Warner Bros. Discovery said 2025 was a “significant” year for the company, but made little mention of its gaming sector beyond claims it is “rebuilding” its video game business in its most recent financial report to investors.
After reporting strong performance from its movie and streaming segments, the company stated it was “rebuilding [its] video game pipeline” but did not provide any further details on that side of its business in its shareholder letter.
Warner Bros. Discovery does not provide disaggregated data for its game division, but across its full Studios segment – which includes gaming – revenue was down 14% year-on-year to $3.18 billion.
The company did, however, report a 34% drop in games revenue across Q4 2025, “primarily driven by higher carryover in the prior year quarter,” while its games content expense also dropped 46% for the same reason, as well as “$50 million of impairments in the prior year quarter.”
Revenue for Warner Bros overall during Q4 2025 totaled $9.4 billion, a 6% decrease year-on-year. Across the whole 2025 financial year, revenue dipped by 5% to $37.3 billion.
Earlier today we learned that Netflix CEO Ted Sarandon has said that the deal under which Paramount outbid his firm for control of Warner Bros, including its storied games division, is “dependent on a lot of cost-cutting”, which he said would take place following the deal’s completion.