Paramount Global is continuing to build its streaming business as it continues an aggressive pursuit of Warner Bros. Discovery.
For the fourth quarter to December 31, Paramount reported total revenue of $8.1 billion (€7.5bn), up 2% year-on-year, driven primarily by gains in streaming and filmed entertainment.
Streaming revenue rose 10% in the quarter to $2.2 billion, reflecting continued expansion of Paramount+ and improvements in advertising and platform technology. Paramount+ ended the year with 78.9 million paid subscribers.
The filmed entertainment division also delivered a strong performance, with revenue up 16% to $1.3 billion, supported by studio output and licensing activity.
However, the company’s TV media segment – encompassing broadcast and cable networks – saw revenue fall 5% to $4.7 billion, as subscriber erosion continued and advertising declined 10%. Paramount cited lower political advertising and the absence of major sports events that boosted the prior-year quarter.
Paramount posted an operating loss of $339 million in the quarter, including $546 million in restructuring and transaction-related costs tied to its merger with Skydance.
Chief executive David Ellison said investments in original series, film, UFC rights and technology upgrades to Paramount+ are designed to accelerate momentum in the coming quarters.
Alongside its earnings, Paramount reaffirmed its intention to acquire Warner Bros. Discovery, recently raising its offer to $31 per share in cash.
The company has sweetened terms to address regulatory and financing concerns, including increasing reverse break-up protections and agreeing to cover potential termination and financing costs linked to Warner’s existing arrangements.
In its shareholder letter, Paramount said it remains confident in its standalone streaming-led strategy, but described a combination with Warner as an “accelerant” that would speed up scale and economic returns.
