Investors, fans and the Hollywood elite are all eagerly awaiting the first earnings report of Warner Bros. Discovery, the company formed in April this year with the merger of the media assets of Warner Bros. and Discovery. The merger gave the newly formed company major television media assets such as CNN, Cartoon Network, Food Network, Turner Classic Movies, as well as all of Warner Bros’ iconic IPs, including Batman and the rest of the DC Universe.
But the merger also gave Warner Bros. ownership of one of the latest streaming services: HBO Max. And it’s primarily the service that has investors and insiders eagerly awaiting the company’s first quarter results and, with them, hints at what changes Warner Bros.
Why all the fuss?
The drama started earlier this week when Warner Bros. announced it was closing $90 million bat girl The film, which was shot in its entirety and is set for HBO Max debut later this year. The news of the film’s shelving was even more surprising as it featured an all-star cast including rising Hollywood actress Leslie Grace and Hollywood icon Michael Keaton, reprising his iconic role of Batman for the first time in more than 30 years. Additionally, Warner announced that it is shelving an upcoming animated film. Scoob! holiday huntBased on the Scooby Doo franchise.
Warner Bros. surprisingly revealed the reason for the ax bat girl The film was what the studio wanted the DC brand to be about for all major theatrical release from here on out – so the direct-to-streaming superhero film now had to go. Although, Diversity reports That’s the real reason why Warner Bros. could take a sizable tax exemption for the Discovery film, which aligns well with Warner Bros. Discovery CEO David Zaslav aspires to cut costs in the new company.
but the ax bat girl And Zaslav’s campaign to cut costs has made industry watchers fear the worst news may yet come for the HBO Max streaming service. as wrap reportsZaslav is set to announce a major restructuring for HBO Max, shortly after Warner Bros. has announced Discovery’s first quarter results. As the publication notes, “the move resulted in significant layoffs for its executives and employees to reduce redundancy with HBO Max, HBO, and a joint streaming service with Discovery+ to operate scripted and unscripted content.” There will be a hard line separation between.”
if that’s the case, bat girl And Scoob! It could be a sign of other seismic changes yet to come. Warner Bros. Discovery stock (WBD) closed yesterday at $16.71, up 4.44% for the day. Analysts expect the company to announce quarterly revenue of between $11.13 billion and $12.41 billion. We’ll find out just how accurate they are today—and what the future holds for HBO Max.
We will update this post once the news comes out.