WarnerMedia Home Entertainment Ends Q2 with 18.2% Market Share

WarnerMedia (previously Time Warner) July 24 reported select second-quarter results (ended June 30) following its acquisition by AT&T.

Warner Bros. reported operating income of $256 million, up from $225 million operating income during the previous-year period — and excluding $81 million of costs related to the AT&T merger. Revenue increased 11% ($318 million) to $3.3 billion.

Theatrical revenue was essentially flat as the prior-year (2017) quarter included a more favorable mix of home entertainment and theatrical releases, which was offset by higher television licensing revenue of theatrical product in the current-year quarter.

WarnerMedia (Warner Bros., HBO and Turner) no longer reports physical and digital sales of Warner Bros. or HBO original titles. The company said sales of DVD, Blu-ray Disc and digital titles helped home entertainment finish the period with 18.2% market share, No. 2 in the market behind Walt Disney Studios Home Entertainment.

Second-quarter Warner home entertainment releases included Father Figures, Paddington 2, 12 Strong, The 15:17 to Paris, Game Night and Tomb Raider. That compared with Fist Fight, The Lego Batman Movie and CHiPs in the previous-year period.

Paddington 2 has generated packaged-media sales of $3.2 million on 165,000 discs since its April 24 retail release, according to The-Numbers.com.

Current third-quarter packaged-media releases include Rampage (July 17), Ready Player One (July 24), Life of the Party (Aug. 7), Tag (Aug. 28) and Ocean’s 8 (Sept. 11).

HBO Home Entertainment second-quarter releases included Ballers: The Complete Third Season and Vice Principals: The Complete Series. That compared to Veep: The Complete Fifth Season, Silicon Valley: The Complete Third Season, Divorce: The Complete First Season and The Young Pope: The Complete First Season in the previous-year period.

Heading into the 2018-19 television season, Warner Bros. Television is producing more than 75 series across all networks and services, its highest number ever, and is producing 34 shows for the broadcast networks, 23 of which are returning series.

‘Paddington 2’ Drives Q1 British Disc Sales

Live-action animated comedy, Paddington 2, co-starring Hugh Grant, topped combined first-quarter (ended March 31) Blu-ray Disc/DVD sales in the United Kingdom with 526,000 discs sold, according to The Official Charts.

The Warner Bros.-distributed sequel to the 2014 box office hit about a young Peruvian bear that travels to London in search of a home, generated $237 million at the global box office, including $40 million in the United States.

The title will be released into domestic retail channels on April 24 by Warner Bros. Home Entertainment.

The original Paddington – distributed by Anchor Bay Home Entertainment – generated nearly $22 million in domestic disc sales, according to TheNumbers.com.

Marvel Studios’ Thor: Ragnarok ranked No. 2 with 476,000-disc sales in the U.K. The title was released in the U.S. on March 6 by Walt Disney Studios Home Entertainment.

Blade Runner 2049, the 35-year-old sequel to Blade Runner (1982), starring Harrison Ford, Sean Young and Rutger Hauer, generated 325,000-unit sales. The current Warner title – with Ryan Gosling in the title role – was released domestically in January and has sold $21.7 million worth of discs.

Fox sequel, Kingsman: The Golden Circle, ranked fourth with 306,000 units sold, with Warner’s clown-based horror film, It, ranked fifth with 237,000 units sold.

The titles sold $19.7 million and $31 million in combined disc sales in the U.S., respectively.

Murder on the Orient Express (Fox) ranked sixth with 217,000 units sold, while Warner’s Dunkirk, was seventh with 187,000 units sold. The Christopher Nolan war drama has sold more than 834,000 discs in the U.K.

Dunkirk has sold nearly $29 million in combined discs in the U.S. since its Dec. 19, 2017 retail release.