5 Must-Read Analyst Questions From Warner Bros. Discovery's Q1 Earnings Call

Warner Bros. Discovery’s first quarter results for 2025 were met with a positive market response despite missing Wall Street’s revenue expectations, as management highlighted progress on key strategic priorities. CEO David Zaslav credited the company’s emphasis on high-quality storytelling and a disciplined approach to content investment for driving performance, particularly in the streaming segment, which added over 5 million subscribers during the quarter. The leadership team pointed to strong audience engagement with recent releases like The White Lotus, The Pit, and the Minecraft movie as evidence that their focus on quality content is translating into commercial success.

Is now the time to buy WBD? Find out in our full research report (it’s free).

While we enjoy listening to the management's commentary, our favorite part of earnings calls are the analyst questions. Those are unscripted and can often highlight topics that management teams would rather avoid or topics where the answer is complicated. Here is what has caught our attention.

Our Top 5 Analyst Questions Warner Bros. Discovery’s Q1 Earnings Call

• Steven Cahall (Wells Fargo) asked about the new divisional structure’s impact on capital flexibility. CFO Gunnar Wiedenfels emphasized improved transparency and optionality but declined to speculate on capital structures for specific assets.
• Peter Supino (Wolfe Research) inquired about the sports content strategy on Max. CEO David Zaslav and JB Perrette, CEO of Global Streaming and Games, indicated experimentation with different models, but stressed a shift toward proprietary IP over rental-based sports rights.
• Bryan Kraft (Deutsche Bank) questioned how HBO consistently produces standout hits and its appeal to younger viewers. CEO Zaslav attributed success to a long-standing, experienced creative team and a deliberate focus on quality over quantity.
• David Karnovsky (JPMorgan) asked about macroeconomic impacts and advertising trends. Wiedenfels stated the company has seen no material impact so far, and Q2 advertising trends are tracking in line with Q1, with cost management measures in place.
• Jessica Reif Ehrlich (Bank of America Securities) sought clarity on ARPU growth drivers and streaming consolidation prospects. JB Perrette outlined plans for new pricing, ad products, and password sharing initiatives, while Zaslav discussed optionality created by the company’s reorganization.

Catalysts in Upcoming Quarters

In the coming quarters, our team is watching (1) the pace and success of Max’s global expansion, particularly in Europe; (2) the rollout and consumer uptake of ad-supported and password sharing features; and (3) the performance of upcoming franchise films and series, including their impact on subscriber engagement and studio profitability. Progress on cost control and execution of the new divisional structure will also be key markers.

Warner Bros. Discovery currently trades at $11.15, up from $8.59 just before the earnings. Is the company at an inflection point that warrants a buy or sell? See for yourself in our full research report (it’s free).

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