Television

Viacom reports lower revenue for Q1 2018

http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/smartcrop_800x800/public/images/tv-images/2018/02/09/bob.jpg?itok=biYldPrx

BENGALURU: American multinational media conglomerate with interests primarily in cinema and cable television, Viacom Inc (Viacom) reported lower numbers for the quarter ended 31 December 2017 (Q1 2018, quarter under review) as compared to the corresponding year ago quarter Q1 2017 (y-o-y). The company reported 7.6 percent y-o-y decline in revenue for Q1 2018 at $3,073 million from $3,324 million. Two segments are revenue heads for the company – Media Networks; and Filmed Entertainment.

The drop in revenue reflected declines in both segments says the company in its earnings release. Operating income increased 1.6 per cent y-o-y to $717 million from $706 million, primarily reflecting lower total expenses including the impact of a $42 million restructuring charge recognised in the prior year quarter. Net earnings from continuing operations attributable to Viacom grew 35 per cent, or $139 million, to $535 million, principally due to the enactment of tax reform. Diluted earnings per share for the quarter increased $0.33 to $1.33, and adjusted diluted earnings per share decreased $0.01 to $1.03.

Media Networks

Media Networks revenues decreased 1.1 per cent to $2,560 million in the quarter, as a 1 per cent increase in advertising revenues to $1,308 million was more than offset by a 4 per cent y-o-y decrease in affiliate revenues to $1,094 million. Domestic revenues declined 6 per cent to $1.93 billion while international revenues grew 18 per cent to $631 million. Excluding a 5-percentage point favourable impact from foreign exchange, international revenues increased 13 per cent in the quarter, primarily driven by a 6-percentage point favourable impact from the acquisition of Telefe, as well as growth in Europe.

Domestic advertising revenues decreased 5 per cent to $937 million, reflecting lower linear impressions partially offset by higher pricing, as well as growth in digital advertising revenue. International advertising revenues increased 22 per cent to $371 million. Excluding a 5-percentage point favourable impact from foreign exchange, international advertising revenues increased 17 per cent, principally due to a 10-percentage point favourable impact from the acquisition of Telefe, as well as growth in Europe.

Domestic affiliate revenues decreased 8 per cent to $907 million, primarily due to subscriber declines and lower SVOD revenues, partially offset by rate increases. International affiliate revenues grew 18 per cent to $187 million in the quarter.

Excluding a 5-percentage point favourable impact from foreign exchange, international affiliate revenues grew 13 per cent driven by organic growth, as well as a 2-percentage point favourable impact from the acquisition of Telefe.

Ancillary revenues grew 5 per cent to $158 million in the quarter, including a 2-percentage point favourable impact from foreign exchange. Domestic ancillary revenues increased 8 per cent to $85 million and international ancillary revenues increased 1 per cent to $73 million.

Adjusted operating income for Media Networks decreased 7 per cent to $913 million in the quarter, principally due to an increase in segment expenses and lower revenues

Filmed Entertainment

Filmed Entertainment revenues decreased 28 per cent to $544 million in the quarter, with domestic revenues down 42 per cent to $270 million, and international revenues down 6 per cent to $274 million. Theatrical revenues declined 48 per cent to $100 million due to the number and mix of current quarter releases. Domestic and international theatrical revenues decreased 49 per cent and 46 per cent, respectively.

Licencing revenues decreased 13 per cent to $213 million in the quarter. Domestic licensing revenues decreased 36 per cent while international licencing revenues grew 8 per cent, primarily driven by the mix of titles available in each market.

Home entertainment revenues were down 25 per cent to $183 million, principally due to the comparison against the release of Star Trek Beyond in the prior year quarter. Domestic home entertainment revenues decreased 38 per cent while international revenues increased 1 per cent. Ancillary revenues decreased 38 per cent to $48 million, with domestic ancillary revenues down 49 per cent and international ancillary revenues up 27 per cent.

Filmed Entertainment reported an adjusted operating loss of $130 million in the quarter compared to $180 million in the prior year quarter, an improvement of $50 million that primarily reflects lower operating expenses.

Company speak

Viacom President and CEO Bob Bakish said, “In the quarter, Viacom aggressively drove progress on our strategic plan, delivering improvements in our business and positioning the company for the future. Viacom’s most watched portfolio of domestic cable brands grew viewership share in the quarter, led by our powerful flagship networks, which now includes Paramount Network – the biggest and most ambitious network rebrand in our history. Internationally, we continue to deliver double-digit top-line and bottom-line Media Networks gains while launching innovative new partnerships in growth territories around the world.

