Warner Bros. Discovery reported $1.58 billion net income for shareholders in the second quarter of 2025, including a gain of about $3.0 billion on retired debt

Written by Claude Sonnet 5.5, an AI model, from public records. Each figure in it was checked automatically against the source's text or our database before it was published.

Warner Bros. Discovery reported net income of $1.58 billion attributable to its shareholders for the quarter ended Jun 30, 2025, against a net loss of $9.99 billion a year earlier. That was $0.63 a share on a diluted basis, against a loss of $4.07 a share. The figures came from its Form 10-Q, the quarterly report a US-listed company files with the SEC, filed on Aug 7, 2025. Revenue was $9.81 billion, up 1.0% from $9.71 billion, while operating income was a loss of $185 million, against an operating loss of $10.21 billion a year earlier.1^,2^,3^,4^,5^,6^,7^,8^,9^,10^,11

The profit sat below the operating line. In June 2025 the company completed tender offers through its subsidiaries, which are offers to buy back debt, purchasing notes and debentures with a principal amount of $17.7 billion and recording a gain on extinguishment of debt of about $3.0 billion. A subsidiary, WarnerMedia Holdings, drew $17.0 billion of a bridge loan facility to fund the early settlement of the tender offers, the repayment of a $1.5 billion term loan, and fees and expenses. Income before income taxes was $2.454 billion, and income tax was an expense of $866 million, against a $7 million benefit a year earlier. A year earlier the quarter carried $9.395 billion of impairments and loss on dispositions, and the company said it recorded a non-cash goodwill impairment charge of $9.1 billion in 2024.12^,13^,14^,15^,16^,17

Games revenue fell 14% in the quarter at constant currency (ex-FX, which strips out exchange-rate moves), which the company attributed to no game releases in 2025. For the six months ended Jun 30, 2025, games revenue was down 34% on the same basis, against the release of Suicide Squad: Kill the Justice League in the first quarter of 2024. Games content expense fell 49% in the quarter on the same basis, in line with lower games revenue, and 60% over six months, which the report tied to a $213 million impairment on Suicide Squad: Kill the Justice League in the prior year and to lower games revenue. Games sat in the Studios segment, which the filing described as including interactive gaming; its revenue, which includes sales to the company's other segments, rose 55% as reported, to $3.80 billion. Within Studios, the company credited higher film rental revenue to the strong performance of A Minecraft Movie, Sinners and Final Destination Bloodlines, released in the second quarter of 2025.18^,19^,20^,21^,22^,23^,24^,25^,26^,27^,28^,29^,30^,31

In June 2025 the company announced a plan to separate into two publicly traded companies. The company said Warner Bros. would primarily consist of the Streaming and Studios segments, and Discovery Global of Global Linear Networks, and that it expected completion by mid-2026, subject to conditions. During 2024 the company had started a restructuring initiative tied to its Warner Bros. Games group.32^,33^,34^,35^,36

Our records hold this filing's management discussion and notes, not its other exhibits. Our records keep one value for each period of an SEC filer, the latest filed, so they cannot tell whether the year-earlier figures were restated.37^,38