Warner Bros. Discovery (WBD) Sweeps Oscars Ahead of $81B Paramount (PSKY) Merger

Key Takeaways

• At the 98th Academy Awards, Warner Bros. Discovery secured 11 Oscar wins, with One Battle After Another claiming Best Picture
• Michael B. Jordan earned Best Actor honors for Sinners, which collected four total awards
• Last month, Paramount finalized an agreement to acquire Warner Bros. Discovery in an $81 billion transaction, outbidding Netflix
• The studio division at Warner saw adjusted EBITDA surge 54% to reach $2.55 billion in the previous year
• In premarket trading Monday, WBD shares climbed 0.5% to $27.27; Paramount (PSKY) edged up 0.2% to $9.74

The 98th Academy Awards ceremony Sunday night belonged to Warner Bros. Discovery, which dominated with 11 Oscar victories. However, this triumph arrives during a transitional period — the studio faces imminent integration into Paramount Skydance within weeks.

Warner Bros. Discovery, Inc., WBD

Paul Thomas Anderson’s One Battle After Another dominated the evening with six Academy Awards, securing Best Picture, Best Director, and Best Supporting Actor among its wins. The dystopian American resistance narrative clearly resonated with Academy voters.

The studio celebrated additional victories through Sinners, which garnered four Oscars. Michael B. Jordan claimed the Best Actor trophy for his dual performance as twin brothers, acknowledging Warner Bros. during his acceptance speech for “betting on original ideas and artistry.”

Amy Madigan secured Best Supporting Actress for her performance in Weapons, another Warner production. The studio’s three nominated films collectively captured 11 awards — a remarkable achievement.

Last month, Paramount CEO David Ellison finalized an agreement to acquire Warner Bros. Discovery in an $81 billion deal. Supported financially by his father Larry Ellison — Oracle’s co-founder — David Ellison prevailed over Netflix in an intense competitive bidding process.

This consolidation would unite two major Hollywood powerhouses. According to Paramount, the merger should generate approximately $6 billion in cost efficiencies. Ellison has committed to producing 30 theatrical releases annually, distributed equally between both studio brands.

Strong Box Office Performance Influenced Acquisition

Last year, Warner’s studio operations generated adjusted EBITDA of $2.55 billion — representing a substantial 54% increase. This growth stemmed from successful releases including Sinners, A Minecraft Movie, and Superman.

In 2026 thus far, Warner’s Wuthering Heights and Paramount’s Scream 7 rank among the highest-grossing theatrical releases. This positive trajectory continues unabated.

While Oscar victories rarely translate to immediate financial gains for studios, they frequently boost streaming viewership as audiences seek out award-winning content.

Additional Studio Performances at the Awards

Netflix secured seven Academy Awards total. Guillermo del Toro’s Frankenstein captured three statues for hair and makeup, production design, and costume design. The streaming service also won Best Animated Feature for KPop Demon Hunters.

NBCUniversal’s Focus Features division earned Best Actress for Jessie Buckley’s portrayal in Hamnet. A24’s Marty Supreme entered the ceremony with nine nominations — Best Picture included — but failed to convert any into wins.

Disney’s 20th Century Studios earned a single Oscar for visual effects work on Avatar: Fire and Ash. Apple claimed Best Sound.

Monday’s premarket session saw WBD shares rise 0.5% to $27.27. Paramount stock increased 0.2% to $9.74.

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