Paramount Global (Paramount Global) Gross Margin % : 32.64% (As of Dec. 2023)

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What is Paramount Global Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Paramount Global's Gross Profit for the three months ended in Dec. 2023 was $2,493 Mil. Paramount Global's Revenue for the three months ended in Dec. 2023 was $7,638 Mil. Therefore, Paramount Global's Gross Margin % for the quarter that ended in Dec. 2023 was 32.64%.

Warning Sign:

Paramount Global gross margin has been in long-term decline. The average rate of decline per year is -8.4%.

The historical rank and industry rank for Paramount Global's Gross Margin % or its related term are showing as below:

PARA' s Gross Margin % Range Over the Past 10 Years
Min: 24.5 Med: 38.34 Max: 41.73
Current: 24.5

During the past 13 years, the highest Gross Margin % of Paramount Global was 41.73%. The lowest was 24.50%. And the median was 38.34%.

PARA's Gross Margin % is ranked worse than
72.38% of 963 companies
in the Media - Diversified industry
Industry Median: 38.52 vs PARA: 24.50

Paramount Global had a gross margin of 32.64% for the quarter that ended in Dec. 2023 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for Paramount Global was -8.40% per year.

Paramount Global Gross Margin % Historical Data

The historical data trend for Paramount Global's Gross Margin % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Paramount Global Gross Margin % Chart

Paramount Global Annual Data

Trend

Dec14

Dec15

Dec16

Dec17

Dec18

Dec19

Dec20

Dec21

Dec22

Dec23

Gross Margin %

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38.10

40.71

37.93

34.19

24.50

Paramount Global Quarterly Data
	Mar19	Jun19	Sep19	Dec19	Mar20	Jun20	Sep20	Dec20	Mar21	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22	Mar23	Jun23	Sep23	Dec23
Gross Margin %	Get a 7-Day Free Trial															32.57	8.63	22.22	34.38	32.64

Competitive Comparison of Paramount Global's Gross Margin %

For the Entertainment subindustry, Paramount Global's Gross Margin %, along with its competitors' market caps and Gross Margin % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

Paramount Global's Gross Margin % Distribution in the Media - Diversified Industry

For the Media - Diversified industry and Communication Services sector, Paramount Global's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Paramount Global's Gross Margin % falls into.

Paramount Global Gross Margin % Calculation

Gross Margin is the percentage of Gross Profit out of sales or Revenue.

Paramount Global's Gross Margin for the fiscal year that ended in Dec. 2023 is calculated as

Gross Margin % (A: Dec. 2023 )	=	Gross Profit (A: Dec. 2023 )	/	Revenue (A: Dec. 2023 )
	=	7264	/	29652
	=	(Revenue - Cost of Goods Sold)	/	Revenue
	=	(29652 - 22388)	/	29652
	=	24.50 %

Paramount Global's Gross Margin for the quarter that ended in Dec. 2023 is calculated as

Gross Margin % (Q: Dec. 2023 )	=	Gross Profit (Q: Dec. 2023 )	/	Revenue (Q: Dec. 2023 )
	=	2493	/	7638
	=	(Revenue - Cost of Goods Sold)	/	Revenue
	=	(7638 - 5145)	/	7638
	=	32.64 %

A positive Gross Profit is only the first step for a company to make a net profit. The gross profit needs to be big enough to also cover related labor, equipment, rental, marketing/advertising, research and development and a lot of other costs in selling the products.

Paramount Global (NAS:PARA) Gross Margin % Explanation

Warren Buffett believes that firms with excellent long term economics tend to have consistently higher margins.

Durable competitive advantage creates a high Gross Margin % because of the freedom to price in excess of cost. Companies can be categorized by their Gross Margin %

1. Greater than 40% = Durable competitive advantage
2. Less than 40% = Competition eroding margins
3. Less than 20% = no sustainable competitive advantage
Consistency of Gross Margin is key

Paramount Global had a gross margin of 32.64% for the quarter that ended in Dec. 2023 => Competition eroding margins

Be Aware

If a company loses its competitive advantages, usually its gross margin declines well before its sales declines. Watching Gross Margin % and Operating Margin % closely helps avoid value trap situations.

Paramount Global Gross Margin % Related Terms

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Paramount Global (Paramount Global) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Communication Services » Media - Diversified » Paramount Global (NAS:PARA) » Definitions » Gross Margin %

Comparable Companies

Traded in Other Exchanges

PARAP.PFD:USA PARAA:USA PARA:Peru PARA:Mexico 0HQM:UK 0VVB:Germany 0VV:Germany 0VVB:Germany 0VV:Germany 0VVB:Germany C1BS34:Brazil PARA:Austria

Address

1515 Broadway, New York, NY, USA, 10036

Website

https://www.paramount.com

Paramount Global is the rebranded recombination of CBS and Viacom that has created a media conglomerate with global scale. CBS contributed Showtime in addition to its television assets--the CBS television network, 28 local TV stations, and 50% of CW, a joint venture between CBS and WarnerMedia. Viacom brought several leading cable network properties, including Nickelodeon, MTV, BET, Comedy Central, VH1, CMT, and Paramount. Paramount Pictures produces original motion pictures and owns a library of 2,500 films, including the Mission: Impossible and Transformers series. Paramount operates a number of streaming services, most notably Paramount+ and Pluto TV.

Executives

Dawn Ostroff	director	3100 OCEAN PARK BOULEVARD, SANTA MONICA CA 91405
Sumner M. Redstone National Amusements Part B General Trust	director, 10 percent owner	846 UNIVERSITY AVENUE, NORWORD MA 02062
National Amusements Inc /md/	director, 10 percent owner	846 UNIVERSITY AVENUE, NORWOOD MA 02062
Naveen K. Chopra	officer: EVP, Chief Financial Officer	C/O 2160 GOLD STREET, SAN JOSE CA 95002
Linda M Griego	director	SOUTHWEST WATER CO, 624 SO. GRAND, STE 2900, LOS ANGELES CA 90017
Phillips Jr Charles E	director	113 WEST 88TH STREET, NEW YORK NY 10024
Shari Redstone	director, officer: Vice Chair	C/O CBS CORPORATION, 51 WEST 52ND STREET, NEW YORK NY 10019
Frederick Terrell	director	17 STATE STREET, NEW YORK NY 10004
Nicole Seligman	director	C/O VIACOM INC., 1515 BROADWAY, NEW YORK NY 10036
Christina Spade	officer: EVP, Chief Financial Officer	11 PENN PLAZA, NEW YORK NY 10001
Barbara M Byrne	director	C/O CBS CORPORATION, 51 WEST 52ND STREET, NEW YORK NY 10019
Christa A Dalimonte	officer: EVP, General Counsel & Secy	C/O VIACOM INC., 1515 BROADWAY, NEW YORK NY 10036
Ronald L Nelson	director
Judith Mchale	director	C/O RALPH LAUREN CORPORATION, 650 MADISON AVENUE, NEW YORK NY 10022
Robert M Bakish	director, officer: President and CEO	AVID TECHNOLOGY, INC., 75 NETWORK DRIVE, BURLINGTON MA 01803