Paramount Global (NASDAQ:PARA) saw a nearly 7% uptick in its stock price in pre-market today after exceeding third-quarter earnings expectations, propelled by the expansion of Paramount+.
The company’s earnings per share surged by 71% compared to the previous year, reaching $0.30 and surpassing the analyst projection of $0.11. Quarterly revenue increased by 3% to $7.13 billion, aligning with the Street estimate. Direct-to-consumer revenue outperformed estimates with a 38% annual increase, fueled by robust subscription and advertising income. However, TV Media revenue fell short of expectations.
Paramount+ experienced a substantial subscriber boost, surpassing 63 million thanks to 2.7 million new subscribers in the quarter, which was ahead of the 2 million net additions forecasted.
Subscription revenue climbed 46% to $1.3 billion, driven by subscriber growth, price hikes for Paramount+, and revenue from pay-per-view events.