Warner Bros. Discovery has published its financial report for the fourth quarter of 2024. We have highlighted the key points related to the gaming division.
Hogwarts Legacy
- Warner Bros. as a whole earned $10 billion from October to December 2024. This is 1% less than the same period in 2023.
- The company did not disclose revenue for Warner Bros. Games but indicated that quarterly income from games fell by 29%. It explained this decline by the release of hit games like Hogwarts Legacy and Mortal Kombat 1 in 2023, which generated strong revenue. In 2024, there were no games of this level.
- Operational expenses on gaming content decreased by 20%.
- In the fourth quarter, Warner Bros. wrote off an additional $50 million in gaming expenses. As a result, the total write-offs for all of 2024 reached $384 million.
- In a letter to shareholders, the company stated that 2024 was disappointing for the gaming division. Nevertheless, Warner Bros. still considers games to be a strategic direction. It hopes that by closing three studios and focusing on four key franchises (Harry Potter, Mortal Kombat, DC, and Game of Thrones), Warner Bros. Games will become profitable again in 2025.