Hollywood strike stings Warner Bros, profit outlook for the year trimmed by as much as $500 million

Warner Bros Discovery is cutting its profit expectations for the year, saying it will likely incur costs as high as $500 million tied to the ongoing Hollywood writers' and actors' strike.

The US film and television industries remain paralysed by the dual strikes. The writers strike began in May and the actors joined them on July 14.

Warner Bros Discovery owns HBO and Max, CNN, TNT and a host of other entertainment outlets, including DC Comics.

The company said in a regulatory filing that it now expects 2023 adjusted earnings before interest, taxes, depreciation and amortization to be between $10.5 billion to $11 billion, down from $ 11 billion to $11.5 billion.

Shares of Warner Bros based in New York City, rose about 2 per cent Tuesday.