Viacom Q3 Profit Rises - Update

(RTTNews) - Media conglomerate Viacom Inc. (VIA, VIAB) on Thursday reported an increase in profit for the third quarter, driven largely by growth in revenues. Both earnings and revenue for the quarter beat analysts' expectations.

Viacom's third-quarter profit rose to $680 million or $1.69 per share from $432 million or $1.09 per share last year.

The latest quarter's results reflect gains from the sale of the company's investment in EPIX.

Adjusted earnings rose to $471 million or $1.17 per share from $419 million or $1.05 per share last year. On average, 30 analysts polled by Thomson Reuters expected the company to earn $1.05 per share for the quarter.

Revenues for the quarter rose 8 percent to $3.36 billion from $3.11 billion in the year-ago period. Analysts had a consensus revenue estimate of $3.29 billion.

Commenting on the results, CEO Bob Bakish said, "In the third quarter, Viacom strengthened its top line, with growth in advertising and affiliate revenues and gains across its Filmed Entertainment segment, while continuing to execute on a strategic plan to reinvigorate our brands, break down silos, deepen our relationships with business partners and reposition Paramount for the future."

Media Networks, the biggest contributor to revenues, grew 2 percent from last year to $2.56 billion, with affiliate revenues up 4 percent and advertising revenues up 2 percent.

Filmed Entertainment's revenues for the quarter grew 36 percent to $847 million, reflecting continued increase across all revenue streams, with theatrical revenues surging 189 percent from last year driven by performance of Transformers : The Last Knight.

VIAB closed Thursday's trading at $35.07, up $0.98 or 2.87%, on the Nasdaq. The stock, however, slipped $0.27 or 0.77% in the after-hours trading.