Viacom Q2 Results Beat Estimates

(RTTNews) - Media conglomerate Viacom, Inc. (VIA, VIAB) on Thursday reported a 60 percent fall in profit for the second quarter from last year, as higher revenues were more than offset by one-time charges and an increase in expenses. However, both revenue and adjusted earnings per share for the quarter beat analysts' expectations.

Second-quarter net earnings attributable to Viacom, the owner of Paramount Pictures and Nickelodeon, were $121 million or $0.30 per share, down from $303 million or $0.76 per share in the same period last year.

The latest quarter's results reflect restructuring and programming charges of $280 million resulting from the execution of new strategic initiatives, including the prioritization of six flagship brands: BET, Comedy Central, MTV, Nickelodeon, Nick Jr. and Paramount.

However, adjusted net earnings attributable to Viacom for the quarter were $317 million or $0.79 per share, compared to $303 million or $0.76 per share a year ago.

On average, 33 analysts polled by Thomson Reuters expected the company to earn $0.59 per share for the quarter. Analysts' estimates typically exclude special items.

Revenues for the quarter rose 8 percent to $3.26 billion from $3.00 billion in the year-ago period. Analysts had a consensus revenue estimate of $3.03 billion.

Media Networks' revenues for the quarter rose 1 percent from last year to $2.39 billion, reflecting an increase in affiliate revenues and flat ancillary revenues, partly offset by lower advertising revenues.

Filmed Entertainment's revenues for the quarter grew 37 percent to $895 million, reflecting gains in theatrical, licensing, home entertainment and ancillary revenues. Overall, theatrical revenues rose 10 percent from last year to $238 million.

International theatrical revenues grew 98 percent, reflecting the strong international performance of "xXx: Return of Xander Cage".