UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2023 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ____________ to ____________ Commission File Number 001-09553 Paramount Global (Exact name of registrant as specified in its charter) Delaware 04-2949533 (State or other ...

Paramount Global (NASDAQ:PARA) Q1 2023 Earnings Conference Call May 4, 2023 8:30 AM ET Company Participants Kristin Southey - Executive Vice President, Investor Relations Bob Bakish - President and Chief Executive Officer Naveen Chopra - Chief Financial Officer Conference Call Participants Michael Morris - Guggenheim Securities Brett Feldman - Goldman Sachs Ben Swinburne - Morgan Stanley Jessica Reif Ehrlich - Bank of America Securities Rich Greenfield - LightShed Partners Robert Fishman - MoffettNathanson ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2023 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ____________ to ____________ Commission File Number 001-09553 Paramount Global (Exact name of registrant as specified in its charter) Delaware 04-2949533 (State or other ...

Paramount Global (NASDAQ:PARA) 2023 Morgan Stanley Technology, Media & Telecom Conference March 8, 2023 11:00 AM ET Company Participants Bob Bakish - President and Chief Executive Officer Conference Call Participants Ben Swinburne - Morgan Stanley Ben Swinburne All right. Good morning, everybody. Welcome to Day 3 of Morgan Stanley's TMT Conference. I'm Ben Swinburne, Morgan Stanley's media analyst. For important disclosures, please see the Morgan Stanley research disclosure website. If you have any question ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For fiscal year ended December 31, 2022 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number 001-09553 Paramount Global (Exact name of registrant as specified in its charter) (State or other jurisdiction of incorporation or organization) Delawar ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2022 For the transition period from ____________ to ____________ Commission File Number 001-09553 Paramount Global (Exact name of registrant as specified in its charter) Delaware 04-2949533 (State or other jurisdiction of incorporation or organization) 1515 Broadway New York, New York 10036 (Ad ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2022 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ____________ to ____________ Commission File Number 001-09553 Paramount Global (Exact name of registrant as specified in its charter) Delaware 04-2949533 (State or other ...

```markdown [PART I – FINANCIAL INFORMATION](index=3&type=section&id=PART%20I%20%E2%80%93%20FINANCIAL%20INFORMATION) [Item 1. Financial Statements.](index=3&type=section&id=Item%201.%20Financial%20Statements.) This section presents Paramount Global's unaudited consolidated financial statements for the three months ended March 31, 2022, and 2021, including statements of operations, comprehensive income, balance sheets, cash flows, and stockholders' equity, along with detailed notes explaining the basis of presentation, dispositions, inventory, related parties, revenues, debt, financial instruments, VIEs, stockholders' equity, income taxes, pension benefits, noncontrolling interests, segment information, commitments, and supplemental financial data [Consolidated Statements of Operations (Unaudited)](index=3&type=section&id=Consolidated%20Statements%20of%20Operations%20(Unaudited)) Consolidated Statements of Operations (Unaudited) | Metric | 3 Months Ended March 31, 2022 (in millions) | 3 Months Ended March 31, 2021 (in millions) | Change (%) | | :--------------------------------- | :------------------------------------------ | :------------------------------------------ | :--------- | | Revenues | $7,328 | $7,412 | (1)% | | Operating income | $775 | $1,528 | (49)% | | Net earnings attributable to Paramount | $433 | $911 | (52.5)% | | Basic net earnings per common share | $0.65 | $1.46 | (55.5)% | | Diluted net earnings per common share | $0.64 | $1.44 | (55.6)% | [Consolidated Statements of Comprehensive Income (Unaudited)](index=4&type=section&id=Consolidated%20Statements%20of%20Comprehensive%20Income%20(Unaudited)) Consolidated Statements of Comprehensive Income (Unaudited) | Metric | 3 Months Ended March 31, 2022 (in millions) | 3 Months Ended March 31, 2021 (in millions) | Change (%) | | :------------------------------------------ | :------------------------------------------ | :------------------------------------------ | :--------- | | Net earnings (Paramount and noncontrolling interests) | $441 | $923 | (52.2)% | | Other comprehensive loss from continuing operations, net of tax | $(24) | $(53) | (54.7)% | | Comprehensive income attributable to Paramount | $411 | $861 | (52.3)% | [Consolidated Balance Sheets (Unaudited)](index=5&type=section&id=Consolidated%20Balance%20Sheets%20(Unaudited)) Consolidated Balance Sheets (Unaudited) | Metric | At March 31, 2022 (in millions) | At December 31, 2021 (in millions) | Change ($) | Change (%) | | :-------------------------------- | :-------------------------------- | :--------------------------------- | :--------- | :--------- | | Total Assets | $58,043 | $58,620 | $(577) | (1.0)% | | Total Liabilities | $34,886 | $35,650 | $(764) | (2.1)% | | Total Equity | $23,157 | $22,970 | $187 | 0.8% | | Cash and cash equivalents | $5,302 | $6,267 | $(965) | (15.4)% | | Total current assets | $15,354 | $16,676 | $(1,322) | (7.9)% | | Total current liabilities | $9,723 | $9,479 | $244 | 2.6% | | Long-term debt | $16,797 | $17,698 | $(901) | (5.1)% | [Consolidated Statements of Cash Flows (Unaudited)](index=7&type=section&id=Consolidated%20Statements%20of%20Cash%20Flows%20(Unaudited)) Consolidated Statements of Cash Flows (Unaudited) | Metric | 3 Months Ended March 31, 2022 (in millions) | 3 Months Ended March 31, 2021 (in millions) | Change ($) | Change (%) | | :------------------------------------------ | :------------------------------------------ | :------------------------------------------ | :--------- | :--------- | | Net cash flow provided by operating activities | $397 | $1,723 | $(1,326) | (76.9)% | | Net