Warner Bros Discovery Inc (NASDAQ:WBD) Q3 2025 Earnings Miss Estimates

Warner Bros Discovery Inc (NASDAQ:WBD) reported its third-quarter 2025 financial results, revealing a performance that fell short of Wall Street's expectations on key top and bottom-line metrics. The earnings release arrives amid significant corporate news, including reports that the parent company of HBO and CNN is exploring a potential sale, adding a layer of strategic uncertainty for investors.

Earnings Versus Estimates

The company's financial results for the quarter ended September 30, 2025, did not meet the forecasts set by financial analysts. The primary points of concern stem from both revenue generation and profitability.

• Revenue: The company reported revenue of $9.05 billion, which came in below the analyst consensus estimate of $9.24 billion.
• Earnings Per Share (EPS): The non-GAAP earnings per share was reported at -$0.06, a steeper loss than the estimated -$0.04.

This dual miss indicates challenges in both driving sales and controlling costs relative to market expectations. The revenue shortfall suggests that the company's diverse portfolio of content and streaming services may be facing stiffer competition or weaker consumer demand than anticipated.

Market Reaction and Price Action

The market's immediate response to the earnings report has been negative, reflecting investor disappointment with the results. The pre-market trading session shows a clear downward trend as participants digest the figures. The recent positive performance over the past month appears to have been overshadowed by the quarterly miss, indicating that the earnings release was a significant catalyst that failed to meet the market's built-up expectations.

• Pre-Market Performance: -1.21%
• Recent Performance: The stock had seen gains over the past month (+27.22%) and two weeks (+10.86%), but this positive momentum has been halted by the earnings news.

Summary of Press Release

The primary takeaway from the official press release is the announcement of the third-quarter 2025 financial results. The company has directed investors to its Investor Relations website for the complete suite of earnings materials, which typically includes a detailed financial presentation and supplemental data. The release itself, as provided, serves as a formal announcement of the results without delving into a detailed executive commentary or providing a specific financial outlook for the coming quarters.

Looking Ahead

While the press release did not offer a company-provided outlook, analyst estimates for the future provide a benchmark for investor expectations. For the crucial fourth quarter, analysts are projecting revenue of $9.62 billion and an improvement in earnings per share, estimated at -$0.05. For the full 2025 year, the sales estimate stands at $37.91 billion. The company's ability to meet or exceed these future estimates will be critical in rebuilding investor confidence, especially against the backdrop of reported sale discussions.

For a more detailed breakdown of historical earnings and future analyst estimates for Warner Bros Discovery, you can review the data here.

Disclaimer: This article is for informational purposes only and is not intended as investment advice. All investment decisions involve risk, and readers should conduct their own research before making any financial decisions.