The success of streaming service Paramount+ is cushioning Paramount Global against falls in the advertising market.
9.9 million new subscribers in the quarter were helped along by the release of Top Gun: Maverick onto the platform. The total subscriber base is now close to 56 million. But the success of Paramount Global, Pluto TV, and the investment required to get them there couldn’t mask a 93% decline in operating income.
Revenues within Paramount Global’s traditional TV business, including the CBS networks, declined as advertising revenue declined by 7%.
“Our content and platform strategy is working and, with even more exceptional content coming this year, we expect to return the company to earnings growth in 2024,” said Paramount Global’s president and CEO Bob Bakish in prepared remarks.
The growth will be helped by price rises for Paramount+ in certain markets.
Paramount Global is bringing together its established Showtime network with the new streaming service while focusing its production on established shows and associated spin-offs.
