John Malone to become Chair Emeritus at Warner Bros. Discovery

NEW YORK - Warner Bros. Discovery, Inc. (NASDAQ:WBD), a $19.8 billion entertainment powerhouse currently trading at $8.10 per share, announced today that Dr. John C. Malone will not seek re-election to its Board of Directors and is set to take on the role of Chair Emeritus following his current term's conclusion at the 2025 Annual Meeting of Stockholders. According to InvestingPro analysis, the company currently trades below its Fair Value, with analyst price targets ranging from $7 to $22. In his new capacity, Dr. Malone will remain engaged with the company, attending Board meetings and offering strategic advice to the Board and management.

David Zaslav, President and CEO of Warner Bros. Discovery, praised Dr. Malone's strategic acumen and the significant role he has played in shaping the company's growth and direction. Zaslav highlighted the value of Malone's insights in navigating the evolving global media landscape and expressed his anticipation for continuing their partnership.

Samuel A. Di Piazza, Jr., Chair of the Warner Bros. Discovery Board, also acknowledged Malone's substantial contributions and welcomed his ongoing involvement as Chair Emeritus.

Dr. Malone, reflecting on his tenure, commended the Board and management for their progress and expressed confidence in the company's trajectory. He looks forward to remaining actively involved as a significant stockholder and in his new role.

As Dr. Malone steps down, Warner Bros. Discovery plans to nominate Anton Levy for election by stockholders at the Annual Meeting. This change will maintain the Board's composition of 13 directors, 12 of whom are independent, post-Annual Meeting.

Warner Bros. Discovery is a prominent media and entertainment company, boasting a diverse portfolio of branded content across various platforms and reaching audiences globally. With annual revenue of $39.3 billion and a strong free cash flow yield, the company maintains a moderate debt level while facing near-term profitability challenges. For deeper insights into WBD's financial health and growth potential, InvestingPro subscribers have access to over 30 exclusive financial metrics and expert analysis.

The information provided in this announcement is based on a press release statement and includes forward-looking statements subject to risks, uncertainties, and the company's performance. Warner Bros. Discovery advises that these statements are not guarantees of future performance and actual results may differ materially. For comprehensive analysis and detailed financial metrics, including the company's health score of 2.42 (Fair), investors can access the full Pro Research Report available exclusively on InvestingPro, covering what really matters about WBD's financial position and future prospects.

In other recent news, Warner Brothers Discovery is facing a projected decline in its first-quarter revenues and earnings. UBS analysts expect a 7.8% decrease in consolidated revenues to $9.2 billion, with EBITDA anticipated to drop by 5.8% to $1.98 billion. Meanwhile, BofA Securities has also adjusted its revenue estimate for the company to $8.9 billion, down from a previous $9.68 billion projection. Despite these challenges, Warner Brothers Discovery's recent release, "Minecraft," has seen significant success, earning over $300 million globally during its opening weekend. This performance is seen as a positive indicator for the company's Studios segment, with potential to exceed $1 billion in global box office sales.

Analysts at Bernstein SocGen Group reaffirmed their Market Perform rating on the stock, maintaining a price target of $11.00. Additionally, Raymond James adjusted its price target to $13.00 from $14.00 while maintaining an Outperform rating. Warner Brothers Discovery is also undergoing strategic reorganization, aimed at providing more transparency and exploring strategic options. The company has recently refreshed its board, adding Anton Levy of General Atlantic, as it continues to engage with shareholders and address potential activist interest.

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