cash flow (used for) provided by investing activities | $(80) | $86 | $(166) | (193.0)% | | Net cash flow (used for) provided by financing activities | $(1,271) | $723 | $(1,994) | (275.8)% | | Net (decrease) increase in cash, cash equivalents and restricted cash | $(965) | $2,513 | $(3,478) | (138.4)% | [Consolidated Statements of Stockholders' Equity (Unaudited)](index=8&type=section&id=Consolidated%20Statements%20of%20Stockholders'%20Equity%20(Unaudited)) Consolidated Statements of Stockholders' Equity (Unaudited) | Metric | At March 31, 2022 (in millions) | At March 31, 2021 (in millions) | Change ($) | Change (%) | | :-------------------------------- | :-------------------------------- | :-------------------------------- | :--------- | :--------- | | Total Paramount stockholders' equity | $22,664 | $19,171 | $3,493 | 18.2% | | Total Equity | $23,157 | $19,843 | $3,314 | 16.7% | [Notes to Consolidated Financial Statements (Unaudited)](index=9&type=section&id=Notes%20to%20Consolidated%20Financial%20Statements%20(Unaudited)) [1) BASIS OF PRESENTATION](index=9&type=section&id=1)%20BASIS%20OF%20PRESENTATION) - Company name changed from ViacomCBS Inc. to Paramount Global, and ticker symbols changed to PARAA, PARA, PARAP effective February 16-17, 2022[23](index=23&type=chunk) - Operating segments were reorganized in Q1 2022 to focus on TV Media, Direct-to-Consumer, and Filmed Entertainment, with prior periods recast for comparability[24](index=24&type=chunk)[27](index=27&type=chunk) - Simon & Schuster publishing business is presented as a discontinued operation for all periods[27](index=27&type=chunk) [2) DISPOSITIONS](index=11&type=section&id=2)%20DISPOSITIONS) - Recorded **$15 million** in gains on sales in Q1 2022 from international intangible assets and a working capital adjustment for the CBS Studio Center sale[38](index=38&type=chunk) - The sale of Simon & Schuster for **$2.175 billion** is subject to a U.S. Department of Justice lawsuit to block the sale, with a potential **$200 million** termination fee if the transaction does not close for regulatory reasons[39](index=39&type=chunk)[138](index=138&type=chunk) Net Earnings from Discontinued Operations (Simon & Schuster) | Metric (Discontinued Operations) | 3 Months Ended March 31, 2022 (in millions) | 3 Months Ended March 31, 2021 (in millions) | Change ($) | Change (%) | | :------------------------------- | :------------------------------------------ | :------------------------------------------ | :--------- | :--------- | | Revenues | $217 | $185 | $32 | 17.3% | | Operating income | $55 | $27 | $28 | 103.7% | | Net earnings, net of tax | $42 | $12 | $30 | 250.0% | [3) PROGRAMMING AND OTHER INVENTORY](index=13&type=section&id=3)%20PROGRAMMING%20AND%20OTHER%20INVENTORY) - Total programming and other inventory increased to **$15.13 billion** at March 31, 2022, from **$14.86 billion** at December 31, 2021[48](index=48&type=chunk) - Reassessed monetization strategy for certain internally-produced content, shifting from individual to film group monetization due to increased focus on direct-to-consumer (DTC) services[47](index=47&type=chunk) Programming and Other Inventory | Inventory Type | At March 31, 2022 (in millions) | At December 31, 2021 (in millions) | | :------------------------------------------ | :-------------------------------- | :--------------------------------- | | Film Group Monetization: Acquired program rights | $3,054 | $3,432 | | Film Group Monetization: Internally-produced (Released) | $5,132 | $3,808 | | Individual Monetization: Internally-produced (Released) | $786 | $1,604 | | Total programming and other inventory | $15,130 | $14,862 | [4) RELATED PARTIES](index=13&type=section&id=4)%20RELATED%20PARTIES) - National Amusements, Inc. (NAI) is the controlling stockholder, owning approximately **77.4%** of voting Class A Common Stock and **9.7%** of combined Class A and B Common Stock at March 31, 2022[50](index=50&type=chunk) Related Party Transactions | Metric | 3 Months Ended March 31, 2022 (in millions) | 3 Months Ended March 31, 2021 (in millions) | | :----------------- | :------------------------------------------ | :------------------------------------------ | | Revenues | $54 | $65 | | Operating expenses | $5 | $4 | [5) REVENUES](index=14&type=section&id=5)%20REVENUES) Revenues by Type | Revenue Type | 3 Months Ended March 31, 2022 (in millions) | 3 Months Ended March 31, 2021 (in millions) | Change ($) | Change (%) | | :---------------------- | :------------------------------------------ | :------------------------------------------ | :--------- | :--------- | | Advertising | $2,864 | $3,109 | $(245) | (8)% | | Affiliate and subscription | $2,840 | $2,463 | $377 | 15% | | Theatrical | $131 | $1 | $130 | n/m | | Licensing and other | $1,493 | $1,839 | $(346) | (19)% | | Total Revenues | $7,328 | $7,412 | $(84) | (1)% | - Unrecognized revenues from long-term contracts totaled **$6.8 billion** at March 31, 2022, with **$3.0 billion** expected in the remainder of 2022[60](index=60&type=chunk) - Recorded a **$39 million** charge in Q1 2022 to reserve against amounts due from counterparties in Russia, Belarus, and Ukraine[56](index=56&type=chunk) [6) DEBT](index=16&type=section&id=6)%20DEBT) Total Debt | Metric | At March 31, 2022 (in millions) | At December 31, 2021 (in millions) | Change ($) | Change (%) | | :-------------------------------- | :-------------------------------- | :--------------------------------- | :--------- | :--------- | | Total debt | $16,812 | $17,709 | $(897) | (5.1)% | | Total long-term debt, net of current portion | $16,797 | $17,698 | $(901) | (5.1)% | - Redeemed **$1.94 billion** of long-term debt in Q1 2022, including notes due in 2024 and 2025, and junior subordinated debentures due 2057, resulting in a **$73 million** pre-tax loss on extinguishment[65](index=65&type=chunk)[187](index=187&type=chunk) - Issued **$1.00 billion** of **6.375%** junior subordinated debentures due 2062 in Q1 2022[67](index=67&type=chunk) [7) FINANCIAL INSTRUMENTS AND FAIR VALUE