Paramount Global has delivered a surprising financial victory, exceeding second-quarter earnings estimates just days before a pivotal ownership change, signaling resilience driven by strategic cost reductions and burgeoning streaming profitability.

The media giant reported adjusted earnings of 46 cents per share, surpassing analyst projections of 37 cents, showcasing a stronger-than-expected fiscal performance. This impressive result underscores the company’s efforts in financial management.

Despite robust earnings, the company’s revenue of $6.85 billion aligned with market expectations. Notably, its Paramount+ streaming service experienced a loss of 1.3 million subscribers during the quarter, a figure that was still better than analysts had predicted, indicating controlled churn in a competitive market.

The direct-to-consumer unit, which includes Paramount+, posted an adjusted operating income before depreciation and amortization of $157 million. This marks a significant turnaround from a $26 million profit just a year prior, highlighting the successful monetization strategies within the Streaming Industry.

The positive Q2 Earnings come as Paramount Global prepares to finalize its highly anticipated Skydance Media merger on August 7. This landmark transaction, a culmination of tumultuous negotiations, has received crucial approval from the U.S. Federal Communications Commission, paving the way for a new era for the Media Mergers landscape.

Under the terms of the merger, Skydance Media’s leader, David Ellison, son of Oracle Corp. co-founder Larry Ellison, is set to assume the roles of chairman and chief executive officer of the combined entity. Former NBCUniversal executive Jeff Shell will join as president, forming a new leadership team poised to guide the newly structured Paramount Global.

To secure FCC approval, Skydance Media committed to ensuring that the new company’s programming reflects a diversity of political viewpoints. Furthermore, a two-year ombudsman position will be established to address bias complaints, reinforcing the company’s public commitment to impartiality. Following the deal’s closure, Paramount Global’s stock will trade under the new ticker symbol “PSKY”, marking a fresh chapter in Corporate Finance.