Warner Bros. Discovery reported a significant boost in streaming subscriber numbers during the third quarter of 2023, adding 7.2 million new subscribers to reach a total of 110.5 million. This represents the largest increase since the launch of the Max brand, which has been a key driver of growth, especially in international markets.
The company's distribution revenues grew by 8% in the quarter, fueled by a 15% increase in subscribers and higher pricing, particularly following the expansion of Max into Latin America and Europe. However, these gains were partially offset by continued declines in domestic linear wholesale subscribers.
Warner Bros. Discovery's average revenue per user (ARPU) for its direct-to-consumer business, encompassing platforms like Discovery+, HBO, HBO Max, Max, and premium sports offerings such as TNT Sports, stands at $11.99 in the US and Canada and $4.05 internationally. The company's total revenue for Q3 was $9.6 billion, a 3% decrease from the previous quarter.
"The launch of Max in Latin America and Europe is off to a strong start," said David Zaslav, CEO of Warner Bros. Discovery. "We are seeing strong engagement from both new and existing subscribers, and we are confident that Max will continue to drive growth in our direct-to-consumer business."