Jimmy Kimmel Debunks Reports of Stephen Colbert’s Show Operating at a $40 Million Annual Loss: “Nonsensical” Claims Addressed in Interview

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Jimmy Kimmel is defending fellow late-night host Stephen Colbert from “nonsensical” claims that his Late Show was costing CBS millions annually.

Following CBS’s controversial decision to axe The Late Show, reports emerged that the program allegedly lost the network $40 million each year.

However, Kimmel isn’t buying those findings, telling Variety that they are “beyond nonsensical.”

“These alleged insiders who supposedly analyze the budgets of the shows – I don’t know who they are,but I do know they don’t know what they’re talking about,” the jimmy Kimmel Live! host argued.

“They seem to only be focused on advertising revenue adn have completely forgotten about affiliate fees, which number in the hundreds of millions – probably in total billions – and you must allocate a certain percentage of those fees to late-night shows. It really is surprising how little the media seems to know about how the media works,” he said.

How does Jimmy Kimmel’s response challenge the narrative presented in the initial *Wall Street Journal* report regarding *The Late Show’s* financial performance?

Recent reports alleging The Late Show with Stephen Colbert is operating at a staggering $40 million annual loss have been firmly refuted by Jimmy Kimmel. The late-night host addressed the claims during a recent interview, dismissing them as “nonsensical” and offering a defense of the show’s financial performance. This article dives into the details of Kimmel’s response, the origins of the report, and the broader financial landscape of late-night television.

The Origin of the Loss Report

The initial report, published by The Wall Street Journal on August 16th, 2025, cited internal CBS documents suggesting meaningful financial struggles for The Late Show. The article pointed to declining viewership, increased production costs, and a challenging advertising market as contributing factors to the alleged $40 million loss. This sparked widespread discussion across media outlets and social media platforms, raising concerns about the future of the show.Key terms circulating included “late-night ratings decline,” “Stephen Colbert viewership,” and “CBS financial reports.”

Jimmy Kimmel’s Direct Response

Kimmel, host of Jimmy Kimmel live! on ABC, directly challenged the report’s accuracy during an interview with Variety. He argued that the figures presented were misleading and didn’t accurately reflect the show’s overall value to CBS.

Here’s a breakdown of Kimmel’s key points:

Holistic View of Revenue: Kimmel emphasized that the $40 million figure likely only considered direct revenue generated by the show itself,failing to account for the broader benefits The Late Show brings to CBS,such as boosting the network’s streaming service,Paramount+,and driving traffic to other CBS properties.

Synergy with Paramount+: He highlighted the increasing importance of streaming revenue in evaluating the success of late-night programs. Clips and full episodes of The late Show are readily available on Paramount+, attracting subscribers and generating additional income for CBS.

Advertising value: Kimmel suggested that the report underestimated the value of Colbert’s show to advertisers,particularly those seeking to reach a politically engaged and highly educated audience.

Production Costs: While acknowledging rising production costs across the entertainment industry, Kimmel argued that The Late Show operates efficiently and effectively manages its budget.

The Broader Context: Late-Night TV Finances

the controversy surrounding The Late Show’s alleged losses underscores the evolving financial challenges facing the entire late-night television landscape. Several factors are at play:

Shifting Viewership Habits: Traditional linear television viewership is declining as audiences increasingly turn to streaming services, youtube, and social media for entertainment.This impacts advertising revenue, a primary source of income for late-night shows.

Increased Competition: The proliferation of streaming platforms has created a more competitive entertainment habitat, with late-night shows now vying for attention alongside a vast array of other content.

Rising production Costs: Inflation and increased labor costs are driving up the cost of producing television programs, including late-night shows.

Political Polarization: The increasingly polarized political climate has impacted late-night comedy, with some viewers tuning out shows that align with opposing political viewpoints. Keywords like “late night comedy ratings,” “political satire viewership,” and “streaming impact on TV” are frequently searched.

CBS’s Response and Future Outlook

CBS has not publicly released a detailed response to Kimmel’s comments,but a network spokesperson reiterated that The Late Show remains a valuable asset. The network is reportedly exploring new strategies to enhance the show’s financial performance, including:

Increased Digital Integration: Expanding the show’s presence on social media platforms and creating exclusive content for Paramount+.

strategic Partnerships: Collaborating with other brands and organizations to generate additional revenue streams.

Content Diversification: Experimenting with new formats and segments to attract a wider audience.

Impact on Stephen Colbert’s Contract & Future

Stephen Colbert’s current contract with CBS extends through the 2025-2026 television season. While the recent financial scrutiny has raised questions about the show’s long-term viability, CBS has publicly expressed its continued support for Colbert and The late Show*. The network recognizes Colbert’s enduring popularity and his ability to attract a loyal audience.Discussions regarding a