Company: WBD
Filing Date: 2025-12-09
Form Type: 425
Source: 0001193125-25-311838
Chunk: 17

Company: Warner Bros. Discovery, Inc.
Filing Date: 2025-12-09
Form: 425
Chunk 17
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 incorporate that into what we’re offering. They’ve got great studios and great folks working there. So we think that there’s definitely an opportunity there. But just to be clear, we haven’t built that into our deal model. Theodore A. Sarandos Co-CEO,President & Director Got it. And by the way, I’ll just — IP enhancements that will come from gaming would apply to all those. Gregory K. Peters Co-CEO,President & Director Yes. That’s right. John Christopher Hodulik UBS Investment Bank, Research Division Okay. Maybe 1 last question on — on a stand-alone basis. How should we think about sort of stand-alone Netflix sort of content spending over the next several years. Again, on a stand-alone basis probably won’t come into play but your visibility in terms of margin expansion that you have right now? Gregory K. Peters Co-CEO,President & Director Yes. So just the core engine of our business has been deliver more value, more entertainment value to our customers. And then we have got a business model which we feel is very effective for getting paid for that in terms of revenue and ultimately growing profit. So if you go back to the view hours, 8% in the United States. We’re under 10% in every country that we serve. We believe there’s ample opportunity to essentially continue to grow that value that we are delivering and grow the business as a result. We’re at $18 billion ‘26 content spend. We anticipate we have opportunity to grow that for — in the future, $30 billion combined entities. We have the ability to grow that as well. And we have a model where that sort of content expense, we grow revenue higher than the content expense that allows us to expand margin then we believe we’re going to continue to do that going forward, and we’re excited about that opportunity. Theodore A. Sarandos Co-CEO,President & Director That’s just the thing to reiterate, which is that we have been growing content spend and expanding margin as a stand-alone and we’ve modeled to do that in the future as well. Gregory K. Peters Co-CEO,President & Director Yes, under any condition basically. John Christopher Hodulik UBS Investment Bank, Research Division Okay. That’s great. Any wrap-upcomments? Theodore A. Sarandos Co-CEO,President & Director

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NETFLIX, INC. COMPANY CONFERENCE PRESENTATION - PRELIMINARY COPY DEC