Paramount Skydance raises full-year profit guidance, remains 'confident' about WBD merger

Paramount Skydance raised its full-year profit estimate on Tuesday, maintaining confidence in the Warner Bros. Discovery (WBD) merger. The company reported a strong second-quarter performance, driven by its streaming service, Paramount+, while its cable TV networks impacted overall results. Despite a slight dip in total revenue, Paramount noted cost-cutting measures and creative execution improvements in traditional TV contributed to better margins.

In the quarter ended June 30, the company reported net earnings of $41 million, or 4 cents per share, which was lower than Wall Street estimates. However, revenue for the streaming segment and film studios increased, while TV media revenue declined. Paramount+ added 2 million subscribers during the period, bringing its global customer base to 81.6 million.

The company expects full-year 2026 adjusted earnings before interest, taxes, depreciation, and amortization to be between $3.8 billion and $3.9 billion, citing savings from the merger last year. Despite the merger's pending, Paramount remains optimistic about the deal's completion, emphasizing the benefits it will bring to consumers, theater exhibitors, and creatives.