Stock market today: S&P 500, Nasdaq soar as Senate vote lifts hopes for end to US shutdown

Paramount Skydance (PSKY) reported third-quarter revenue that came in just below Wall Street expectations, but the company struck an upbeat tone for what lies ahead, raising its cost-savings target, projecting stronger streaming profits, and signaling upcoming price hikes for Paramount+.

Shares rose 6% in after-hours trading shortly after the results.

Revenue totaled $6.7 billion for the quarter ended in September, slightly shy of analysts’ $7 billion estimate, in the company’s first earnings release since completing its merger with Skydance in August.

PSKY CEO David Ellison said the company now expects $30 billion in total revenue and $3.5 billion in adjusted OIBDA for 2026, driven by a “healthy acceleration” in streaming. The company also expects Paramount+ to be profitable this year and to grow that profitability in 2026.

Direct-to-consumer revenue jumped 17% year over year, while weakness in TV Media offset those gains. Paramount+ revenue climbed 24%, with total subscribers reaching 79.1 million.

Across the full quarter, Paramount reported $324 million in operating income and a net loss of about $257 million, though pre- and post-merger results aren’t directly comparable.

Paramount Skydance CEO David Ellison said the newly combined company has taken “meaningful steps” to streamline operations, including a reduction of 1,000 employees from its workforce and plans to cut an additional 1,600 employees.

Paramount also raised its efficiency-savings target to $3 billion, up from $2 billion previously.

On top of its efficiency goals, the company also plans to raise prices for Paramount+ early next year in the US, part of a broader push to boost profitability and fund new content and technology investments.

The company recently announced upcoming price increases in both Canada and Australia.