Paramount sales dropped due to the contraction of traditional television advertising

Paramount, the parent company of “CBS” and MTV and other networks, said sales of the fourth quarter fell by $ 6% to $ 7.64 billion due to falling ads on traditional TV channels. While revenue was less than the expectations of analysts of $ 7.89 billion, the company recorded better profits than expected, scored 4 cents per share, with the exception of some items, according to a statement issued on Wednesday. Wall Street experts expected a draw during the last quarter to achieve a draw, that is, the total cost equals the total income. The number of subscribers on the broadcasting service “Paramount+” rose to 67.5 million, an increase of 4.1 million during the previous quarter, exceeding the estimates “Wall Street”. The Giant Media in New York also exceeded expectations after achieving a $ 490 million loss, while turnover rose to $ 1.87 billion. Viewers cancel the cable TV signs, provided by cables, and watch more videos on request, which are a challenge for traditional media companies, because it struggles to remove profits from their broadcasting services. The management of the company aired at a telephone conference with investors yesterday, saying that the broadcasting service “paramount+” should be profitable at local level next year. In the first quarter of this year, the company expected the advertising sales to rise by a medium, which is partially driven by record revenue from the famous US football match “Super Bowl”. The administration also expected ‘big’ growth in the profits of the business in general. John Rogarers, chairman of the “Ariel” board for investments, and a senior shareholder in paramount, said during an interview that the growth in the number of subscribers and focus on profitability was a fan. He added: “The idea that the cash flow was positive and paying the debt was one of the decisive things we were excited to see.” Advertising in the traditional television networks of Paramount fell by 15% in the fourth quarter, which led to a 12% decline in sales and operating revenue of the unit that achieves almost all its profits. The company won $ 1.14 billion in $ 5.17 billion in this quarter. The film studio of the same name was also suffered by paramount, as sales fell by $ 31% to $ 647, and profits fell by $ 72% to $ 24 million. The company indicated that the revenue of home entertainment and the impact of the strikes of the actors and the book last year. Paramont has a cost of one billion in the current quarter to cover the number of employees and program changes. The company expects the total growth of broadcast subscribers to be less. The “Redston” family, which controls “paramont”, studied offers for the business, including a possible sale of its share. CEO of the company, Bob Baksh, said when he was asked in a collective call to obtain an update on these discussions, the company is always looking for value for the shareholders. He added: “… and to make it clear, it applies to all shareholders.”