CBS has revealed subscriber numbers for CBS All Access and Showtime OTT for the first time.
“CBS All Access and Showtime OTT have surpassed 2 million subscribers, about evenly split,” CBS CEO Les Moonves said on the company’s Q2 earnings call on Thursday. “That’s well ahead of where we’d thought we’d be this early in
All Access launched in 2014 and will serve as the home of both “Star Trek: Discovery” and the planned “Good Wife” spinoff in 2017 as well as previous seasons of all CBS shows. Showtime OTT launched in 2015 and offers viewers all previous seasons of shows like “Ray Donovan” and “Masters of Sex.”
Moonves had previously predicted that the services would have eight million subscribers combined by 2020. He also credited the services with helping drive the company’s Q2 earnings, which were ahead of analysts expectations.
CBS reported earnings per share of $0.92 on $3.29 billion in revenue. Analysts had previously estimated that the company would post earnings per share of $0.86.
Revenues for the second quarter of 2016 increased 2 perecent from the same prior-year period, even though the prior year included two significant events which did not recur in 2016: Showtime’s distribution of the Floyd Mayweather/Manny Pacquiao superfight, and the broadcast of the NCAA Division I Men’s Basketball Championship finals.
Net earnings of $423 million for the second quarter of 2016 rose 27 percent from $332 million for the same quarter in 2015, driven by the higher operating income, and increased 16 percent from adjusted net earnings of $365 million for the second quarter of 2015.
CBS has beaten expectations repeatedly over the last several quarters. Back in May when Q1 results were announced, revenues for 2016 increased 10 percent compared to the same prior-year period. Advertising revenues grew 31 percent, driven by the CBS Television Network’s broadcast of Super Bowl 50 and additional NFL games, as well as a 12 percent increase in underlying network advertising.
In Q4 of 2015, the company achieved $3.9 billion in revenue, beating expectations of $3.79 billion for the best quarter in company history.