Warner Bros Games Experiences 29% Decline in Q4 2024 Earnings
By The company also discussed its recent reorganization in a correspondence to shareholders, indicating that it anticipates to “revive the games division to profitability by 2025.”
Warner Bros. has revealed its financial results for Q4 and FY2024, reporting that revenue for its gaming segment fell by 29% year-over-year for the three months ending December 31, 2024.
Specific numbers are not provided for gaming revenue (which is categorized under the Studios segment).
However, the company noted that despite the decrease in gaming revenue during Q4, it witnessed improved performance from titles such as Hogwarts Legacy and Mortal Kombat 1 compared to the same timeframe last year.
In total, revenue for the company’s Studio segment rose by 16% year-over-year to $3.65 billion during the fourth quarter. Nevertheless, full-year revenue experienced a decline of 5% to $11.60 billion.
Regarding Warner Bros. as a whole, Q4 revenue saw a slight drop of 1% to $10 billion compared to the same period in 2023, while its full-year revenue faced a 4% decrease year-over-year to $39.3 billion.
In a letter to shareholders, Warner Bros. discussed its recent reorganization that resulted in the closure of three studios – Monolith Productions, Player First Games, and Warner Bros San Diego. The decision to shut down Monolith led to the cancellation of its upcoming Wonder Woman project.
“2024 was an underwhelming year for our gaming division, and we have recently announced a restructuring initiative to r