Television

Viacom suffers $487.6 million loss due to Blockbuster split off

http://www.indiantelevision.com/sites/default/files/styles/smartcrop_800x800/public/images/tv-images/2015/12/07/Untitled-1_7.jpg?itok=Cfljs6JX

MUMBAI: Media conglomerate Viacom which owns MTV, Paramount and Nickleodeon has posted a loss of $487.6 million for the third-quarter ended 30 September 2004..



Its earnings were affected by a $1.5 billion charge related to its sale of the Blockbuster home video video rental outlet.



On a more positive note without the charge, earnings and revenues both increased as the company's television, cable networks and outdoor advertising divisions all turned in better results.



Without the charge revenues increased marginally by four per cent to $5.5 billion from $5.3 billion for the same quarter last year. Ad revenues grew by six per cent $3.1 billion. Third quarter 2004 operating income of $1.34 billion increased 5% from $1.28 billion in the same quarter last year, led by gains of 13 per cent in Cable Networks, seven per cent in television and 29 per cent in outdoor.



For the nine months ended 30 September 2004 revenues increased by nine per cent to $16.2 billion from $14.9 billion. Operating income increased by 13 per cent to $3.8 billion from $3.3 billion in the same prior-year period.



Viacom expects full year revenue growth of eight per cent, operating income growth of 14 per cent and earnings per share growth of approximately 16 per cent.



In the third quarter there was a 17 per cent ad revenue growth at MTV Networks. Cable Networks affiliate fees grew eight per cent as increases at MTV Networks and Bet were partially offset by a one per cent decline at Showtime.



Radio revenues decreased by four per cent to $529 million from $552 million reflecting continued weakness in national and local advertising revenues. Operating income decreased by 17 per cent to $222 million from $266 million principally due to lower revenues coupled with higher expenses.



Blockbuster had once been a profit making operationf for Viacom. However when the prices of DVDs started falling the company started to feel the pressure.



Viacom chairman and CEO Sumner Redstone added, "Viacom is committed to returning value to its shareholders. We will continue to invest in our businesses and actively look to expand in core areas and take full advantage of our ability to purchase our stock and enhance our dividend, while at the same time, maintain our commitment to our existing credit ratings.



"On the heels of our Blockbuster split-off, which resulted in the reduction of approximately 28 million outstanding Viacom shares, we intend to aggressively reduce our equity base even further under our $8 billion stock purchase programme.



"This ongoing initiative, along with the annualised 16.7 per cent increase in our cash dividend, demonstrates not only our ability to generate significant free cash flow

but also our confidence in the long-term performance of Viacom's high-growth businesses."

Latest Reads

http://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2018/10/15/wire.jpg?itok=rcsQVpJx
Eros Now Partners with Celcom; Consolidates Distribution in Malaysia

Eros International Plc (NYSE: EROS) (“Eros”), a leading global company in the Indian film entertainment industry, announced today that Eros Now, its digital over-the-top distribution service

Television TV Channels Music and Youth
http://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2018/10/15/v.jpg?itok=sGu6lo2Z
TV Today Network subsidiary receives IT demand notices

TV Today Network Limited (TVTN) has informed the bourses that its wholly owned non-material subsidiary India Today Online Private Limited (ITOPL) has received separate demand notices from the Income Tax department.

Television TV Channels News Broadcasting
http://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2018/10/15/bbc.jpg?itok=qIYwGGq9
BBC Studios India and Mindshare’s I Can You Can wins two Silvers - Best Branded Content and Best Media Strategy at the Emvies 2018

BBC Studios India and Mindshare, India’s largest media agency, announced that it has won two Silvers at EMVIES 2018

Television TV Channels News Broadcasting
http://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2018/10/15/HOP.jpg?itok=lvLK36Q0
NDTV launches India’s first mobile-only portrait live channel

New Delhi Television Ltd (NDTV) has launched India’s first mobile-only vertical live channel with the name NDTV HOP Live. India has nearly 432 million internet users and this number is growing at a rate of 4-8 per cent, according to Deloitte’s Technology, Media and Telecommunication (TMT)...

Television TV Channels News Broadcasting
http://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2018/10/15/times.jpg?itok=DGAvKOg1
Movies NOW, Romedy NOW and MNX celebrates this festive season with a special programming line-up

Celebrating the spirit of this festive season, Times Network's English Entertainment channels

Television TV Channels English Entertainment
http://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2018/10/15/discovery.jpg?itok=6Fa3Bavl
Running Wild with Bear Grylls’ on Discovery channel gets extraordinary traction from advertisers

The premiere of new series Running Wild with Bear Grylls on Discovery and Discovery World HD

Television TV Channels Factual @ Discovery
http://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2018/10/15/colors.jpg?itok=TXA_pJ9H
Woh Talent Hi Kya Jo Kisi Ke Kaam Na Aaye; COLORS Announces the Launch of India’s Got Talent

Don’t let talent go to waste advocates COLORS’ flagship reality show – Maruti Suzuki Arena presents India’s Got Talent powered by Vaseline and Frooti as it returns to wow viewers with some mind-boggling acts in its eighth edition.

Television TV Channels GECs
http://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2018/10/15/Lizol.jpg?itok=lICakAZ0
Lizol tops chart; P&G makes comeback in BARC week 40

The Broadcast Audience Research Council (BARC) India has released its data for last week’s top advertisers and brands between 29 September-5 October 2018. The data is a reflection of top 10 advertiser and brands across genre on Indian television (U+R) : 2+ Individuals.

Television TV Channels Viewership
http://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2018/10/15/pkd.jpg?itok=F8PRMMYX
Star India’s PKL draws higher sponsorship revenues in season 6

The Pro Kabaddi League (PKL) auctions saw six players command over a crore, offering further proof of the property’s rising popularity in terms of viewership and advertising interest. If we look at the viewership, the live telecast of PKL season 5 garnered 1.6 billion impressions with a target...

Television TV Channels Sports

Latest News

Load More

Sign up for our Newsletter

subscribe for latest stories