Earnings Releases·Nov 9, 2026, 4:04 PM ET

Skydance — Q3 2026 Earnings Summary

Reported Q3 2026 total revenue of $7.0 billion (up 5% YoY) with adjusted EBITDA of $1.0 billion (14.2% margin), while net earnings were $73 million and free cash flow was $31 million inclusive of $174 million in restructuring costs.
Completed the $87 billion gross debt acquisition of Warner Bros. Discovery (WBD) on October 6, 2026, with post-merger leverage targeted to reach 3.0x by end of 2029 and $6 billion in annualized synergies expected within three years.
Raised 2026 profitability outlook to the high end at $3.9 billion, though Q4 2026 guidance reflects a potential $200 million profit impact due to Warner Bros. film slate underperformance.
Strategic shifts include transitioning to annual guidance, launching a bundled HBO Max/Paramount+ offering in early 2027, and ceasing quarterly subscriber disclosures in favor of engagement metrics.
Paramount+ revenue grew 21% YoY to $2.13 billion with 82.2 million subscribers, while the combined entity targets mid-20% adjusted EBITDA margins and over $10 billion in annualized free cash flow by 2030.