Viacom Inc. said Thursday its fourth-quarter profit fell 69 percent as the recession hurt growth and as it recorded $454 million in restructuring and other charges.
NEW YORK (AP) – Media conglomerate Viacom Inc. said Thursday its fourth-quarter profit fell 69 percent as the recession hurt growth and as it recorded $454 million in restructuring and other charges.
New York-based Viacom said it earned $173 million, or 28 cents per share, compared with $559.5 million, or 86 cents per share, in the year-ago quarter.
Excluding restructuring and other charges, Viacom earned 76 cents per share. This is a penny less than what analysts surveyed by Thomson Reuters expected.
Revenue was essentially flat at $4.24 billion — in line with analyst expectations.
Revenue from the company’s media networks, like MTV and Nickelodeon, rose 1 percent to $2.48 billion.
Revenue from filmed entertainment, which includes film studio Paramount Pictures, dipped 2 percent to $1.81 billion. The company said this was due mainly to a 6 percent drop in home entertainment revenue, which fell to $1.02 billion.
“Our fourth-quarter results reflect the realities of a challenging economy,” said Viacom Chief Executive Philippe Dauman in a statement.
Dauman said the economy hurt Viacom’s advertising, home entertainment and consumer products businesses, but the media conglomerate recorded growth in affiliate and theatrical revenues.
For the full year, Viacom earned $1.25 billion, or $2 per share, compared with $1.84 billion, or $2.72 per share, in 2007.
Adjusted earnings rose to $2.38 per share — an increase of 2 cents per share over 2007.
The company’s revenue rose 9 percent to $14.63 billion in 2008 from $13.42 billion in 2007.