Sign up USA
Proactive Investors - Run By Investors For Investors

Viacom hit by declines in film and theatre

First quarter sales dropped to US$3.07bn, down from US$3.32bn, in the three months to December as film and theatre went down by 28% and 48% respectively
film screening
Viacom hit by declines in film and theatre

Media giant Viacom Inc’s (NYSE:VIA) fourth quarter revenues fell as it was hit by heavy declines in film and theatre income.

First quarter sales dropped to US$3.07bn, down from US$3.32bn, in the three months to December as film and theatre went down by 28% and 48% respectively, due to the number and mix of current quarter releases.

READ: Viacom, CBS to explore reunification of the two media giants

The company reported a 35% increase in net earnings to US$537mln from US$396mln though adjusted earnings per share fell slightly to US$1.03.

Across its networks, a 1% increase in advertising was offset by a 4% decrease in affiliate revenues.

Overall, Media Networks sales decreased 1% to $2.56bn, though international income increased 13%, primarily driven by the acquisition of Argentine network Telefe.

Bob Bakish, chief executive, said the company is on track to achieve US$10mln in new cost savings in the current fiscal year.

Last week,Viacom revealed talks with CBS Corp (NYSE:CBS) as a first step towards a possible reunification of the two media companies that split apart in 2005.

In separate but nearly identical statements issued late Thursday, both companies’ boards announced the formation of special committees to evaluate a potential combination.

View full VIA profile View Profile

Viacom Timeline

No investment advice

The Company is a publisher. You understand and agree that no content published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is suitable or advisable for any specific person. You understand that the Company receives either monetary or securities compensation for our services. We stand to benefit from any volume this write-up may generate.

You further understand that none of the information providers or their affiliates will advise you personally concerning the nature, potential, advisability, value or suitability of any particular security, portfolio of securities, transaction, investment strategy, or other matter.

You understand that the Site may contain opinions from time to time with regard to securities mentioned in other products, including company related products, and that those opinions may be different from those obtained by using another product related to the Company. You understand and agree that contributors may write about securities in which they or their firms have a position, and that they may trade such securities for their own account. In cases where the position is held at the time of publication and such position is known to the Company, appropriate disclosure is made. However, you understand and agree that at the time of any transaction that you make, one or more contributors may have a position in the securities written about. You understand that price and other data is supplied by sources believed to be reliable, that the calculations herein are made using such data, and that neither such data nor such calculations are guaranteed by these sources, the Company, the information providers or any other person or entity, and may not be complete or accurate.

From time to time, reference may be made in our marketing materials to prior articles and opinions we have published. These references may be selective, may reference only a portion of an article or recommendation, and are likely not to be current. As markets change continuously, previously published information and data may not be current and should not be relied upon.

Copyright © Proactiveinvestors.com, 2018. All Rights Reserved - Proactive Investors North America Inc., Proactive Investors LLC

Market Indices, Commodities and Regulatory News Headlines copyright © Morningstar. Data delayed 15 minutes unless otherwise indicated. Terms of use