MEASUREMENTS](index=18&type=section&id=7)%20FINANCIAL%20INSTRUMENTS%20AND%20FAIR%20VALUE%20MEASUREMENTS) - Carrying value of notes and debentures (**$16.73 billion**) was lower than fair value (**$18.2 billion**) at March 31, 2022[75](index=75&type=chunk) - Notional amount of foreign exchange contracts increased to **$2.37 billion** at March 31, 2022, from **$1.94 billion** at December 31, 2021, primarily hedging future production costs[79](index=79&type=chunk) [8) VARIABLE INTEREST ENTITIES](index=19&type=section&id=8)%20VARIABLE%20INTEREST%20ENTITIES) Consolidated VIEs Assets and Liabilities | Metric (Consolidated VIEs) | At March 31, 2022 (in millions) | At December 31, 2021 (in millions) | | :------------------------- | :-------------------------------- | :--------------------------------- | | Total assets | $1,606 | $1,578 | | Total liabilities | $285 | $184 | Consolidated VIEs Revenues and Operating Income (Loss) | Metric (Consolidated VIEs) | 3 Months Ended March 31, 2022 (in millions) | 3 Months Ended March 31, 2021 (in millions) | | :------------------------- | :------------------------------------------ | :------------------------------------------ | | Revenues | $103 | $71 | | Operating income (loss) | $(28) | $5 | [9) STOCKHOLDERS' EQUITY](index=20&type=section&id=9)%20STOCKHOLDERS'%20EQUITY) - In March 2021, completed offerings of **20 million** Class B Common Stock shares (**$1.67 billion** net proceeds) and **10 million** Mandatory Convertible Preferred Stock shares (**$983 million** net proceeds)[88](index=88&type=chunk)[232](index=232&type=chunk) - Declared cash dividends of **$0.24** per share on Class A and Class B Common Stock in Q1 2022 and 2021[92](index=92&type=chunk)[241](index=241&type=chunk) Dividends Paid | Metric | 3 Months Ended March 31, 2022 (in millions) | 3 Months Ended March 31, 2021 (in millions) | | :-------------------------------- | :------------------------------------------ | :------------------------------------------ | | Common stock dividends | $(159) | $(152) | | Preferred stock dividends | $(14) | $(1) | [10) INCOME TAXES](index=21&type=section&id=10)%20INCOME%20TAXES) Income Tax Provision and Effective Rate | Metric | 3 Months Ended March 31, 2022 (in millions) | 3 Months Ended March 31, 2021 (in millions) | | :-------------------------------- | :------------------------------------------ | :------------------------------------------ | | Provision for income taxes | $34 | $226 | | Effective income tax rate | 7.2% | 19.6% | - Q1 2022 provision for income taxes included a **$78 million** net discrete tax benefit from the transfer of intangible assets during an international operations reorganization, decreasing the effective tax rate by **16.2 percentage points**[98](index=98&type=chunk)[191](index=191&type=chunk) [11) PENSION AND OTHER POSTRETIREMENT BENEFITS](index=22&type=section&id=11)%20PENSION%20AND%20OTHER%20POSTRETIREMENT%20BENEFITS) Net Periodic Pension Cost Components | Metric (Pension Benefits) | 3 Months Ended March 31, 2022 (in millions) | 3 Months Ended March 31, 2021 (in millions) | | :------------------------ | :------------------------------------------ | :------------------------------------------ | | Interest cost | $38 | $36 | | Expected return on plan assets | $(43) | $(47) | | Amortization of actuarial loss (gain) | $24 | $24 | | Net periodic cost | $19 | $13 | [12) REDEEMABLE NONCONTROLLING INTERESTS](index=22&type=section&id=12)%20REDEEMABLE%20NONCONTROLLING%20INTERESTS) - Redeemable noncontrolling interest decreased to **$105 million** at March 31, 2022, from **$107 million** at December 31, 2021[107](index=107&type=chunk) - The redeemable put option for an international subsidiary, payable in foreign currency, expires in December 2022[106](index=106&type=chunk) [13) SEGMENT INFORMATION](index=23&type=section&id=13)%20SEGMENT%20INFORMATION) - Operating segments reorganized into TV Media, Direct-to-Consumer, and Filmed Entertainment, with prior periods recast[109](index=109&type=chunk)[110](index=110&type=chunk)[203](index=203&type=chunk)[204](index=204&type=chunk) - Intersegment content licensing changed from market value license fees to an allocation of total content cost based on relative value of distribution windows[111](index=111&type=chunk)[112](index=112&type=chunk) Segment Revenues | Segment Revenues | 3 Months Ended March 31, 2022 (in millions) | 3 Months Ended March 31, 2021 (in millions) | Change ($) | Change (%) | | :------------------- | :------------------------------------------ | :------------------------------------------ | :--------- | :--------- | | TV Media | $5,645 | $5,993 | $(348) | (6)% | | Direct-to-Consumer | $1,089 | $598 | $491 | 82% | | Filmed Entertainment | $624 | $860 | $(236) | (27)% | | Total Revenues | $7,328 | $7,412 | $(84) | (1)% | Segment Adjusted OIBDA | Segment Adjusted OIBDA | 3 Months Ended March 31, 2022 (in millions) | 3 Months Ended March 31, 2021 (in millions) | Change ($) | Change (%) | | :--------------------- | :------------------------------------------ | :------------------------------------------ | :--------- | :--------- | | TV Media | $1,544 | $1,765 | $(221) | (13)% | | Direct-to-Consumer | $(456) | $(149) | $(307) | (206)% | | Filmed Entertainment | $(37) | $179 | $(216) | n/m | | Total Adjusted OIBDA | $913 | $1,627 | $(714) | (44)% | [14) COMMITMENTS AND CONTINGENCIES](index=25&type=section&id=14)%20COMMITMENTS%20AND%20CONTINGENCIES) - Outstanding letters of credit and surety bonds totaled approximately **$177 million** at March 31, 2022[120](index=120&type=chunk) - A **$50 million** liability is recorded for the CBS Television City cash flow guarantee[122](index=122&type=chunk) - Lease commitments for previously discontinued operations (Famous Players Inc.) totaled **$46 million** at March 31, 2022[123](index=123&type=chunk) - The company is a defendant in various legal matters, including class action lawsuits related to the 2019 merger, stock offerings, and the DOJ's suit to block the Simon & Schuster sale[125](index=125&type=chunk)[126](index=126&type=chunk)[129](index=129&type=chunk)[135](index=135&type=chunk)[138](index=138&type=chunk) - As of