letter to shareholders
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