Paramount broke its tradition of barely treading water [1] in 2023 by booking multibillion cable losses [2] before being acquired in a de facto LBO [3] at half the price it traded at in 2005 [4]. (90% off its 2021 peak, though that may have been meme-y.)
Paramount Skydance–the one bidding for Warner–has $15bn of debt on $600mm operating cash flow supporting $15bn of equity trading above book value while still posting losses [5].
alt Hacker News
> Paramount is dead?
Paramount broke its tradition of barely treading water [1] in 2023 by booking multibillion cable losses [2] before being acquired in a de facto LBO [3] at half the price it traded at in 2005 [4]. (90% off its 2021 peak, though that may have been meme-y.)
Paramount Skydance–the one bidding for Warner–has $15bn of debt on $600mm operating cash flow supporting $15bn of equity trading above book value while still posting losses [5].
It's not dead. But it's at least necrotic.
[1] https://tradingeconomics.com/cbs:us:net-income
[2] https://www.filmtake.com/distribution/paramounts-financial-t...
[3] https://en.wikipedia.org/wiki/Paramount_Skydance
[4] https://stockanalysis.com/stocks/para/history/
[5] https://finance.yahoo.com/quote/PSKY/key-statistics/