March 31, 2022, there were approximately 26,760 pending asbestos claims, with total settlement and defense costs (net of insurance and tax) of **$63 million** in 2021 and **$35 million** in 2020[140](index=140&type=chunk) [15) SUPPLEMENTAL FINANCIAL INFORMATION](index=30&type=section&id=15)%20SUPPLEMENTAL%20FINANCIAL%20INFORMATION) Supplemental Cash Flow Information | Metric | 3 Months Ended March 31, 2022 (in millions) | 3 Months Ended March 31, 2021 (in millions) | | :-------------------------------- | :------------------------------------------ | :------------------------------------------ | | Cash paid for interest | $292 | $316 | | Cash paid (received) for income taxes: Continuing operations | $45 | $(23) | - Lease income decreased to **$15 million** in Q1 2022 from **$36 million** in Q1 2021, reflecting sales of a production facility and office building[145](index=145&type=chunk) - Recorded **$18 million** in restructuring charges within the Filmed Entertainment segment, primarily for severance costs[146](index=146&type=chunk) [Item 2. Management's Discussion and Analysis of Results of Operations and Financial Condition.](index=31&type=section&id=Item%202.%20Management's%20Discussion%20and%20Analysis%20of%20Results%20of%20Operations%20and%20Financial%20Condition.) This section provides management's perspective and analysis of Paramount Global's financial performance and condition for the three months ended March 31, 2022, compared to the prior-year period, covering consolidated and segment-specific results, reconciliation of non-GAAP measures, liquidity and capital resources, legal matters, related party transactions, recently adopted accounting pronouncements, critical accounting policies, and forward-looking statements, with key themes including the strategic shift to direct-to-consumer businesses, the impact of the Super Bowl rotation, and significant investments in content and marketing [Overview](index=32&type=section&id=Overview) Consolidated Operational Highlights | Metric | 3 Months Ended March 31, 2022 (in millions) | 3 Months Ended March 31, 2021 (in millions) | Change ($) | Change (%) | | :------------------------------------------ | :------------------------------------------ | :------------------------------------------ | :--------- | :--------- | | Revenues | $7,328 | $7,412 | $(84) | (1)% | | Operating income | $775 | $1,528 | $(753) | (49)% | | Net earnings from continuing operations attributable to Paramount | $391 | $899 | $(508) | (57)% | | Diluted EPS from continuing operations attributable to Paramount | $0.58 | $1.42 | $(0.84) | (59)% | - Revenues negatively impacted by **6 percentage points** due to the rotational nature of Super Bowl broadcast rights (aired on CBS in 2021, another network in 2022)[153](index=153&type=chunk) - Operating income and Adjusted OIBDA decreased due to Super Bowl impact, increased investment in DTC services, and higher costs for theatrical releases and linear network programming[154](index=154&type=chunk) [Reconciliation of Non-GAAP Measures](index=33&type=section&id=Reconciliation%20of%20Non-GAAP%20Measures) GAAP vs. Non-GAAP Operating Income and Adjusted OIBDA | Metric | 3 Months Ended March 31, 2022 (in millions) | 3 Months Ended March 31, 2021 (in millions) | Change ($) | Change (%) | | :-------------------------------- | :------------------------------------------ | :------------------------------------------ | :--------- | :--------- | | Operating income (GAAP) | $775 | $1,528 | $(753) | (49)% | | Adjusted OIBDA (Non-GAAP) | $913 | $1,627 | $(714) | (44)% | Items Affecting Comparability (3 Months Ended March 31, 2022) | Item Affecting Comparability (3 Months Ended March 31, 2022) | Impact on Earnings from Continuing Operations Before Income Taxes (in millions) | Impact on Provision for Income Taxes (in millions) | Impact on Net Earnings from Continuing Operations Attributable to Paramount (in millions) | Impact on Diluted EPS from Continuing Operations | | :------------------------------------------------------- | :---------------------------------------------------------------------------- | :----------------------------------------------- | :-------------------------------------------------------------------------------------- | :----------------------------------------------- | | Restructuring and other corporate matters | $57 | $(12) | $45 | $0.07 | | Gain on sales | $(15) | $4 | $(11) | $(0.02) | | Loss on extinguishment of debt | $73 | $(17) | $56 | $0.09 | | Discrete tax items | — | $(78) | $(78) | $(0.12) | [Consolidated Results of Operations](index=35&type=section&id=Consolidated%20Results%20of%20Operations) [Revenues](index=35&type=section&id=Revenues) Consolidated Revenues by Type | Revenue Type | 3 Months Ended March 31, 2022 (in millions) | 3 Months Ended March 31, 2021 (in millions) | Change ($) | Change (%) | | :---------------------- | :------------------------------------------ | :------------------------------------------ | :--------- | :--------- | | Advertising | $2,864 | $3,109 | $(245) | (8)% | | Affiliate and subscription | $2,840 | $2,463 | $377 | 15% | | Theatrical | $131 | $1 | $130 | n/m | | Licensing and other | $1,493 | $1,839 | $(346) | (19)% | | Total Revenues | $7,328 | $7,412 | $(84) | (1)% | - Advertising revenue decrease of **8%** was primarily due to a **16-percentage point** negative impact from the Super Bowl broadcast rotation, partially offset by **51%** growth in Pluto TV advertising[170](index=170&type=chunk) - Affiliate and subscription revenues increased **15%**, driven by **74%** growth in DTC subscribers to **62.4 million** at March 31, 2022, with Paramount+ growing by **23.1 million** subscribers[172](index=172&type=chunk) [Operating Expenses](index=36&type=section&id=Operating%20Expenses) Consolidated Operating Expenses by Type | Operating Expense Type | 3 Months Ended March 31, 2022 (in millions) | 3 Months Ended March 31, 2021 (in millions) | Change ($) | Change (%) | | :--------------------- | :------------------------------------------ | :------------------------------------------ | :--------- | :--------- | | Content