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ViacomCBS signs Comcast to deliver Paramount + in Europe

Viacom CBS Ltd

VIAC 5.93%

Added 6.5 million streaming subscribers across the platform in the second quarter

Comcast Corp.

CMCSA 0.84%

The Sky TV unit delivers Paramount + services to several European markets.

The company, which owns cable channels such as CBS Broadcast Network, Paramount Studios, MTV and Comedy Central, said revenues increased 8% to $ 6.56 billion this quarter. Take advantage of streaming video gain And advertising sales.

Viacom’s operating income fell 2%, partly due to lower costs associated with Paramount + and lower licensing revenues compared to the previous year, when there was significant profit from licensing “South Park” to WarnerMedia. That’s $ 1.23 billion.

The deal with Comcast will allow subscribers to Comcast’s Sky Cinema service to use Paramount + for free in Sky markets such as the UK, Switzerland, Italy and Germany, the company said. The agreement also extends the contract to carry Viacom CBS channels on Sky’s pay-TV system.

Last month’s Wall Street Journal coverage Comcast CEO Brian Roberts met with ViacomCBS Chairman Shari Redstone and ViacomCBS CEO Bob Bakish to discuss how the two companies can work together in the international market.

Also on Thursday, ViacomCBS signed a six-year deal with “South Park” creators Trey Parker and Matt Stone, covering six new seasons of Comedy Central’s “South Park” television show and 14 “South Park” movies. I said it was tied. Paramount +. ViacomCBS has paid Stone and Mrs. Parker a $ 900 million deal, according to someone familiar with the matter. Bloomberg previously reported on creators’ deals.

Asked over the phone about whether ViacomCBS could be a candidate for a merger, Mr. Bakish said the company is growing on its own, but is open to opportunities to benefit shareholders. rice field.

“We believe that organic practice remains the right path for Viacom, CBS, and shareholders,” he said.

ViacomCBS, which also has showtime and BET streaming services and children’s services Nogin, said it currently has a total of 42 million streaming subscribers. ViacomCBS did not disclose the number of Paramount + subscribers, but said it boosted quarterly profits.

The company’s streaming revenue increased 92% in the second quarter to $ 883 million, with subscriptions generating $ 481 million and advertising generating $ 502 million.

ViacomCBS competes with Comcast’s Peacock in the United States for a range of other services, including:

Walt Disney Ltd

Disney +,

Netflix Ltd

When

Amazon.com Of a corporation

Prime video. Paramount + is a relatively new entrant to the market, launched in March.

Netflix, a longtime streaming leader, reported 1.5 million new streaming subscribers worldwide in the second quarter, losing 400,000 subscribers in the US and Canada, reflecting the mature domestic market. rice field. In summary, WarnerMedia’s HBO TV channel and HBO Max streaming service added approximately 3 million domestic subscribers in the second quarter.

ViacomCBS’s theater business recovered compared to the same period last year when the Covid-19 pandemic occurred. Closed theaters around the world.. Theater revenues increased from $ 3 million last year to $ 134 million, reflecting the debut of the sci-fi thriller A Quiet Place Part II.

Viacom CBS’s advertising revenue increased 24% to $ 2.1 billion in the second quarter, while affiliate revenue increased 9% as the company signed a contract with a higher fixed distributor. ..

Net income for the quarter more than doubled from $ 453 million a year ago ($ 73 per share) to $ 995 million ($ 1.50 per share), compared to tax revenues and the same period last year. became. Fees emphasized results. The tax profit comes from selling Westinghouse Licensing Corporation, a business that licenses the Westinghouse brand, to a group of investors.

Write to Benjamin Marine Benjamin.Mullin@wsj.com

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ViacomCBS signs Comcast to deliver Paramount + in Europe

Source link ViacomCBS signs Comcast to deliver Paramount + in Europe

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