Warner Bros. Discovery Adds 6.7 Million Q2 Streaming Subscribers, Tops 103 Million Globally
August 7, 2024
Warner Bros. Discovery’s direct-to-consumer platforms added 6.7 million subscribers in the second quarter (ended June 30) to end the fiscal period with 103.3 million subs, compared with 96.6 million in the previous-year period. The tally was up 3.6 million subs at the end the first quarter (ended March 31).
The DTC business includes the Max, Discovery+, HBO, and related distribution channels worldwide.
Total DTC revenue declined 6% to $2.56 billion, from $2.73 billion in the prior year period. The drop was primarily due to a 70% drop in content distribution revenue driven by a lower volume of third-party licensing deals.
The operating loss increased to $107 million compared to an operating loss of $3 million in the prior-year period.
Streaming service distribution revenue increased 1% due to a 7% increase in subscribers following the launch of Max in Latin America in Q1 and in Europe in Q2, partially offset by continued domestic linear television subscriber declines.
Advertising revenue increased 99% driven by higher domestic Max engagement and ad-lite subscriber growth. Global average revenue per user increased 4% to $8, driven by the growth of the ad-tier domestically along with a continued subscriber shift from linear TV to other distribution channels, partially offset by growth in lower ARPU international markets.
“Our top priority is our global direct-to-consumer business and
we are extremely pleased with the growing momentum we are seeing,” WBD CEO David Zaslav said in a statement.
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