Paramount Q2 2020 Earnings Report
Key Takeaways
ViacomCBS's Q2 2020 earnings showed resilience amidst the COVID-19 pandemic, with sequential improvement in key earnings and cash flow metrics. The company successfully managed the pandemic's effects and progressed on value-creation initiatives, including cost synergies, distribution agreements, and streaming business acceleration.
Achieved second consecutive quarter of sequential improvement in operating income, adjusted OIBDA, operating cash flow, and free cash flow.
Executed significant distribution deals, unlocking value-creation opportunities across the combined asset base.
Delivered robust growth in streaming with record revenue, subscribers, MAUs, and consumption across free and pay services.
Increased target for annualized merger-related cost synergies while managing costs in response to COVID-19.
Paramount
Paramount
Paramount Revenue by Segment
Paramount Revenue by Geographic Location
Forward Guidance
ViacomCBS is on track for super service relaunch. In July, ViacomCBS unveiled the first major step in transforming CBS All Access into a rebranded super service and remains on track to relaunch this differentiated streaming product in early 2021.
Positive Outlook
- ViacomCBS signed a comprehensive, multiplatform partnership with Verizon, spanning pay TV, connected television and mobile.
- The company announced a new deal with YouTube TV, which renewed CBS and Showtime early and brought Viacom’s cable networks to the service.
- ViacomCBS announced a multi-year renewal with DISH and Sling TV, marking its third crosscompany renewal.
- The company also continued to benefit from strong reverse compensation and recently signed agreements with Sinclair and Cox.
- ViacomCBS unveiled the first major step in transforming CBS All Access into a rebranded super service and remains on track to relaunch this differentiated streaming product in early 2021.
Revenue & Expenses
Visualization of income flow from segment revenue to net income