Viacom Revenues Down in Q3

NEW YORK: Declines at its filmed entertainment segment led to a 7-percent drop in Viacom's revenues in the third quarter to $3.4 billion, with net earnings from continuing operations down 6 percent to $611 million.

Filmed entertainment revenues fell by 26 percent to $856 million, as theatrical revenues fell 43 percent and worldwide home entertainment was down 24 percent. The division did, however, post an improved operating income of $55 million.

At the media networks, revenues were up slightly at $2.6 billion, with modest gains in ad revenues and flat worldwide affiliate revenues. Operating income for media networks was $1.1 billion, a 3-percent decline on the year-ago period.

Philippe Dauman, the president and CEO of Viacom, referred to the period as a "solid quarter." He added, "We delivered nearly $1 billion to shareholders through buybacks and dividends and continued to build on our success in creating outstanding content and focused brands that connect deeply with audiences across all platforms. Our Media Networks distribution relationships continue to expand, providing broader opportunities for fans to enjoy Viacom’s content. Successful series and high-profile event programming on our networks create powerful experiences for audiences and valuable opportunities for advertisers, while driving industry-leading social engagement. We announced our agreement to acquire major British broadcaster Channel 5 in the quarter, which will increase our presence in an important global market. Paramount is poised for an outstanding summer, kicked off by Transformers: Age of Extinction, which is already a record-setting global hit and the number one film of all time in China. In addition, the highly anticipated Teenage Mutant Ninja Turtles premieres Friday for fans around the world.”