Paramount Skydance Corporation (PSKY) FY2025 10-K Annual Report

Filed: Feb 25, 2026
Communication Services
Television Broadcasting StationsSEC EDGAR

Paramount Skydance Corporation (PSKY) 10-K annual report for fiscal year 2025, filed with SEC EDGAR on Feb 25, 2026. This page provides AI-powered analysis including business overview, management discussion & analysis (MD&A), risk factors, and key financial data such as revenue, net income, gross margin, operating margin, and return on equity (ROE) extracted from XBRL.

Paramount Skydance Corporation FY2025 10-K Analysis

Business Overview

  • Global media/entertainment holding company formed Aug 7, 2025 via merger of Paramount Global and Skydance under new parent Paramount Skydance Corporation (ticker: PSKY)
  • Hostile bid for Warner Bros. Discovery at $31.00/share (revised Feb 2026); secured $57.5B debt + $46.6B equity commitments from Ellison Family and RedBird Capital Partners
  • Skydance's animation, interactive/games, and sports divisions integrated into Filmed Entertainment segment — entirely new content capabilities added to portfolio
  • ~17,600 full/part-time employees across 30 countries, plus ~3,600 project-based staff as of Dec 31, 2025
  • Lawrence Ellison provided irrevocable personal guarantee on Warner Bros. deal equity financing — highly unusual personal liability for a corporate M&A transaction

Management Discussion & Analysis

  • Pro forma revenue $29.4B (2025) vs $30.3B (2024), down 3% YoY; advertising -11%, subscription +4%, theatrical -23%
  • TV Media best segment: pro forma revenue $17.1B, Adjusted OIBDA $3.7B combined; Direct-to-Consumer turned profitable in Successor period vs $(497)M loss in full-year 2024
  • Filmed Entertainment worst segment: Adjusted OIBDA $(132)M Successor + $(100)M Predecessor vs $(96)M full-year 2024; pro forma revenue down 5%
  • Capex $296M combined 2025 periods vs $263M in 2024; common dividends $191M combined; cash $3.27B at Dec 31, 2025; total debt $13.66B vs $14.50B
  • Key risks: $800M transformation costs guided for 2026; pending Warner Bros. bid at $31/share requiring $57.5B debt + $46.6B equity commitments; tariff/ad market uncertainty flagged

Risk Factors

  • FCC license renewal risk for CBS television stations; nonrenewal or conditions could restrict operations and force divestitures
  • Paramount-Skydance merger litigation ongoing; lawsuits filed, potential for substantial defense costs and management distraction
  • $1.12 billion in programming charges recorded in 2024 due to content removals, abandoned development projects, and terminated agreements
  • Generative AI deployment by competitors could accelerate competitive disadvantage; unsettled AI copyright law adds IP protection uncertainty
  • Ellison Family controls 77.5% of Class A Stock and 100% of combined voting power; Class B holders have zero voting rights

Paramount Skydance Corporation FY2025 Key Financial Metrics
XBRL

Revenue

$16.6B

-43.1% YoY

Net Income

-$35M

+99.4% YoY

Operating Margin

6.2%

+2423bp YoY

Net Margin

-0.2%

+2098bp YoY

ROE

-0.3%

+3763bp YoY

Total Assets

$43.3B

-6.1% YoY

EPS (Diluted)

$-0.05

+99.5% YoY

Operating Cash Flow

$164M

-78.2% YoY

Source: XBRL data from Paramount Skydance Corporation FY2025 10-K filing on SEC EDGAR. All figures in USD.

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