Paramount Global's revenue dropped 11% in the second quarter, the company's biggest miss relative to analyst estimates since February 2020.
Paramount has identified $500 million in cost savings, which include the head count reductions, as part of $2 billion in synergies related to its transaction with Skydance. The job cuts, which will begin in the coming weeks and largely conclude by year end, will target the company's marketing and communications department and employees who work in finance, legal, technology and other support functions, the company said during its earnings conference call Thursday..
Here's how Paramount performed in the quarter compared with what Wall Street was expecting, based on a survey of analysts by LSEG:Advertising group suspends brand safety unit after Elon Musk's antitrust lawsuit Paramount+ revenue grew 46% on year-over-year subscriber growth and higher prices. Paramount+ customers decreased 2.8 million from last quarter to 68 million as the companyParamount's streaming division turned a profit for the quarter of $26 million after losing $424 million a year ago. Analysts had estimated a loss of $265 million this quarter.