Television

Viacom reports lower revenue for Q1 2018

https://www.indiantelevision.com/sites/default/files/styles/smartcrop_800x800/public/images/tv-images/2018/02/09/bob.jpg?itok=jXvENOYn

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

https://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2020/09/24/chat.jpg?itok=HK7RT86Q
Viacom18's Mahesh Shetty's tips for sales teams & professionals

Most management graduates harbour dreams of getting into a marketing job at one of the FMCG majors once they graduate. But if they have eyes on the corner office they would do well to get into sales, and not just be swayed by its more glamorous cousin, marketing.

Television TV Channels People
https://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2020/09/23/cosmos.jpg?itok=btX9sR9_
Disney+Hotstar VIP to stream Cosmos-Maya's animated series Dabanngg

MUMBAI: Indian animation studio, Cosmos-Maya and Arbaaz Khan Productions have come together to adapt the Dabangg franchise into an animated series. This news comes right in line with the tenth anniversary celebration of the film franchise that introduced the character of Chulbul ‘Robin Hood’ Pandey...

Television TV Channels Kids
https://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2020/09/23/news_0.jpg?itok=W1o6qZnD
News First stings on launch day, gets Karnataka assembly talking on second day

News First, Karnataka’s much awaited Kannada News Channel, didn’t disappoint on launch day. The channel chose to live up to its tagline of Pratikshana Nimmondhege, Every Moment with You, with a sting operation that showed the rampant spread of drug usage amongst children and youth alike, in...

Television TV Channels News Broadcasting
https://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2020/09/23/eros.jpg?itok=_AplRLKc
Eros International unveils new identity for Eros STX Global Corp

KOLKATA: Eros International Plc has changed its corporate name to Eros STX Global Corp. Along with the change in the corporate name, the brand has come with a new logo, a new website, and a new stock ticker ESGC for New York stock exchange. Eros Intl Media CEO Pradeep Dwivedi shared the new...

Television Production House Post Production
https://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2020/09/23/ting.jpg?itok=5dl36r40
Nickelodeon unveils its ninth indigenous animated IP 'Ting Tong'

MUMBAI: Every year, India’s premiere kids’ entertainment destination has introduced characters that are endearing and have gone on to emerge as icons amongst children across the country. The comic capers of Motu Patlu, the magic of Rudra, the adventures of Shiva and the mischiefs of the Golmaal...

Television TV Channels Kids
https://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2020/09/23/sunil.jpg?itok=Bz7Bv0GE
Virtual Fireside Series: Watch BARC India CEO Sunil Lulla live on 25 September

MUMBAI: Taking ahead its virtual fireside series with leading professionals spearheading the broadcast industry in India, Indiantelevision.com will be hosting BARC India CEO Sunil Lulla on 25 September 2020. The session will be helmed by our founder, CEO, and editor-in-chief Anil Wanvari. During...

Television TV Channels GECs
https://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2020/09/23/swa.jpg?itok=eB9B6pGI
SWA announces nominees for TV Shows category of SWA awards 2020

MUMBAI: Screenwriters Association (SWA), the Indian guild of screenwriters and lyricists, announced the nominees for the TV Shows category of SWA Awards 2020. A jury comprising of eminent screenwriters selected nominees separately for story, screenplay and dialogue under two sub-categories: TV...

Television Production House Post Production
https://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2020/09/23/bbc_0.jpg?itok=VPjduLoB
Cutting-edge, robotic, animal spies infiltrate the wild again in Sony BBC Earth’s premiere ‘Spy in the Wild 2’

Nature's spies are back undercover and this time, their mission is to go deeper into the animal world than ever thought possible. Spy in the Wild revolutionized wildlife filmmaking with the use of cutting edge technology and now with Season 2, the makers have set new benchmarks as they placed more...

Television TV Channels News Broadcasting
https://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2020/09/22/ipl.jpg?itok=vqaVWQ7C
200 million tuned in to watch the opening match of IPL: Jay Shah, BCCI

Season 13 of the Indian Premier League has opened to a grand start with millions of audiences across the world watching it on their television and mobile screens. It is one of the biggest live sports events that is happening after a gap of nearly six months. The matches are played in UAE. Star...

Television TV Channels Sports

Sign up for our Newsletter

subscribe for latest stories

* indicates required