Adding further, Bakish said, “Viacom has also made considerable progress in its push to accelerate consumption and monetisation on next-generation platforms, achieving substantial growth in worldwide digital advertising revenues, expanding distribution on fast-growing virtual MVPD and mobile services, and ramping up resources and talent at Viacom Digital Studios. Additionally, since the end of the quarter, we continued to expand our digital capabilities with the acquisition of influence marketer WHOSAY and the world's premier online video event, VidCon. In addition, our strategy to further diversify our core properties offscreen through live events, hospitality and consumer products continues to progress, with the much anticipated Broadway premiere of the SpongeBob SquarePants musical in the quarter, along with new initiatives across our portfolio.

“We remain deeply committed to maintaining strong financial discipline and delivering returns for our shareholders. In the quarter, Viacom continued to improve its leverage profile and we are on track to achieve $100 million in new cost savings in the current fiscal year, and hundreds of millions more in 2019,” concluded Bakish.

Also Read:

TV18 to increase Viacom18 stake to 51%

Sudhanshu Vats on Viacom18's growth strategy and why data analytics is key

Viacom Inc misses EPS forecast but revenue beats expectations

Latest Reads

http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2018/02/20/mukesh.jpg?itok=itBoVV_a
RIL to buy 5% in Eros Int’l; jointly spend Rs 2000 cr on content

MUMBAI: Reliance Industries Ltd (RIL), through a subsidiary, is all set to acquire 5 per cent equity stake in NYSE-listed Eros International Plc (Eros) at a price of USD15 per share, representing an 18 per cent premium to the last closing price of the stock. The transaction is subject to customary...

Television Production House Film Production
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2018/02/20/UEFA.jpg?itok=4ZQ157h-
Top 4 clashes to watch out for in the return leg of UEFA Europa league last 32

1.       Leipzig did well to beat Napoli 3-1 at Stadio San Paolo in the first leg of the Europa League last 32

Television TV Channels Sports
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2018/02/20/Swati-Semwal.jpg?itok=iKXZDbjj
First Step Entertainment Capital announces ‘Writer’s Lounge’ in Mumbai

Mumbai : A good story is essential to make a film and, hence, writers are critical in the film making process. To consistently create some good stories, writers need a workspace that allows them to sit, think and pen-down their thoughts. The lack of such a space in Mumbai was noticed by Swati...

Television TV Channels People
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2018/02/20/lamba.jpg?itok=EL5E37Od
Bollywood actress Minissha Lamba enters Tenali Rama as Vishkanya

A new twist awaits the fans of Tenali Rama. An assassin is hired by the enemy kingdom of Vijayanagar to harm King Krishna Dev Raya.

Television TV Channels GECs
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2018/02/20/btvi.jpg?itok=xKx6iIbI
BTVI announces winners of 'The Auto Show Car India & Bike India Awards 2018'

BTVI - India’s premier English business news channel and Next Gen Publishing presented the iconic ‘The Auto Show Car India & Bike India Awards 2018’. The annual award show was designed to celebrate the excellence and diversity in the auto industry and recognize the indomitable spirit of...

Television TV Channels News Broadcasting
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2018/02/20/nick.jpg?itok=amXcCrXT
Nickelodeon all set to de-stress kids this exam season

Exams are right around the corner and Nickelodeon, India’s leading kids’ entertainment channel with its exciting new campaign is all set to help kids unwind during these stressful times. The franchise is all set to flag off a high-octane campaign, Nickelodeon ‘MASTI KA TIME TABLE’ and Sonic ‘SHIVA...

Television TV Channels Kids
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2018/02/20/rohit_0.jpg?itok=JxXipBG8
Rohit Shetty Picturez and Reliance Animation to launch a new animation series - 'Little Singham' with Discovery Communications

India’s most successful super cop franchise, ‘Singham’ directed by Rohit Shetty is all set to go a notch higher with yet another special offering for audiences. Rohit Shetty Picturez, Reliance Animation & Discovery Kids, will be launching a new animation series called ‘Little Singham’ which is...

Television TV Channels Kids
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2018/02/20/rahul.jpg?itok=bzwLnj9L
BCCI invites bid for e-auction of 5 year team India rights

The Board of Control for Cricket in India (BCCI) has invited bids for media rights of international and domestic cricket matches in India for a five year period from 1 April 2018 to 31 March 2023. This time, the rights will be decided via an online auction on 27 March which will start at 2 pm.

Television TV Channels Sports
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2018/02/20/rohit.jpg?itok=LxK_VxMb
We place a very high premium on fan experience: Turner's Rohit Bhandari

MUMBAI: Competition has brought the best out of the TV channels operating in the English movie genre. With 14 channels vying for the crown, the genre has witnessed a flurry of changes in programming strategy and content aggregation as well as viewer-engagement manoeuvres. In the quest for curating...

Television TV Channels English Entertainment

Latest News

Load More

Sign up for our Newsletter

subscribe for latest stories