1.0%$8.893B$8.979B
Revenue Decline
Total revenue fell 1.0% YoY to $8.893B in Q1 FY2026 from $8.979B in Q1 FY2025, reflecting continued headwinds across WBD's media and entertainment segments.
Source: Source: 10-Q Income Statement
AI Takeaway
WBD reported a steep Q1 FY2026 loss with net income plunging to -$2.916B (vs. -$453M a year ago), driven by a massive operating loss of -$2.469B, negative operating cash flow, and a current ratio below 1, underscoring significant near-term financial pressure.
Revenue
$8.89B
-0.96% YoY
EPS (Basic)
$-1.17
-550.00% YoY
Operating Income
$-2.47B
-6572.97% YoY
Filed · Analysis updated · Source: SEC EDGAR 10-Q filing
Total revenue fell 1.0% YoY to $8.893B in Q1 FY2026 from $8.979B in Q1 FY2025, reflecting continued headwinds across WBD's media and entertainment segments.
Source: Source: 10-Q Income Statement
Operating income collapsed to -$2.469B from -$37M a year ago, a deterioration of over 6,500%, suggesting significant impairment charges, restructuring costs, or elevated content write-downs embedded in the quarter.
Source: Source: 10-Q Income Statement
SG&A expenses rose 12.8% YoY to $2.475B, indicating that overhead and administrative costs are growing faster than revenue, compressing margins further.
Source: Source: 10-Q Income Statement
2 more insights available
Upgrade to unlockWBD generated -$208M in operating cash flow in Q1 FY2026, a sharp reversal from +$553M a year ago. With a current ratio of only 0.73 (current assets of $11.741B vs. current liabilities of $16.115B), the company faces meaningful near-term liquidity risk if cash generation does not recover.
Source: Source: 10-Q Cash Flow Statement & Balance Sheet
Unlock 4 more detailed risk analysis
Upgrade to unlockReported EPS of $-0.05 versus the $-0.07 analyst consensus — a +30.0% beat for Q1 FY2026.
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
Revenue | $8.89B | $8.98B | -0.96% |
Operating Income | $-2.47B | $-37M | -6572.97% |
Net Income | $-2.92B | $-453M | -543.71% |
EPS (Basic) | $-1.17 | $-0.18 | -550.00% |
EPS (Diluted) | $-1.17 | $-0.18 | -550.00% |
SG&A Expense | $2.48B | $2.19B | +12.81% |
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
Total Assets | $97.84B | $101.68B | -3.78% |
Current Assets | $11.74B | $12.78B | -8.14% |
Total Liabilities | $64.13B | $66.51B | -3.58% |
Current Liabilities | $16.11B | $15.29B | +5.42% |
Stockholders' Equity | $32.58B | $33.84B | -3.72% |
Cash & Equivalents | $3.26B | $3.87B | -15.62% |
Long-Term Debt | $32.47B | $37.43B | -13.25% |
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
Operating Cash Flow | $-208M | $553M | -137.61% |
Investing Cash Flow | $-282M | $-195M | -44.62% |
Financing Cash Flow | $-756M | $-1.9B | +60.11% |
D&A | $1.23B | $1.55B | -20.75% |
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
Operating Margin | -27.8% | -0.4% | -27.35% |
Net Margin | -32.8% | — | — |
ROE | -9.0% | — | — |
ROA | -3.0% | — | — |
Current Ratio | $0.729 | — | — |
Debt to Equity | $1.969 | — | — |
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WBD reported a net loss of -$2.916B and an operating loss of -$2.469B in Q1 FY2026, both dramatically worse than a year ago. Revenue declined modestly by 1.0% to $8.893B, while operating cash flow turned negative at -$208M. The one bright spot was continued debt reduction, with long-term debt falling 13.3% YoY to $32.466B.
WBD's net loss in Q1 FY2026 was -$2.916B, compared to -$453M in Q1 FY2025, a deterioration of 543.7% YoY. EPS fell to -$1.17 from -$0.18, meaning shareholders absorbed significantly larger per-share losses than the prior year.
WBD's current ratio stands at 0.73, meaning current liabilities of $16.115B exceed current assets of $11.741B, which is a potential liquidity concern. Operating cash flow also turned negative at -$208M in Q1 FY2026, compared to +$553M a year ago, reducing the company's financial cushion.
Yes, WBD reduced its long-term debt by approximately $4.96B YoY, bringing it down to $32.466B from $37.426B — a 13.3% reduction. However, with a debt-to-equity ratio of 1.97 and negative operating cash flow, the debt burden remains substantial.
WBD's operating income fell from -$37M to -$2.469B YoY, a deterioration of over 6,500%, which strongly suggests large non-cash charges such as asset impairments, content write-downs, or restructuring costs were recorded in Q1 FY2026. SG&A also rose 12.8% YoY to $2.475B, adding further pressure on operating results.