Paramount Skydance Q2 earnings lift 2026 profit outlook as WBD case continues
Paramount raised its 2026 adjusted EBITDA outlook after Q2 results, while the state antitrust lawsuit is scheduled for trial in March 2027.
By Jordan Bell · Startups & Deals Reporter
· 2 min read
Paramount Skydance Q2 earnings brought a higher full-year profit outlook, giving investors a clearer view of the company’s savings from its earlier merger even as its Warner Bros. Discovery acquisition remains delayed. Paramount said it now expects 2026 adjusted EBITDA of $3.8 billion to $3.9 billion, raising the high end of the range by $100 million from its first-quarter guidance.
The company attributed the increase to savings from the Paramount-Skydance combination. Adjusted EBITDA is a company profit measure that excludes interest, taxes, depreciation and amortization. Paramount had previously forecast $3.8 billion for the year, according to CNBC.
For the quarter ended June 30, Paramount reported $6.91 billion in revenue and net earnings attributable to the company of $41 million, or 4 cents a share. Revenue edged above the $6.88 billion consensus estimate compiled by LSEG, CNBC reported. The reported 4-cent earnings-per-share figure was not comparable with LSEG’s 15-cent adjusted estimate, according to CNBC.
What drove Paramount Skydance’s Q2 earnings?
Streaming and studio operations grew while TV-media revenue declined. Direct-to-consumer revenue, which includes Paramount+, BET+ and Pluto TV, increased 9% from a year earlier to $2.47 billion. Studio revenue rose 16% to $1.31 billion. TV-media revenue fell 9% to $3.13 billion, CNBC reported.
Paramount+ added 2 million subscribers during the quarter and ended June with 81.6 million global customers. The company called the period its best-ever quarter for retention, citing programming including the “Yellowstone” spinoff “Dutton Ranch,” live UFC events and World Cup coverage in parts of Latin America.
Paramount retained its projection for $30 billion in 2026 revenue, which it said would represent 4% annual growth. For the third quarter, the company forecast revenue of $6.95 billion to $7.15 billion and said Paramount+ subscriber additions should be roughly flat from the second quarter.
What is delaying the Warner Bros. Discovery acquisition?
Chief Executive David Ellison said in Paramount’s shareholder letter that the company remains confident the Warner Bros. Discovery transaction will be completed. That is management’s view, rather than a confirmed outcome.
The proposed acquisition has been delayed by an antitrust lawsuit brought by U.S. states. CNBC reported that the parties agreed in July to extend the possible closing date to as late as June 2027 because of the litigation. The state antitrust lawsuit is scheduled for trial in March 2027, CNBC said, citing a court filing.
Paramount’s investor-relations site lists an August 4 release on the second-quarter results and confirms that the European Commission approved the proposed acquisition in July. CNBC also reported that the Justice Department’s Antitrust Division and several other foreign jurisdictions had approved the transaction.
This story draws on original reporting from CNBC.
