ViacomCBS renames itself Paramount Global after it adds a record 9.4 million streaming subscribers

ViacomCBS Inc. said it is renaming itself Paramount Global this week after it reported a record surge in its streaming-service business.

“Effective February 16, we’ll be bringing together our leading portfolio of premium entertainment properties under a new parent company name,” the company said. Company shares will trade on NASDAQ
COMP,
+2.53%
as PARAA (Class A common), PARA (Class B common) and PARAP (Preferred Stock), beginning Thursday.

ViacomCBS shares
VIAC,
+2.74%
initially dipped 2% in extended trading Tuesday after the media giant reported fiscal fourth-quarter earnings that fell short of Wall Street analysts’ forecasts but a healthy jump in streaming subscribers led by its Paramount+ service.

The company — whose properties include Paramount Pictures, CBS, Nickelodeon, MTV and Showtime — posted adjusted earnings of $557 million, or 26 cents a share, compared with $1.18 billion, or $1.04 a share, in the year-ago quarter. Revenue climbed 16% to $8 billion from $6.87 billion a year ago.

“Our success was evident across all lines of business, and spotlighted by streaming, where we achieved our best quarter ever in streaming subscription growth — more than doubling our subscriber additions from last quarter with a record 9.4M additions, expanding our total global streaming subscribers to over 56M,” ViacomCBS Chief Executive Robert Bakish said in a statement announcing the results.

Streaming revenue surged 48% to $1.32 billion during the quarter, topping analyst forecasts of $1.27 billion. The media giant, which owns TK, also said it expects 100 million subscribers for Paramount+ by 2024, up from previous guidance of between 65 million to 75 million at the end of last quarter.

Analysts surveyed by FactSet had expected net income of 43 cents a share on revenue of $7.5 billion. They also expected 52.9 million total streaming subscribers.

ViacomCBS stock is up 19% this year, while the broader S&P 500 index
SPX,
+1.58%
is down 6%.

ViacomCBS’s results come after rivals Walt Disney Co.
DIS,
+2.57%,
Apple Inc.
AAPL,
+2.32%
and Amazon.com Inc.
AMZN,
+0.87%
reported strong results, while Netflix Inc.
NFLX,
+2.75%
warned of slackening growth.

ViacomCBS has aggressively promoted its content, including original series “1883,” “Halo” and “Big Nate,” in a full-page ad in the New York Times on Tuesday.

Source: https://www.marketwatch.com/story/viacomcbs-adds-record-9-4-million-streaming-subscribers-in-quarter-11644960239?siteid=yhoof2&yptr=yahoo