Flat Profit at Discovery in Q3

SILVER SPRING: Largely due to currency effects at its international operations, Discovery Communications' third-quarter revenues dipped by 1 percent to $1.56 billion, while its profit was flat at $279 million.

Nevertheless, the group beat Wall Street estimates with its quarterly results. Announcing the financials, president and CEO David Zaslav noted, “Discovery’s unique portfolio of assets and global brands drove yet another quarter of strong worldwide viewership and financial results. Discovery is like no other media company, propelled by our unmatched global infrastructure, local leadership, efficient global content model and sturdy position in the U.S., and we are confident in our ability to drive near
and long-term growth and shareholder value.”

U.S. revenues were up 8 percent to $781 million, with distribution revenues up 12 percent to $357 million and ad revenues up 6 percent to $410 million. Adjusted OIBDA rose 4 percent to $443 million.

At the international operations, meanwhile, revenues were down 9 percent to $740 million, with distribution revenues down 3 percent to $419 million and ad revenues falling 14 percent to $289 million. Discovery said that advertising revenues, excluding the impact of Eurosport, SBS Radio and currency, were up 12 percent, primarily due to higher volume and prices in Latin America and higher ratings, prices and volume in Southern Europe.