Warner Bros. Discovery is counting on last month’s price hike of its HBO Max service and a continued crackdown of password sharing to be key drivers of distribution revenue acceleration in the first half of 2026.
Other catalysts include the launch HBO Max in key European markets and the U.K. and Ireland. But the loss of NBA rights will make revenue comparisons difficult starting in the fourth quarter and going into next year, the company warned in its letter to shareholders.
The information came as part of Warner Bros. Discovery’s third-quarter financial report, which saw the company swing to a loss of $148 million due to restructuring costs ahead of its planned split or sale of the company. While it’s on track to break up into Warner Bros. and Discovery Global, it’s also open to selling all or parts of itself with other companies showing interest.
The studios and streaming side of the company posted an 8% growth in revenue vs. a 22% decline in its global linear business, illustrating why so many companies covet the former assets. WBD reported it added 2.3 million subscribers to bring its streaming base to 128 million.
Last month, WBD raised its Basic with Ads HBO Max plan by $1 to $10.99 a month, while its Standard plan went up by $1.50 to $18.49 a month and its Premium rose $2 to $22.99 a month.
The company previously said it would take a more direct hand in its password-sharing crackdown, and in September started sending messages to some users asking them to sign up for account. Prior to that, it had sent “soft” messages to users that they were able to skip.
HBO Max is just the latest streaming service to clamp down on account sharing, where people in different households use the same login to access the service. Netflix, in particular, has seen success and subscriber growth as it restricted account sharing over the last two years. Walt Disney Co. has also set the groundwork for a similar lockdown with Disney+.
