Warner Bros. Discovery reported mixed financial results in its latest quarterly earnings, revealing $252 million in net losses while simultaneously celebrating major gains across its entertainment portfolio. The media giant, currently at the center of an acquisition battle between streaming rivals Paramount and Netflix, demonstrated particularly strong performance in its HBO Max streaming division, according to the company’s latest earnings report. Film revenue surged 54% driven by blockbusters including Sinners, Weapons, Minecraft and Superman.
The earnings announcement highlighted several HBO original series experiencing significant viewership growth. Industry, the critically-acclaimed hedge fund drama often described as blending elements of Severance and Euphoria, posted a 30% increase in viewership for its fourth season compared to season three. Medical drama The Pitt saw even more dramatic gains, with season-over-season numbers jumping 50%.
Game of Thrones Prequel Dominates HBO Max Viewership
The recently concluded Game of Thrones prequel series A Knight of the Seven Kingdoms has emerged as a major success for Warner Bros. Discovery, averaging 24 million viewers per episode with numbers continuing to climb. The show secured the third-largest debut for an HBO original series, trailing only House of the Dragon and The Last of Us. Additionally, it currently holds the distinction of being the highest-rated Game of Thrones-related series on review aggregator Rotten Tomatoes.
The performance of HBO Max programming demonstrates the strategic value Warner Bros. Discovery holds for potential acquirers. Industry has been renewed for a fifth and final season, allowing the series to conclude on its own terms. Meanwhile, The Pitt appears positioned for long-term success, with HBO planning annual January releases for the 15-episode series, a rarity in the streaming landscape.
Upcoming Releases Face Different Challenges
However, Warner Bros. Discovery faces uncertainty with several upcoming releases. Euphoria season 3 is scheduled to premiere in April, but the four-year gap since season 2 may impact audience reception and viewership numbers. The extended hiatus represents a significant challenge for maintaining viewer engagement in the competitive streaming environment.
In contrast, House of the Dragon season 3 arrives in June, ahead of a fourth and final season planned for an unspecified future date. Season 2 received lukewarm critical and audience response, prompting hopes that season 3 will reverse that narrative through more significant plot developments drawn from source material. Nevertheless, industry observers suggest it may struggle to match the critical acclaim achieved by A Knight of the Seven Kingdoms, which benefits from shorter six-episode seasons and lower production budgets enabling annual releases.
Acquisition Battle Continues Despite Financial Losses
The strong performance of Warner Bros. Discovery content explains why the company remains an attractive acquisition target despite posting net losses. Both Netflix and Paramount have expressed interest in acquiring the media conglomerate, drawn by its valuable slate of theatrical releases and streaming content. Initial concerns that Netflix might absorb all Warner Bros. properties into its platform have been partially addressed by commitments to maintain theatrical release strategies and keep HBO Max as a separate streaming application.
The company also benefited from the cultural phenomenon Heated Rivalry, which became widely watched in late 2025 and continues to generate strong engagement heading into its second season. This diverse portfolio of successful programming across multiple genres strengthens Warner Bros. Discovery’s position in ongoing acquisition negotiations.
The outcome of the acquisition battle between Netflix and Paramount remains uncertain, with both companies evaluating how Warner Bros. Discovery assets would integrate into their existing operations. Industry watchers expect further developments in the coming months as negotiations progress and financial details emerge.
