In its latest financial report, Warner Bros. has reported that its revenue from games has fallen by 48 percent. The report takes into account a three-month period ending on March 31, 2025. According to GamesIndustry.biz, the company hasn’t yet provided a detailed breakdown of its revenues for the quarter. It has, however, attributed the fall in revenue to the lack of performance by live-service game Suicide Squad: Kill the Justice League.
While Rocksteady’s attempt at a live-service game might have been a massive failure, the company has still reported that other titles, including Mortal Kombat 1 and even 2023’s open-world title Hogwarts Legacy are continuing to generate more revenue for the company. A Minecraft Movie – a movie under the larger Warner Bros. umbrella – was also a big part of revenues, having grossed nearly $900 million in the global box office.
In gaming in particular, Warner Bros. has reported revenue of $2.3 billion from its Studios – a year-on-year decrease of 16 percent for the division. The company has reported an overall revenue of $9 billion, which is a 9 percent decrease year-on-year.
It is worth noting that, earlier this year, Warner Bros. had announced the closure of of three of its development studios: Monolith Productions, Player First Games, and WB Games San Diego. The closure of Monolith – the studio behind Middle-earth: Shadow of Mordor, and its sequel Shadow of War – also meant that an in-development title based on Wonder Woman was also cancelled.
“This is another tough decision, as we recognize Monolith’s storied history of delivering epic fan experiences through amazing games,” said the studio when it announced the studio closures. “We greatly admire the passion of the three teams and thank every employee for their contributions. As difficult as today is, we remain focused on and excited about getting back to producing high-quality games for our passionate fans, developed by our world-class studios, and getting our games business back to profitability and growth in 2025 and beyond.”
Back in March, WB Games had revealed that its future plans revolve around focusing its “resources and capital on proven IP and games from proven, world-class studios.” The company went on to say that its games division was “a strategic differentiator” that could work nicely with the host of IP that Warner Bros. as a whole can license. The company stated that it wants to focus on some of its biggest tentpole IPs, including Mortal Kombat, Game of Thrones, Harry Potter, and DC Comics.
“As we have previously said, 2024 was a disappointing year for our Games business and we have recently announced a restructuring plan to refocus our resources and capital on proven IP and games from proven, world-class studios,” said the company. “We are focusing our Games business around four tentpole franchises that have each generated over $1 billion in consumer sales in past years: Harry Potter, Game of Thrones, Mortal Kombat, and DC – particularly top tier characters like Batman.”
In the meantime, there are rumours floating about that WB Games might be getting ready to release an unannounced game based on a new IP later this year.
