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Soft Ad Market Tackles CBS Corp.

All units within Sumner Redstone’s conglomerate feel the squeeze.

The depressed ad market put the hurt on CBS Corp. during the most recent quarter, with the company reporting a loss of $55.3 million compared to a profit of $244 million last year.

 

Revenue declined to $3.2 billion from $3.7 billion.

 

Sumner Redstone’s conglomerate saw a decline in revenue at each of its units, which include radio, outdoor advertising and book publishing businesses.

 

Leslie Moonves, the company’s chief executive, said in a statement, “We are confident that the second half of the year will bring improved results due to a strong slate of syndication releases, the effect of cost reductions that were made last year and early signs of an improving local advertising marketplace.”

 

CBS has has a good TV season, with “The Mentalist” representing one of the very few new shows to have shown stability. Veteran series “NCIS,” and “Two and a Half Men.” are also having strong years.

 

Other breakdowns:

 

– Radio revenues were down 29% to $260 million.

 

– Outdoor revenues decreased 24% to $380 million.

 

– Interactive revenues rose to $134 million from $53 million.

 

– Publishing revenues decreased 20% to $161.7.

 

Redstone’s other holding company, Viacom, last week reported weak profits and earnings. And this week saw a steady stream of bad corporate news, with Disney and Fox reporting massive profit drops.