AMC Networks Revenue Scores; Earnings, Ad Sales Drop

Last year’s third quarter hosted the final episodes of “Breaking Bad”

rick grimes walking dead andrew lincoln

AMC Networks saw a strong revenue hike when compared to the year-ago period, but missed the mark on earnings per share for 2014’s third quarter.

Much of the positive can be pinned to AMC’s international performance. On the flip-side, plenty of the negative comes from the domestic National Networks, which consists mainly of AMC, WE tv, IFC and SundanceTV.

Wall Street had forecasted earnings per share of around $0.81 on revenue of about $517 million for 2014’s Q3. Net revenue reported on Thursday was $520 million — slightly topping the latter mark — but EPS was just $0.74.

For the same time period last year, AMC reported earnings of $0.80 per share on revenue of $395 million. The final episodes of hit series “Breaking Bad” were contained in 2013’s third quarter.

The company credited the earnings dip to “the decline in operating income and an increase in miscellaneous expense partially offset by lower income tax expense.” Soft ad sales at national network AMC, which decreased 5.8 percent, certainly didn’t help matters.

The company said that drop was “principally related to the timing of the airing of original programming.”

However, its International and Other segment — which consists principally of AMC Networks International and IFC Films — reported Q3 revenues for that increased $109 million to $123 million.

In the accompanying statement, President and Chief Executive Officer Josh Sapan said: “AMC Networks continued its strong financial and operating performance in the third quarter with a double digit increase in revenue and growth in AOCF. We are particularly pleased that for the broadcast season, which ended in the third quarter, AMC Networks in aggregate was the only cable media group to have experienced double-digit growth in viewership among key demos adults 18-49 and adults 25-54.

“Our year over year growth is significant and speaks to the success of our core content investment strategy,” he continued. “The recently announced partnership with BBC Worldwide, which includes our taking a 49.9 percent stake in BBC America through a long-term joint-venture, meets many of our core strategic objectives for our business and provides a platform for long-term growth and success.”

The AMC Networks earnings call is scheduled for 11 a.m. ET on Thursday, at which time this post will be updated with any pertinent information.

Comments