costs | $3,831 | $3,724 | $107 | 3% | | Distribution and other | $965 | $639 | $326 | 51% | | Total Operating Expenses | $4,796 | $4,363 | $433 | 10% | - Content costs increased **3%** due to increased investment in DTC services and more original programming on broadcast/cable networks[178](index=178&type=chunk) - Distribution and other expenses increased **51%** due to costs supporting theatrical releases (Scream, Jackass Forever, The Lost City) and higher third-party distributor costs for DTC services growth[179](index=179&type=chunk) [Selling, General and Administrative Expenses](index=36&type=section&id=Selling,%20General%20and%20Administrative%20Expenses) Selling, General and Administrative Expenses | Metric | 3 Months Ended March 31, 2022 (in millions) | 3 Months Ended March 31, 2021 (in millions) | Change ($) | Change (%) | | :------------------------------------------ | :------------------------------------------ | :------------------------------------------ | :--------- | :--------- | | Selling, general and administrative expenses | $1,619 | $1,422 | $197 | 14% | - Increase driven by advertising, marketing, and other cost increases to support the growth and expansion of DTC services[180](index=180&type=chunk) [Depreciation and Amortization](index=37&type=section&id=Depreciation%20and%20Amortization) Depreciation and Amortization | Metric | 3 Months Ended March 31, 2022 (in millions) | 3 Months Ended March 31, 2021 (in millions) | Change ($) | Change (%) | | :-------------------------- | :------------------------------------------ | :------------------------------------------ | :--------- | :--------- | | Depreciation and amortization | $96 | $99 | $(3) | (3)% | [Restructuring and Other Corporate Matters](index=37&type=section&id=Restructuring%20and%20Other%20Corporate%20Matters) Restructuring and Other Corporate Matters | Metric | 3 Months Ended March 31, 2022 (in millions) | | :-------------------------------- | :------------------------------------------ | | Restructuring charges | $18 | | Other corporate matters | $39 | | Total | $57 | - **$39 million** charge recorded principally to reserve against amounts due from counterparties in Russia, Belarus, and Ukraine[183](index=183&type=chunk) [Gain on Sales](index=37&type=section&id=Gain%20on%20Sales) Gain on Sales | Metric | 3 Months Ended March 31, 2022 (in millions) | 3 Months Ended March 31, 2021 (in millions) | | :----------- | :------------------------------------------ | :------------------------------------------ | | Gain on sales | $15 | $— | - Gains comprised of a gain from the sale of international intangible assets and a working capital adjustment to the gain from the Q4 2021 sale of CBS Studio Center[184](index=184&type=chunk) [Interest Expense/Income](index=37&type=section&id=Interest%20Expense/Income) Interest Expense/Income | Metric | 3 Months Ended March 31, 2022 (in millions) | 3 Months Ended March 31, 2021 (in millions) | Change ($) | Change (%) | | :------------- | :------------------------------------------ | :------------------------------------------ | :--------- | :--------- | | Interest expense | $(240) | $(259) | $19 | (7)% | | Interest income | $21 | $13 | $8 | 62% | Total Long-Term Debt and Weighted Average Interest Rate | Metric | At March 31, 2022 | At March 31, 2021 | | :-------------------- | :---------------- | :---------------- | | Total long-term debt | $16,727 million | $17,636 million | | Weighted Average Interest Rate | 5.09% | 4.93% | [Loss on Extinguishment of Debt](index=37&type=section&id=Loss%20on%20Extinguishment%20of%20Debt) Loss on Extinguishment of Debt | Metric | 3 Months Ended March 31, 2022 (in millions) | 3 Months Ended March 31, 2021 (in millions) | Change ($) | Change (%) | | :------------------------------ | :------------------------------------------ | :------------------------------------------ | :--------- | :--------- | | Loss on extinguishment of debt | $(73) | $(128) | $55 | (43)% | - Losses associated with early redemption of **$1.94 billion** of long-term debt in Q1 2022 and **$1.99 billion** in Q1 2021[187](index=187&type=chunk) [Other Items, Net](index=38&type=section&id=Other%20Items,%20Net) Components of Other Items, Net | Component | 3 Months Ended March 31, 2022 (in millions) | 3 Months Ended March 31, 2021 (in millions) | | :-------------------------------- | :------------------------------------------ | :------------------------------------------ | | Pension and postretirement benefit costs | $(17) | $(12) | | Foreign exchange gain (loss) | $1 | $(8) | | Gain from investments | $— | $20 | | Other items, net | $(13) | $1 | [Provision for Income Taxes](index=38&type=section&id=Provision%20for%20Income%20Taxes) Income Tax Provision and Effective Rate | Metric | 3 Months Ended March 31, 2022 (in millions) | 3 Months Ended March 31, 2021 (in millions) | | :-------------------------- | :------------------------------------------ | :------------------------------------------ | | Provision for income taxes | $34 | $226 | | Effective income tax rate | 7.2% | 19.6% | - Q1 2022 provision included a **$78 million** net discrete tax benefit from international operations reorganization, reducing the effective tax rate by **16.2 percentage points**[191](index=191&type=chunk) [Equity in Loss of Investee Companies, Net of Tax](index=38&type=section&id=Equity%20in%20Loss%20of%20Investee%20Companies,%20Net%20of%20Tax) Equity in Loss of Investee Companies, Net of Tax | Metric | 3 Months Ended March 31, 2022 (in millions) | 3 Months Ended March 31, 2021 (in millions) | Change ($) | Change (%) | | :------------------------------------------ | :------------------------------------------ | :------------------------------------------ | :--------- | :--------- | | Equity in loss of investee companies, net of tax | $(37) | $(18) | $(19) | (106)% | [Net Earnings from Discontinued Operations](index=38&type=section&id=Net%20Earnings%20from%20Discontinued%20Operations) Net Earnings from Discontinued Operations (Simon & Schuster) | Metric | 3 Months Ended March 31, 2022 (in millions) | 3 Months Ended March 31, 2021 (in