11:55 AM EST, 12/12/2024 (MT Newswires) -- Warner Bros. Discovery ( WBD ) on Thursday disclosed a new corporate structure aimed at unlocking additional shareholder value amid an "evolving media landscape."

The media and entertainment giant plans to operate two divisions; global linear networks and streaming and studios. The new structure is expected to better position to company to pursue value-creation opportunities for both divisions, according to a statement.

Warner Bros. Discovery's ( WBD ) shares were soaring 16% in Thursday trade.

The global linear networks division will include a linear television business, with a focus on maximizing profitability and free cash flow, the company said. The streaming and studios segment will seek to drive growth and returns.

Currently, the company operates three segments; studios, networks and direct-to-consumer. The studios segment includes Warner Bros. Motion Picture Group, DC Studios, and Warner Bros. Television Group, among others. Networks includes CNN, Discovery Channel and Cartoon Network while the direct-to-consumer segment includes streaming services Max and discovery+.

In August, Warner Bros. said it took a $9.1 billion goodwill impairment charge for the networks segment amid weakness in the US linear advertising market, among other factors.

"Our new corporate structure better aligns our organization and enhances our flexibility with potential future strategic opportunities across an evolving media landscape, help us build on our momentum and create opportunities as we evaluate all avenues to deliver significant shareholder value," Chief Executive David Zaslav said Thursday.

The company expects to complete the implementation of the new structure by the middle of next year.

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