Paramount+ on July 31 reported increases in both operating income and overall revenue for the second quarter ended July 31, despite a net loss of 1.3 million subscribers during the period.
The streaming video-on-demand platform concluded the quarter with 77.7 million subscribers, down from 79 million at the end of March. Paramount attributed the subscriber decline to the conclusion of an international bundled promotion.
Still, the company’s direct-to-consumer subscription revenue rose 22%, supported by overall subscriber growth and price hikes on the Paramount+ platform. Global viewing hours jumped 29% year-over-year across both Paramount+ and the company’s free, ad-supported streaming television platform, Pluto TV.
Adjusted pre-tax operating income surged $131 million year-over-year to reach $157 million, up from $26 million in the same period last year. The company cited revenue growth as a key factor, although gains were partially offset by higher operating expenses.
Total revenue for the quarter climbed 15%, rising to $2.1 billion from $1.89 billion in the prior-year period.
We saw the largest viewership growth among all subscription services in the U.S., up 26% vs. the first half of 2024, driven by continued strong content at Paramount+, where we again had the most top 10 SVOD originals, behind only the market leader [Netflix], and churn achieved a record low.
co-CEOs George Cheeks, Chris McCarthy, and Brian Robbins said in a joint statement.
Paramount Global’s pending $8 billion acquisition by Skydance Media is slated to close on August 7.
Source: MediaPlayNews