While the third quarter brought softening auto advertising, legal is helping fill the gap, broadcasters say. And with 2020 comes the expectation that political advertising will blow away all previous records.
CBS revealed third-quarter 2019 financials early Tuesday morning, reporting a mixed bag of results. Though revenue slightly grew from the comparable quarter last year, CBS missed media analysts’ forecasts by $60 million. Reverse comp and virtual MVPD revenues grew 18%, and total affiliate and subscription fees grew 12%, representing more than a third of its overall revenue in the quarter.
Nissan reported flat North American profit in its latest quarter and narrowed its loss in Europe, while global earnings fell.
The total of $36.4 million is the same as a year ago with increases in retrans dollars partially offset by lower local and political ad revenue.
“I think we were all nervous about the General Motors strike and that had no impact on us,” Local Media President Brian Lawlor told analysts. In fact, he added, the ad categories of furniture, bedding, travel and leisure, cruises, jewelry, shoes and appliances, all were “up significantly. It really gives us a lot of hope that our local economy and our local markets are very healthy.”
Increases in core, digital and retrans money fail to offset lower political and greater reverse comp.
The increase to $252 million was aided by a 21% rise in retrans revenue and higher core advertising.
The decrease to $115.2 million is due to a $19.9 million decrease in political advertising revenue, slightly offset by a $3.1 million increase in retransmission revenues.
Five days before its highly-anticipated launch of its streaming service, Disney reported fourth-quarter earnings on Thursday that beat Wall Street expectations. For the three months ending on Sept. 30, representing the company’s fourth fiscal quarter, Disney reported $19.1 billion in revenue, narrowly beating analyst estimates of $19.04 billion. Disney also posted earnings per share of $1.07, which excluded certain items that affected comparability to prior quarters, which surpassed projections of $0.95 EPS.
The increase to $552 million was driven by acquisitions and continued growth in subscription revenue and advertising and marketing services, which more than offset the absence of $60 million of political revenue in the same period last year.
Dish Network posted a better-than-expected quarterly profit on Thursday, as the satellite TV service provider surprised Wall Street by adding more pay TV subscribers. It increased its subs by 148,000 in the quarter, compared with analysts’ estimates for a loss of 166,000, according to research firm FactSet.
An increase in retransmission consent revenue of $26 million, or 15%, to $196 million couldn’t quite offset lower advertising dollars. The company also authorizes a $150 million share repurchase.
Total revenue reached $2.67 billion. Core divisions housing cable and broadcast operations posted single-digit growth. The Television segment had revenue of $1.36 billion, an increase of $79 million (6%). Affiliate and “other” revenue offset declines in advertising.
The growth was fueled by increases in distribution and digital revenues.
The quarterly numbers reflect the 12-day contribution and expenses from the acquired Tribune stations. Total spot revenue grew 11% to $290,213,000.
Troubled measurement company Comscore announced that Bill Livek has been named CEO as the company reported a loss for the third quarter and a decline in revenues.
On Monday, Google parent Alphabet met growth expectations for its key moneymaking businesses — notably its advertising business, which reported revenues that increased 17% to $33.9 billion during the quarter. But Alphabet’s capital expenditures grew at the same time, rising to $6.7 billion in the period as Google continued to expand its headquarters and build data centers for its cloud computing business.
Amazon’s third-quarter earnings fell short of street expectations on Thursday, driving its stock down roughly 7% in after hours trading.
Twitter Inc. posted worse-than-expected third quarter revenue and profit on Thursday, which the company attributed to advertising problems including product bugs and unusually low demand over the summer, sending its shares down about 15%.
Comcast reported strong overall results for the third quarter this morning, with earnings per share of 79 cents and total revenue of $26.83 billion, as cable results overcame softness at NBCUniversal. Revenue at NBCUniversal dropped 3.5% to $8.3 billion. Broadcast TV was especially hard-hit, with revenue decreasing 9.1% to $2.2 billion, with World Cup broadcasts on Telemundo setting a high bar in the third quarter of 2018.
The latest sign of the challenges facing Netflix emerged Wednesday with the release of its third-quarter results. The numbers provided further evidence that Netflix’s salad days may be over, particularly in the U.S., where most households that want its 12-year-old streaming service already have it.
Univision reported revenue fell 4% to $701.7 million. What the company describes as core revenue dropped 3.5% to $694.5 million. It also posted lower second-quarter net income, it fell 21% to $90.7 million from $114.3 million a year ago.
Tribune Media today reported second quarter 2019 earnings results that included Television and Entertainment Segment revenue of $482.6 million compared to $486.4 million in the second quarter of 2018, a decrease of $3.9 million, or 1%. The company said the decrease was driven by a $17.6 million decrease in political advertising revenues and a $6.4 […]
The drop in pro forma revenue was offset somewhat by a 10% increase in retrans revenue.
Reporting second-quarter results on the same day that sister company Viacom reported its own stellar financials, CBS set records for revenue, adjusted operating income and earnings per share. The EPS figure of $1.16 beat Wall Street estimates by three cents and revenue of $3.81 billion also cleared the bar set by analysts by a good $100 million, up 10% from the year-earlier period.
With its anticipated re-coupling with CBS casting a shadow, Viacom reported third quarter earnings that beat Wall Street forecasts on Thursday. For the three months ending on June 30, the film and TV conglomerate reported revenue of $3.36 billion and an adjusted diluted earnings-per-share of $1.33. Media analysts had forecast earnings per share of $1.06 and $3.33 billion in revenue.
Fox Corp. beat Wall Street estimates in its first full quarter as a stand-alone company, with affiliate revenue and digital licensing powering the performance. Revenue of $2.51 billion beat the Street’s outlook of $2.47 billion. Fox credited affiliate revenue growth of 7%, driven by an 18% increase in its television unit. Another boost came from a 78% increase in other revenues, primarily due to higher digital content licensing revenues in the TV unit.
Retrans revenue rose 23% to $201 million in the quarter, just enough to push total revenue for the station group into the black. Dragging down the top line was spot. Political took a big downturn as it always does in odd-numbered years, but core was also off.
The increase to $696 million is boosted by higher digital and distribution revenues. Overall, the company revenue was up 30% over 2Q 2018.
However, factoring out political results in a 2.7% increase. Retrans grows 13.8% to $314 million.
CEO Bob Iger said one of the biggest issues affecting earnings was underperformance at the Fox movie and TV studio. Tuesday’s results, the first complete quarter with Fox’s businesses included, missed Wall Street’s expectations. Disney’s shares fell 3% in aftermarket trading.
The increase to $537 million is powered by subscription revenues and an improvement in advertising and marketing services.
The rise is attributed to $4.8 million in higher retransmission revenues, partly offset by a $3.4 million decrease in political advertising revenue.
Net income rose 71% to $123 million, or 34 cents per share, from $72 million, or 20 cents per share a year ago. The company says it expects its strategic review to be completed by the time it releases its third-quarter financial results.
Sony Pictures posted a profit of $3.7 million for the fiscal first quarter, which ran April to June, compared to a $68 million loss in the same period last year, Sony Corp. reported in Tokyo on Tuesday.
Dish reported losing around 79,000 Dish TV subscribers during the latest quarter, while adding around 48,000 Sling TV subscribers.