June 17, 2020
Paramount Pictures, like other studios, has seen its production business and theatrical slate upended by the coronavirus pandemic. The studio has been able to keep the lights on over the past three months in large part to transactional VOD and premium VOD, according to ViacomCBS CEO Bob Bakish.
Speaking on the first Credit Suisse Virtual Communication Confab, Bakish said home entertainment has helped Paramount justify capital spending on new movies during a year of uncertainty.
“We sold The Lovebirds [to Netflix] early in the COVID-19 window,” he said. “We also accelerated the EST window with Sonic [the Hedgehog], which performed very well for us.”
The movie, starring Jim Carrey, James Marsden, Tika Sumpter and Ben Schwartz as the voice of Sonic, gross more than $300 million at the global box office before the theatrical shutdown.
The executive said the company is monetizing the Paramount library by releasing more than 100 movies via CBS All Access and through the Sunday Night Movie on the Paramount Network.
“We’re already seeing a material benefit on the time-spent side by consumers,” Bakish said.
“Look, COVID in the short term has set us back in terms of film releases and TV productions, obviously,” he said. “But we continue to see a path to nicely improved profitability over the longer term.”