millions) | Change ($) | Change (%) | | :------------------------------------------ | :------------------------------------------ | :------------------------------------------ | :--------- | :--------- | | Revenues | $217 | $185 | $32 | 17.3% | | Operating income | $55 | $27 | $28 | 103.7% | | Net earnings from discontinued operations, net of tax | $42 | $12 | $30 | 250.0% | [Net Earnings from Continuing Operations Attributable to Paramount and Diluted EPS from Continuing Operations Attributable to Paramount](index=39&type=section&id=Net%20Earnings%20from%20Continuing%20Operations%20Attributable%20to%20Paramount%20and%20Diluted%20EPS%20from%20Continuing%20Operations%20Attributable%20to%20Paramount) Net Earnings and Diluted EPS from Continuing Operations | Metric | 3 Months Ended March 31, 2022 (in millions) | 3 Months Ended March 31, 2021 (in millions) | Change ($) | Change (%) | | :-------------------------------------------------------------------------------- | :------------------------------------------ | :------------------------------------------ | :--------- | :--------- | | Net earnings from continuing operations attributable to Paramount | $391 | $899 | $(508) | (57)% | | Diluted EPS from continuing operations attributable to Paramount | $0.58 | $1.42 | $(0.84) | (59)% | - Diluted EPS was negatively impacted by **$0.03** due to the March 2021 issuance of Class B Common Stock and Mandatory Convertible Preferred Stock[155](index=155&type=chunk)[200](index=200&type=chunk) [Segment Results of Operations](index=40&type=section&id=Segment%20Results%20of%20Operations) [TV Media](index=41&type=section&id=TV%20Media) TV Media Segment Performance | Metric (TV Media) | 3 Months Ended March 31, 2022 (in millions) | 3 Months Ended March 31, 2021 (in millions) | Change ($) | Change (%) | | :---------------------- | :------------------------------------------ | :------------------------------------------ | :--------- | :--------- | | Revenues | $5,645 | $5,993 | $(348) | (6)% | | Advertising | $2,521 | $2,888 | $(367) | (13)% | | Affiliate and subscription | $2,098 | $2,083 | $15 | 1% | | Licensing and other | $1,026 | $1,022 | $4 | —% | | Adjusted OIBDA | $1,544 | $1,765 | $(221) | (13)% | - Advertising revenue decrease of **13%** was driven by a **17-percentage point** negative impact from the Super Bowl broadcast rotation[209](index=209&type=chunk) - Affiliate and subscription revenues grew **1%** due to rate increases from MVPDs and vMVPDs, and growth from station affiliates, offset by MVPD subscriber declines[211](index=211&type=chunk) [Direct-to-Consumer](index=42&type=section&id=Direct-to-Consumer) Direct-to-Consumer Segment Performance | Metric (Direct-to-Consumer) | 3 Months Ended March 31, 2022 (in millions) | 3 Months Ended March 31, 2021 (in millions) | Change ($) | Change (%) | | :-------------------------- | :------------------------------------------ | :------------------------------------------ | :--------- | :--------- | | Revenues | $1,089 | $598 | $491 | 82% | | Advertising | $347 | $218 | $129 | 59% | | Subscription | $742 | $380 | $362 | 95% | | Adjusted OIBDA | $(456) | $(149) | $(307) | (206)% | DTC Subscribers and MAUs | Metric (Subscribers/MAUs) | At March 31, 2022 (in millions) | At March 31, 2021 (in millions) | Change (in millions) | Change (%) | | :------------------------ | :-------------------------------- | :-------------------------------- | :------------------- | :--------- | | Global DTC Subscribers | 62.4 | 35.9 | 26.5 | 74% | | Paramount+ Subscribers | 39.6 | 16.5 | 23.1 | 140% | | Pluto TV MAUs | 67.5 | 49.5 | 18.0 | 36% | - Paramount+ subscriber growth was driven by new original scripted dramas (1883, Halo), film releases (Scream, Jackass Forever), NFL playoff games, and international launches[219](index=219&type=chunk) [Filmed Entertainment](index=43&type=section&id=Filmed%20Entertainment) Filmed Entertainment Segment Performance | Metric (Filmed Entertainment) | 3 Months Ended March 31, 2022 (in millions) | 3 Months Ended March 31, 2021 (in millions) | Change ($) | Change (%) | | :-------------------------- | :------------------------------------------ | :------------------------------------------ | :--------- | :--------- | | Revenues | $624 | $860 | $(236) | (27)% | | Theatrical | $131 | $1 | $130 | n/m | | Licensing and other | $491 | $853 | $(362) | (42)% | | Adjusted OIBDA | $(37) | $179 | $(216) | n/m | - Theatrical revenue increase reflects releases of Scream, Jackass Forever, and The Lost City in Q1 2022, compared to a prior-year quarter impacted by COVID-19 theater closures[223](index=223&type=chunk) - Licensing and other revenues decreased **42%** due to the benefit from licensing Coming 2 America and Tom Clancy's Without Remorse in the prior-year quarter, and lower film library and television programming licensing in 2022[225](index=225&type=chunk) [Liquidity and Capital Resources](index=44&type=section&id=Liquidity%20and%20Capital%20Resources) [Sources and Uses of Cash](index=44&type=section&id=Sources%20and%20Uses%20of%20Cash) - Expected funding sources include operating cash flows, cash and cash equivalents, **$3.50 billion** Credit Facility, and capital markets access[227](index=227&type=chunk) - Long-term debt obligations due over the next five years were **$3.39 billion** at March 31, 2022, reduced to **$2.42 billion** after April 2022 redemptions[228](index=228&type=chunk) - Proceeds from the planned **$2.175 billion** sale of Simon & Schuster are expected to be used for strategic growth (streaming), dividends, and debt reduction[229](index=229&type=chunk) - Net proceeds of **$1.67 billion** from Class B Common Stock and **$983 million** from Mandatory Convertible Preferred Stock offerings in March 2021 are used for general corporate purposes, including streaming investments[232](index=232&type=chunk) [Cash Flows](index=45&type=section&id=Cash%20Flows) Consolidated Cash Flows | Metric | 3 Months Ended March 31, 2022 (in millions) | 3 Months Ended March 31, 2021 (in millions) | Change ($) | Change (%) | | :------------------------------------------ | :------------------------------------------ | :------------------------------------------ | :--------- | :--------- | | Net cash flow provided by operating activities | $397 | $1,723 | $(1,326) | (76.9)% | | Net cash flow (used for) provided by investing activities | $(80) | $86 | $(166) | (193.0)% | | Net cash flow (used for) provided by financing activities | $(1,271) | $723 | $(1,994) | (275.8)% | | Net (decrease) increase in cash, cash equivalents and restricted cash | $(965) | $2,513 | $(3,478) | (138.4)% | - Decrease in operating cash flow mainly driven by increased investment in DTC services (content, marketing, distribution) and timing of incentive compensation payments[234](index=234&type=chunk) - Investing activities included **$59 million** in investments (primarily The CW) and **$31 million** in proceeds from dispositions (international intangible assets)[238](index=238&type=chunk)[239](index=239&type=chunk) [Capital Structure](index=47&type=section&id=Capital%20Structure) Debt by Type | Debt Type | At March 31, 2022 (in millions) | At December 31, 2021 (in millions) | Change ($) | Change (%) | | :-------------------------------- | :-------------------------------- | :--------------------------------- | :--------- | :--------- | | Senior debt | $15,095 | $16,501 | $(1,406) | (8.5)% | | Junior debt | $1,632 | $1,157 | $475 | 41.0% | | Total debt | $16,812 | $17,709 | $(897) | (5.1)% | - Redeemed **$1.94 billion** of long-term debt in Q1 2022, including 2024 and 2025 senior notes and 2057 junior subordinated debentures[247](index=247&type=chunk) - Issued **$1.00 billion** of **6.375%** junior subordinated debentures due 2062 in Q1 2022[248](index=248&type=chunk) - Redeemed an additional **$1.01 billion** of senior notes in April 2022[249](index=249&type=chunk) - The **$3.50 billion** revolving credit facility had no outstanding borrowings at March 31, 2022, and its covenant was amended to allow netting of unrestricted cash against indebtedness through June 2024[254](index=254&type=chunk)[255](index=255&type=chunk) [Guarantees](index=48&type=section&id=Guarantees) - Outstanding letters of credit and surety bonds approximated **$177 million** at March 31, 2022[257](index=257&type=chunk) - A **$50 million** liability is recorded for the CBS Television City cash flow guarantee[258](index=258&type=chunk) - Lease commitments for previously discontinued operations (Famous Players Inc.) totaled **$46 million** at March 31, 2022[260](index=260&type=chunk) [Legal Matters](index=49&type=section&id=Legal%20Matters) - Ongoing class action lawsuits allege breaches of fiduciary duties related to the 2019 merger of Viacom and CBS[263](index=263&type=chunk)[266](index=266&type=chunk) - The company is cooperating with regulatory inquiries related to an investigation into allegations against former CBS Chairman Leslie Moonves[267](index=267&type=chunk) - A putative class action lawsuit alleges sharing of competitively sensitive information among television stations in violation of the Sherman Antitrust Act; the company has reached an agreement in principle to settle[271](index=271&type=chunk) - A securities class action lawsuit alleges material misstatements and omissions in 2021 stock offering documents, including undisclosed total return swap transactions involving Archegos Capital Management[272](index=272&type=chunk) - The U.S. Department of Justice filed suit to block the sale of Simon & Schuster to Penguin Random House, asserting it would reduce competition[273](index=273&type=chunk) - The company is a defendant in approximately 26,760 pending asbestos claims related to former Westinghouse operations[276](index=276&type=chunk) [Related Parties](index=53&type=section&id=Related%20Parties) - Refer to Note 4 for details on related party transactions[281](index=281&type=chunk) [Recently Adopted Accounting Pronouncements](index=53&type=section&id=Recently%20Adopted%20Accounting%20Pronouncements) - Refer to Note 1 for details on recently adopted accounting pronouncements[282](index=282&type=chunk) - Adoption of FASB amended guidance for convertible instruments and contracts in an entity's own equity did not materially impact consolidated financial statements[37](index=37&type=chunk) [Critical Accounting Policies](index=53&type=section&id=Critical%20Accounting%20Policies) - Refer to Item 7 of the Annual Report on Form 10-K for critical accounting policies[283](index=283&type=chunk) [Cautionary Note Concerning Forward-Looking Statements](index=53&type=section&id=Cautionary%20Note%20Concerning%20Forward-Looking%20Statements) - The report contains forward-looking statements subject to known and unknown risks, uncertainties, and other factors that may cause actual results to differ[284](index=284&type=chunk) - The company does not undertake any obligation to publicly update forward-looking statements[284](index=284&type=chunk) [Item 3. Quantitative and Qualitative Disclosures About Market Risk.](index=54&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk.) This section states that there have been no significant changes to Paramount Global's market risk disclosures since those reported in its Annual Report on Form 10-K for the year ended December 31, 2021 - No significant changes to market risk disclosures since the Annual Report on Form 10-K for December 31, 2021[286](index=286&type=chunk) [Item 4. Controls and Procedures.](index=54&type=section&id=Item%204.%20Controls%20and%20Procedures.) This section confirms that Paramount Global's chief executive officer and chief financial officer concluded that the company's disclosure controls and procedures were effective as of March 31, 2022, and that no material changes to internal control over financial reporting occurred during the last fiscal quarter - Disclosure controls and procedures were effective as of March 31, 2022[287](index=287&type=chunk) - No material changes to internal control over financial reporting occurred during the last fiscal quarter[288](index=288&type=chunk) [PART II – OTHER INFORMATION](index=55&type=section&id=PART%20II%20%E2%80%93%20OTHER%20INFORMATION) [Item 1. Legal Proceedings.](index=55&type=section&id=Item%201.