AMC Networks Quarterly Profit Dips, Revenue Gains

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NEW YORK: AMC Networks reported mixed Q2 financials, with revenue rising thanks to its national-networks division, while profit took a hit.

Second-quarter revenue rose 38 percent to $522 million. This was led by an 8.7-percent gain from its national networks and an increase of $111 million for International and Other. Profit for the quarter was $58.7 million, which is down from the $135.7 million in the prior-year period.

The national-networks division, comprised of AMC, WE tv, IFC and SundanceTV, saw revenues increase to $398 million. This was helped by an 11.3-percent increase in advertising revenues to $164 million, thanks to strong demand from original programming, notably at AMC. Distribution revenues gained 7 percent to $234 million.

The company's International and Other business, which includes AMC Networks International as well as IFC Films, posted revenues of $125 million. The increase was primarily a result of the company's acquisition of Chellomedia.

Josh Sapan, AMC Networks' president and CEO, said: “AMC Networks once again generated double-digit increases in revenue and AOCF in the second quarter as we continued to create value for our shareholders by investing in high-quality original programming that builds our brands, strengthens our relationships with distributors and advertisers and creates highly passionate and dedicated viewers. We are proud of our 35 prime-time Emmy nominations, including 26 at AMC, eight at IFC and one at SundanceTV. We recently renewed AMC’s Revolutionary War drama Turn for a second season and debuted both AMC’s Halt and Catch Fire and WE tv’s The Divide to wide critical acclaim. As we develop our international business, we are rebranding the recently acquired MGM Channel to AMC, and distributing Halt and Catch Fire and The Divide on this new global platform. IFC Films’ latest release, Boyhood, filmed over a 12-year period by acclaimed director Richard Linklater, and starring Ethan Hawke and Patricia Arquette, is receiving glowing reviews and generating strong box office results as we roll it out across the country."