Warner Bros Discovery Inc (WBD)

Operating profit margin

		Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020
Operating income (ttm)	US$ in thousands	-10,032,000	-508,000	-692,000	-963,000	-1,261,000	-1,826,000	-4,113,000	-6,846,000	-6,081,000	-4,968,000	-2,449,000	1,969,000	2,012,000	1,992,000	2,194,000	2,132,000	2,515,000	2,732,000	2,820,000	3,014,000
Revenue (ttm)	US$ in thousands	39,321,000	39,577,000	39,933,000	40,580,000	41,326,000	42,045,000	41,889,000	41,358,000	33,817,000	25,996,000	19,323,000	12,558,000	12,191,000	11,890,000	11,301,000	10,780,000	10,671,000	10,659,000	10,776,000	11,120,000
Operating profit margin		-25.51%	-1.28%	-1.73%	-2.37%	-3.05%	-4.34%	-9.82%	-16.55%	-17.98%	-19.11%	-12.67%	15.68%	16.50%	16.75%	19.41%	19.78%	23.57%	25.63%	26.17%	27.10%

December 31, 2024 calculation

Operating profit margin = Operating income (ttm) ÷ Revenue (ttm)
= $-10,032,000K ÷ $39,321,000K
= -25.51%

Warner Bros Discovery Inc's operating profit margin has shown a declining trend over the period from March 31, 2020, to December 31, 2024, with fluctuations in performance. The operating profit margin started at 27.10% in March 2020 and gradually decreased to -25.51% by December 2024.

The company experienced a relatively stable operating profit margin above 20% up to December 2021. However, from March 2022 onwards, the operating profit margin entered negative territory, indicating that the company's operating expenses were surpassing its operating income during these periods.

The significant decline in the operating profit margin from March 2022 to December 2024 raises concerns about the company's cost management and operational efficiency. Warner Bros Discovery Inc may need to review its cost structure, streamline operations, and potentially explore revenue-generating opportunities to improve its profitability metrics in the future.