Warner Bros. Discovery stock slumps after wider-than-expected loss, while revenue topped projections

Shares of Warner Bros. Discovery Inc.
WBD,
+1.40%
slumped 2.3% in premarket trading Wednesday, after the studio and streaming video company reported a wider-than-expected third loss, while revenue just topped expectations. Net losses narrowed to $417 million, or 17 cents a share, from $2.31 billion, or 95 cents a share, in the year-ago period. That was wider than the FactSet consensus for net per-share losses of 9 cents. Revenue grew 1.6% to $9.98 billion, above the FactSet consensus of $9.97 billion. While revenue from studios, networks and direct-to-consumer, which includes HBO Max were all shy of expectations, the negative impact of inter-segment eliminations was less than forecast. DTC subscribers totaled 95.1 million, which was down 700,000 from the end of the second quarter, while average revenue per user was $7.82, up 6% when excluding the impact of currency. The stock has dropped 19.5% over the past three month through Tuesday, while the S&P 500
SPX,
+0.28%
has shed 2.7%.