Paramount Reports Q1 Earnings
- Paramount+ Increased Revenue 51% Year-Over-Year and Reached More Than 71 Million Global Subscribers
- Direct-To-Consumer Adjusted OIBDA Improved Year-Over-Year for the 4th Consecutive Quarter
- Total Advertising Revenue Rose 17%; Total Company Revenue Increased 6%
- Generated $260 Million of Net Operating Cash Flow and $209 Million of Free Cash Flow in Q1
Three Months Ended March 31
| GAAP | 2024 | 2023 | B/(W)% | ||
| Revenue | S | 7,685 | S | 7,265 | 6 % |
| ▪ TV Media | 5,231 | 5,193 | 1 % | ||
| ▪ Direct-to-Consumer | 1,879 | 1,510 | 24 % | ||
| ▪ Filmed Entertainment | 605 | 588 | 3 % | ||
| ▪ Eliminations | (30) | (26) | (15)% | ||
| Operating loss | S | (417) | S | (1,226) | 66 % |
| Diluted EPS from continuing operations attributable to Paramount | S | (.88) | S | (1.81) | 51 % |
|
Non-GAAP† |
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| Adjusted OIBDA | S | 987 | S | 548 | 80 % |
| Adjusted diluted EPS from continuing operations attributable to Paramount | S | .62 | S | .09 | 589 % |
|
† Non-GAAP measures are detailed in the Supplemental Disclosures at the end of this release. |
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| *Simon & Schuster, which was sold in October 2023, has been presented as a discontinued operation in the companyʼs consolidated financial statements. B/(W) – Better/(Worse) |
DIRECT-TO-CONSUMER
OVERVIEW
DTC Adjusted OIBDA improved year-over-year driven by a continued focus on engagement, revenue and operating leverage.
Q1 FINANCIALS
- Revenue increased 24% year-over-
- Subscription revenue grew 22%, driven by subscriber growth and pricing increases for Paramount+.
- Advertising revenue rose 31%, driven by growth from Pluto TV and Paramount+, including the benefit of Super Bowl LVIII.
- Paramount+ revenue grew 51%, reflecting subscriber growth and ARPU expansion.
- Paramount+ subscribers reached more than 71 million, with 7 million net additions in the quarter.
- Paramount+ global ARPU expanded 26% year-over-
- Adjusted OIBDA increased 44% year-over-year, led by improvement in Paramount+ domestic profitability.
Three Months Ended March 31
| 2024 | 2023 | S B/(W) % | |||||
| Revenue | S | 1,879 | S | 1,510 | S | 369 | 24 % |
| ▪ Advertising | 520 | 398 | 122 | 31 | |||
| ▪ Subscription | 1,359 | 1,112 | 247 | 22 | |||
| Expenses | 2,165 | 2,021 | (144) | (7) | |||
| Adjusted OIBDA | S | (286) | S | (511) | S | 225 | 44 % |
TV Media
TV Media revenue and earnings in the quarter benefited from the most watched Super Bowl of all time. Notably, CBS is poised to claim the #1 spot in broadcast for the 16th straight season and is home to the top three new series on broadcast in Tracker, Elsbeth and NCIS: Sydney.
Q1 FINANCIALS
- Revenue grew 1% to 2 billion.
- Advertising revenue increased 14%, reflecting a 23-percentage point benefit from CBS’ broadcast of Super Bowl LVIII.
- Affiliate and subscription revenue decreased 3%, driven by subscriber declines, partially offset by pricing increases.
- Licensing and other revenue decreased 25%, including the impact from 2023 labor strikes on content available for licensing.
- Adjusted OIBDA was 4 billion — an 11% increase — driven by the benefit from the broadcast of Super Bowl LVIII. Three Months Ended March 31
| 2024 | 2023 | S B/(W) | % | ||||
| Revenue | S | 5,231 | S | 5,193 | S | 38 | 1 % |
| ▪ Advertising | 2,582 | 2,256 | 326 | 14 | |||
| ▪ Affiliate and subscription | 1,998 | 2,067 | (69) | (3) | |||
| ▪ Licensing and other | 651 | 870 | (219) | (25) | |||
| Expenses | 3,786 | 3,887 | 101 | 3 | |||
| Adjusted OIBDA | S | 1,445 | S | 1,306 | S | 139 | 11 % |
FILMED ENTERTAINMENT
Filmed Entertainment generated significant revenue in the quarter with Mean Girls and Bob Marley: One Love each debuting #1 at the domestic box office and together generating over S275 million at the global box office to date.
Q1 FINANCIALS
- Revenue increased 3%.
- Theatrical revenues grew 20%, driven by the strong performances of Mean Girls and Bob Marley: One Love, and Miramax’s release of The Beekeeper.
- Licensing and other revenue decreased 1%.
- Adjusted OIBDA improved S96 million, reflecting the timing and mix of theatrical releases in each year. Three Months Ended March 31
| 2024 | 2023 | S B/(W) % | |||||
| Revenue | S | 605 | S | 588 | S | 17 | 3 % |
| ▪ Advertising | 1 | 5 | (4) | (80) | |||
| ▪ Theatrical | 153 | 127 | 26 | 20 | |||
| ▪ Licensing and other | 451 | 456 | (5) | (1) | |||
| Expenses | 608 | 687 | 79 | 11 | |||
| Adjusted OIBDA | S | (3) | S | (99) | S | 96 | 97 % |
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