%20Legal%20Proceedings.) This section incorporates by reference the detailed discussion of legal matters from Note 14 to the consolidated financial statements, outlining various ongoing lawsuits and investigations the company is involved in - Information on legal proceedings is incorporated by reference from Note 14 to the consolidated financial statements[290](index=290&type=chunk) [Item 1A. Risk Factors.](index=55&type=section&id=Item%201A.%20Risk%20Factors.) This section states that there have been no material changes to the risk factors previously disclosed in Item 1A of Paramount Global's Annual Report on Form 10-K for the year ended December 31, 2021 - No material changes to risk factors since the Annual Report on Form 10-K for December 31, 2021[291](index=291&type=chunk) [Item 2. Unregistered Sales of Equity Securities and Use of Proceeds.](index=55&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds.) This section reports that Paramount Global did not make any share repurchases under its publicly announced program during the first quarter of 2022, with a remaining authorization of **$2.36 billion** at March 31, 2022 - No share repurchases were made under the program in Q1 2022[292](index=292&type=chunk) - Remaining authorization for the share repurchase program was **$2.36 billion** at March 31, 2022[292](index=292&type=chunk) [Item 6. Exhibits.](index=56&type=section&id=Item%206.%20Exhibits.) This section lists all exhibits filed with the Form 10-Q, including material contracts such as employment agreements, certifications from the CEO and CFO required by the Sarbanes-Oxley Act, and Interactive Data Files in XBRL format - Includes employment agreements, CEO/CFO certifications (Rule 13a-14(a)/15d-14(a) and Section 1350), and Interactive Data Files (XBRL)[293](index=293&type=chunk) [SIGNATURES](index=57&type=section&id=SIGNATURES) This section contains the official signatures of Paramount Global's Executive Vice President, Chief Financial Officer, and Executive Vice President, Controller and Chief Accounting Officer, certifying the submission of the quarterly report - Report signed by Naveen Chopra, Executive Vice President, Chief Financial Officer, and Katherine Gill-Charest, Executive Vice President, Controller and Chief Accounting Officer[298](index=298&type=chunk) ```

NAVEEN CHOPRA EVP, CHIEF FINANCIAL OFFICER INVESTOR PRESENTATION NAVEEN CHOPRA EVP, CHIEF FINANCIAL OFFICER 02.15.2022 1 IMPORTANT INFORMATION CAUTIONARY NOTE CONCERNING FORWARD-LOOKING STATEMENTS This communication contains both historical and forward-looking statements, including statements related to our future results and performance. All statements that are not statements of historical fact are, or may be deemed to be, forward-looking statements within the meaning of the Private Securities Litigation R ...

Financial Data and Key Metrics Changes - In Q4 2021, ViacomCBS added 9.4 million new streaming subscribers, with 80% on Paramount+ [19] - Pluto TV gained a record 10 million monthly active users in Q4, reaching nearly 65 million monthly actives, and generated over $1 billion in revenue for the full year 2021, almost five times the revenue from two years ago [20] - The company anticipates reaching 100 million subscribers by 2024, up from the previous estimate of 65 million to 75 million [36] Business Line Data and Key Metrics Changes - Paramount+ was named the fastest-growing brand of 2021 across all industries, not just streaming [22] - The company had the top four entertainment programs on all of television in Q4, including CBS's NCIS and Paramount Network's Yellowstone [23] - Paramount+ will become the streaming home for all new Paramount movies starting with 2024 releases [80] Market Data and Key Metrics Changes - The company is expanding its streaming service to new markets, including the U.K., South Korea, and the Caribbean by summer 2022 [39] - Paramount+ is leveraging partnerships with local providers to enhance its market presence, such as a new partnership with Canal+ in France [43] - The NFL on Paramount+ has seen an 88% increase in active subscribers and a 67% increase in minutes streamed during the last football season [106] Company Strategy and Development Direction - The company aims to harness the strength of its traditional business to fuel growth in streaming, focusing on a broad content offering across various genres [9][26] - Paramount+ is positioned to serve a diverse audience, with tailored content for different demographics and regions [27][60] - The company is committed to creating a sustainable streaming business, leveraging its existing platforms and global reach [31][34] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to deliver shareholder value and achieve subscriber growth ahead of schedule [7][35] - The company sees a massive opportunity in streaming, with plans to expand its global footprint and enhance user experience [45][46] - Management highlighted the importance of leveraging existing franchises and creating new content to drive engagement and retention [66][100] Other Important Information - The company has launched 20 linear franchises and genre channels in the U.S. on Paramount+, which have increased user engagement significantly [49] - Paramount+ is focusing on enhancing its service with personalized experiences and innovative features to attract and retain subscribers [46][50] - The company is committed to building a diverse content library, including new series and films across various genres [75][81] Q&A Session Summary Question: What are the subscriber growth expectations for Paramount+? - The company anticipates reaching 100 million subscribers by 2024, significantly raising its previous guidance [36] Question: How is Paramount+ expanding its market presence? - Paramount+ is launching in new markets and forming strategic partnerships to enhance its distribution and reach [39][43] Question: What is the strategy for content on Paramount+? - The strategy includes leveraging existing franchises, creating new content, and enhancing user experience to drive engagement [66][100]