ViacomCBS VIAC shares fell Wednesday, after the media giant reported its fourth quarter earnings that fell short of analysts’ expectations. The company also announced its change of name to Paramount.
Viacom’s earnings for the quarter ended December came in at 26 cents per share, well below the Street forecasts.
Revenues rose +16% from the year-ago quarter to $8 billion. Streaming revenues were $1.33 billion while cable network revenues climbed +16.3% to $4 billon. Ad revenues were almost flat vs. last year at $2.6 billion.
ViacomCBS’s Paramount+ streaming service added 1 million subscribers in just a week in November following the release of adult drama “Mayor of Kingstown”, family movie “Clifford the Big Red Dog”, and concert event “Adele: One Night Only.” During the quarter, it added 9.4 million global streaming subscribers, taking its total count to 56 million subscribers.
The group will also officially change its name to Paramount today, with a new ticker symbol PARA to replace the existing VIAC on the Nasdaq.
ViacomCBS expects to have 100 million streaming subscribers by 2024, up from its prior forecast of around 70 million. The company plans to spend more than $6 billion a year on content. The company projects revenues of around $9 billion for 2024, up from a prior estimate of $6 billion