Paramount Global Class B (PARA)

Net profit margin

		Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020
Net income (ttm)	US$ in thousands	-6,026,000	-5,725,000	-5,595,000	-481,000	-1,009,000	-1,095,000	-1,159,000	-441,000	1,074,000	3,141,000	3,448,000	4,065,000	4,543,000	3,295,000	3,372,000	2,817,000	2,422,000	2,578,000	2,282,000	2,241,000
Revenue (ttm)	US$ in thousands	29,213,000	28,867,000	29,269,000	30,072,000	29,652,000	30,145,000	29,928,000	30,091,000	30,154,000	30,023,000	29,717,000	28,502,000	28,586,000	26,811,000	26,317,000	26,028,000	25,285,000	35,601,000	32,780,000	30,314,000
Net profit margin		-20.63%	-19.83%	-19.12%	-1.60%	-3.40%	-3.63%	-3.87%	-1.47%	3.56%	10.46%	11.60%	14.26%	15.89%	12.29%	12.81%	10.82%	9.58%	7.24%	6.96%	7.39%

December 31, 2024 calculation

Net profit margin = Net income (ttm) ÷ Revenue (ttm)
= $-6,026,000K ÷ $29,213,000K
= -20.63%

Paramount Global Class B's net profit margin has exhibited fluctuations over the reported periods. The net profit margin started at a healthy level of 7.39% in March 2020 and showed a slight decrease to 6.96% by June 2020. However, there was a subsequent increase to 9.58% by December 2020, indicating improved profitability. This positive trend continued, with significant improvements seen in the following quarters, reaching a peak of 15.89% in December 2021.

However, the net profit margin began to decline from March 2022 onwards, falling to 3.56% by December 2022. The downward trend persisted, with the net profit margin turning negative in the following periods, reaching its lowest point at -20.63% by December 2024.

The declining net profit margins in the latter periods suggest that Paramount Global Class B's profitability has deteriorated significantly. It is crucial for the company to address the factors leading to these negative margins and implement strategies to improve profitability and ensure financial sustainability.