Paramount misses revenue estimates as weak ad market offsets streaming gains

Paramount Global fell short of Wall Street estimates for quarterly revenue on Wednesday, weighed by intense competition from streaming rivals and a weak advertising market.

Shares of the company fell nearly 2% in trading after the bell.

The media industry has been grappling with a changing landscape of streaming gaining dominance over traditional television and the impact from the Hollywood strikes last year.

A soft advertising market and economic uncertainties have added to the pressure.

The media conglomerate reported overall fourth-quarter revenue of $7.64 billion, missing analysts’ estimate of $7.85 billion, according to LSEG data.

“We now expect to reach domestic Paramount+ profitability in 2025,” CEO Bob Bakish said.