Warner Bros. Discovery Inc. (NASDAQ:WBD)

The annual financial data reveals several key trends in revenues, operating income, and net income available to the shareholders over the analyzed period.

Revenues

Revenue demonstrates a generally upward trajectory from 2008 to 2021. Starting at approximately $3.4 billion in 2008, revenues showed steady growth, reaching over $6 billion by 2015. Notable acceleration occurred between 2017 and 2019, where revenues surged from $6.9 billion to above $11 billion. Slight volatility is observed in 2020, with a decline from $11.1 billion to $10.7 billion, likely reflecting external economic influences, before rebounding to nearly $12.2 billion in 2021.

Operating Income

Operating income also largely increased through the years, beginning at about $1.1 billion in 2008 and peaking in 2019 at approximately $3.0 billion. However, fluctuations are evident, including a significant dip in 2017 to $713 million, representing a drastic decrease compared to previous years. The recovery in subsequent years saw operating income returning to over $2 billion by 2021 but not reaching the 2019 peak. The trend suggests periods of operational challenges followed by strong recoveries.

Net Income Available to Discovery, Inc.

Net income data shows significant variability. The initial years reflect steady growth from $317 million in 2008 to a peak above $1.1 billion in 2011. However, a sharp decline to a negative figure (-$337 million) is recorded in 2017, coinciding with the apparent operational challenges that year. Following 2017, net income recovered strongly, topping at over $2 billion in 2019, before declining again in 2020 and 2021, though remaining positive. These fluctuations imply episodic impacts affecting overall profitability.

Current Assets

The current assets show a generally increasing trend from US$1,109 million in 2008 to US$7,264 million in 2021. There is a notable substantial increase between 2016 and 2017, where current assets surged from US$2,599 million to US$9,991 million. Following this spike, current assets declined to US$4,231 million in 2018 but afterward resumed a gradual growth through to 2021.

Total Assets

Total assets also exhibit an upward trajectory over the observed period, rising from US$10,484 million in 2008 to US$34,427 million in 2021. The increment is relatively steady except for a pronounced acceleration starting from 2016. Between 2016 and 2019, total assets more than doubled from US$15,758 million to US$32,550 million, before stabilizing, with only minor increases through 2021.

Insights

The data highlights strong asset growth, particularly in the latter years. The unusual spike in current assets in 2017 may indicate a significant acquisition, liquidity event, or reclassification of assets, which temporarily inflated the value before it adjusted downwards in the subsequent year. The steady long-term increase in total assets suggests ongoing investment and asset accumulation, contributing to a growing asset base over time.

The financial data reveals several notable trends over the reported period from 2008 to 2021 related to liabilities, debt, and stockholders' equity.

Current Liabilities

The current liabilities exhibit fluctuations with an initial decline from 1,070 million USD in 2008 to a low of 746 million USD in 2011. Subsequently, a sharp increase occurs, peaking significantly at 3,997 million USD in 2018. Following this peak, there is a reduction and further fluctuations, ending at 3,459 million USD in 2021. This pattern suggests variability in short-term obligations, possibly reflecting operational or financing activities changing over time.

Total Liabilities

Total liabilities generally increase throughout the period, starting at 4,899 million USD in 2008 and rising steadily with some acceleration from 2016 onwards. The liabilities reach a maximum of 22,033 million USD in 2018 before slightly decreasing to 21,031 million USD by 2021. The growing trend points to a rising leverage or scale of the company’s obligations over the years.

Total Debt

Total debt follows a similar upward trajectory as total liabilities, beginning at 3,789 million USD in 2008 and escalating sharply after 2015. It peaks at 17,045 million USD in 2018, then gradually declines to 14,759 million USD in 2021. The debt component comprises a significant proportion of total liabilities, indicating the company's reliance on borrowing.

Stockholders’ Equity

Stockholders’ equity increases from 5,536 million USD in 2008 to peak at 6,517 million USD in 2011. After a gradual decline to 4,610 million USD in 2017, equity rises substantially, exceeding previous levels to reach 11,599 million USD by 2021. This recovery and expansion suggest improved profitability or capital injections enhancing the company's net asset base.

Over the period analyzed, the cash flows of the company exhibit distinct trends across operating, investing, and financing activities, reflecting underlying shifts in business operations and financial strategy.

Operating Activities

Cash provided by operating activities demonstrates a general upward trend throughout the timeframe. Beginning at US$569 million in 2008, it increases steadily, reaching a peak of US$3,399 million in 2019. Although a slight decline occurs in 2020 and 2021, with cash flow decreasing to US$2,739 million and US$2,798 million respectively, the overall trajectory indicates strengthening operational cash generation capacity over the years.

Investing Activities

Cash flows from investing activities show significant volatility and predominantly negative values, indicating ongoing investments or acquisitions. The period starts with positive cash inflows in 2008 and 2009 but quickly shifts negative from 2010 onwards, with notable deepening of cash outflows in 2013 (US$-1,987 million) and an extreme outflow in 2018 amounting to US$-8,593 million. The latter suggests a particularly large investment or asset acquisition during that year. After 2018, investing cash outflows reduce substantially though remaining negative, signaling continued but more moderate investing activity.

Financing Activities

Cash flows from financing activities mostly reflect cash outflows, indicating net repayments or reductions in financing, except for a notable exception in 2017 when there was a substantial cash inflow of US$5,951 million. This anomalous inflow may represent capital raising or debt issuance during that year. Apart from this, the financing cash flows generally show negative values, including significant outflows in 2015, 2016, 2019, and 2020, suggesting deleveraging or dividend payments.

Overall, the data reveals a company with strong operational cash flow growth over time, offset by substantial investing outflows consistent with expansion or acquisition strategies. The financing cash flows indicate strategic capital structuring, with an exceptional capital inflow in 2017 likely related to a significant financing event. The subsequent years suggest a focus on reducing financial obligations.

Basic Earnings Per Share

The basic earnings per share (EPS) exhibit an overall upward trend from 2008 through 2017, increasing from 0.50 US$ in 2008 to a peak of 1.97 US$ in 2016. There is a notable decline to -0.59 US$ in 2017, indicating a loss during that year. This negative value interrupts a generally positive growth trajectory observed over the prior years. Subsequently, basic EPS recovers strongly to 0.86 US$ in 2018 and further rises to a high of 2.90 US$ in 2019, the highest value in the series. Following this peak, the EPS declines moderately to 1.82 US$ in 2020 and further to 1.55 US$ in 2021.

Diluted Earnings Per Share

The diluted EPS closely follows the trend of the basic EPS throughout the period. Starting at 0.49 US$ in 2008, diluted EPS increases steadily, peaking at 1.96 US$ in 2016. It then sharply falls to -0.59 US$ in 2017, mirroring the loss reported in basic EPS for the same year. A recovery trend follows, with diluted EPS rising to 0.86 US$ in 2018 and reaching its highest point of 2.88 US$ in 2019. Thereafter, diluted EPS decreases to 1.81 US$ in 2020 and then to 1.54 US$ in 2021, maintaining close alignment with basic EPS figures.

Dividend Per Share

There is no available data on dividends per share across all the periods analyzed, suggesting either no dividends were issued during these years or that such information was not provided.

Summary of Earnings Trends

The earnings per share data reflect a period of growth from 2008 to 2016, interrupted by a significant downturn in 2017, followed by a recovery in 2018 and exceptional improvement in 2019. The subsequent two years show a reduction in earnings, but values remain above those seen prior to 2016. The parallel movements of basic and diluted EPS indicate consistent dilution effects over time. The lack of reported dividends may imply a reinvestment strategy or other financial policies affecting shareholder returns during the period.