Warner Bros. Discovery Q4 Revenue Seen Down 6%; Paramount Raises Bid to $31
Analysts project Warner Bros. Discovery Q4 revenue of $9.38 billion versus $10.03 billion a year earlier and EPS of $0.03 improving from a $0.20 loss. Netflix bid $27.75 per share for film and HBO assets while Paramount Skydance boosted its all-cash offer to $31, including a $7 billion termination fee.
1. Q4 Earnings Forecast
Analysts expect Warner Bros. Discovery to report fourth-quarter revenue of $9.38 billion compared with $10.03 billion in last year’s period and EPS of $0.03 versus a $0.20 loss, continuing a streak of revenue shortfalls against estimates.
2. Competing Takeover Bids
Netflix has offered $27.75 per share for Warner’s film studios and HBO streaming segment, while Paramount Skydance raised its entire-company all-cash proposal to $31 per share, sweetened by a $7 billion regulatory termination fee.
3. Streaming Performance
The company ended Q3 with 128 million global streaming subscribers, up from 110.5 million a year ago, yet streaming revenue remained flat, making subscriber growth and ARPU trends key valuation metrics for bidders.
4. Regulatory Considerations
Paramount’s inclusion of a $7 billion termination fee and Warner’s potential $2.8 billion breakup cost to Netflix underscore significant antitrust and merger review risks that could reshape or delay any deal.