Streaming growth offsets broader declines as total revenue misses estimates by $490 million amid merger uncertainty.
Warner Bros Discovery’s streaming segment revenue climbed 10% year-over-year to $3 billion in Q2 2026, driven by international expansion and hit series. Adjusted EBITDA for the segment exceeded $500 million, though NBA rights losses trimmed 16 percentage points from ad growth.
Total revenue fell 11% to $8.72 billion, below the $9.21 billion analysts expected. Adjusted EBITDA dropped to $1.88 billion from $1.95 billion a year earlier, while net income plunged to $149 million, or $0.06 per share, from $1.58 billion.
The company cited upcoming titles like *Harry Potter* and *The Gilded Age* as catalysts for the second half, but legal challenges to its Paramount Skydance merger cloud the outlook.