Paramount+ subscriber numbers rose by a record 9.9 million to hit nearly 56 million by the end of 2022, driven by content such as blockbuster movie Top Gun: Maverick.
However, higher streaming investments were a drag on the studio’s bottom line, while TV advertising sales dropped, according to Paramount Global’s fourth quarter results.
Paramount Global said it would raise prices of its flagship streaming service in some markets.
Chief Executive Bob Bakish said the company plans to raise prices for its Paramount+ Premium and Essential tiers this year in the United States and in some non-U.S. markets.
The company said it will rise to $11.99 per month from $9.99 for the tier that includes Showtime, and to $5.99 from $4.99 for the tier that does not include Showtime.
The company last month said it would integrate Showtime, known for popular shows, including Billions, Yellowjackets and Dexter, with Paramount+ across platforms later this year as it prioritizes streaming services.
Paramount said that its free, advertising-supported streaming service Pluto TV grew its monthly active user (MAUs) by 6.5 million in the final quarter of 2022 to 78.5 million.
Total revenue rose 2% to $8.13 billion in the fourth quarter.
“Subscriber growth was driven by a strong content slate, including the NFL, the expansion of existing franchises like Top Gun: Maverick and 1923, the success of new franchises like Tulsa King and Smile, as well as CBS’ overall entertainment slate,” the company said. “Internationally, Yellowstone and Top Gun: Maverick were top acquisition drivers for the service.”
Read more Behind the scenes - Top Gun: Maverick