Gunnar Wiedenfels on capital structure
From Warner Bros Discovery Inc ($WBD) Q4 2025 Earnings Call · · Castify Earnings Call
“If you do the math based on what was disclosed in our proxy you would see that discovery global would come out of the gate with roughly you know call it the 3.3 times net leverage number that is absolutely sustainable and supportable. I actually think that rating agencies are probably going to uh and again it's it's early days. We don't have uh final ratings yet, but I would expect that we're going to see uh you know uh single B uh maybe low doubleB uh ratings for for Discovery Global. So absolutely sustainable and there is a huge opportunity because as we've shown in the past uh we are very well uh able and and willing to leverage the opportunities in our longdated lowinterest uh capital structure.”
On , Gunnar Wiedenfels, Senior EVice President & Chief Financial Officer at Warner Bros Discovery Inc, spoke about capital structure during Warner Bros Discovery Inc ($WBD) Q4 2025 Earnings Call on Castify Earnings Call.
About Gunnar Wiedenfels
Gunnar Wiedenfels, CFO of Warner Bros. Discovery, has discussed the company's financial performance and strategic direction on recent earnings calls. He noted that the company is working through separation-related expenses, restructuring costs, and fees associated with its sale process and the pending Paramount transaction, which he said will continue to have a "marginal impact" on EBITDA but a more meaningful negative effect on free cash flow in 2026. Wiedenfels stated that the company's net leverage ratio was 3.3 times EBITDA as of the third quarter of 2025, and he expressed an expectation that the standalone "Discovery Global" entity would receive a single-B or low double-B credit rating. Wiedenfels has also addressed the company's content and sports strategies. He said the company has shifted from external to internal monetization of its library, with profits sitting on the balance sheet awaiting reinvestment. Regarding sports rights, he stated that the company will continue to be disciplined but open for business, and he projected a "very significant improvement" in sports rights expenses beginning in the fourth quarter of 2025 and continuing into 2026 as the NBA rights come off the books. He also described the company's linear networks as being managed as content creators across platforms, with growing revenue contributions from streaming.