Paramount Global, the media conglomerate controlled by Bob Bakish and Shari Redstone, has announced a three-year contract extension for their chief financial officer, Naveen Chopra. Chopra, who joined the company in August 2020, previously served as the CFO of Amazon’s Devices and Services unit. He brings a wealth of experience to Paramount, having also held positions as CFO and interim CEO of Pandora, as well as spending over a decade at TiVo.
Under the terms of his new contract, Chopra will remain in his role until June 20, 2026. He will receive a base salary of $1.4 million, with a target annual cash bonus of $2.4 million and target annual grants of equity compensation totaling $4.15 million.
Chopra’s appointment came at a pivotal time for Paramount, as the company was undergoing a transition to a streaming-first strategy. This involved focusing on its video-based assets like Paramount Pictures and its collection of TV networks, including CBS, Nickelodeon, Comedy Central, and MTV. This shift in strategy ultimately led to the launch of Paramount+, the company’s relaunched streaming service, which has gained 60 million subscribers globally.
As part of its efforts to streamline its asset portfolio and focus on its entertainment ambitions, Paramount sold CNET for $500 million in 2020, as well as CBS’ New York BlackRock headquarters building for $760 million and CBS’ Studio City lot for $1.85 billion in 2021. The company also put Simon & Schuster up for sale, but a deal to sell the publisher to Penguin Random House was blocked by a U.S. judge.
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During a Deutsche Bank investor conference in March, Chopra highlighted the progress of Paramount’s pivot to streaming. He noted that the company finished 2022 with a revenue run rate of $5.5 billion for its direct-to-consumer businesses, compared to previous years. Chopra emphasized that the focus now is to deliver on the path to profitability for streaming.
In line with this strategy, Paramount officially integrated Showtime’s streaming presence into Paramount+ on June 27. This consolidation brought together popular shows like “Yellowjackets,” “Dexter,” “Billions,” “Star Trek: Discovery,” “1883,” and “The Good Fight” under the Paramount+ umbrella. The move also resulted in layoffs within Paramount’s TV Networks division as it consolidated the Showtime and MTV Entertainment Studios units and closed MTV News.
Despite these efforts, Paramount Global’s stock has experienced a decline of nearly 7 percent year-to-date, trading at $15.91 a share. However, with Chopra’s expertise and the company’s focus on its streaming platform, Paramount remains optimistic about its future growth and profitability in the entertainment industry.
In conclusion, Naveen Chopra’s contract extension as Paramount Global’s CFO reflects the company’s confidence in his leadership and expertise. As the company continues to navigate the evolving streaming landscape, Chopra’s experience and strategic guidance will be instrumental in driving Paramount’s success and achieving profitability in its direct-to-consumer businesses.
