Revs increase 63.3% in first quarter
TORONTO — Subscriber and ad revenue in the broadcast division led Toronto-based Alliance Atlantis to a boffo first quarter, marked by a revenue increase of 63.3% and a fourfold jump in net earnings to C$6.1 million ($3.9 million.)
Net earnings for the quarter ended June 30 were $3.9 million, up markedly from $900,000 a year ago, on revenues of $112.3 million.
Besides the “strong, sustained growth” in sub and ad rev, company attributed the increase to a strong release slate from the motion picture unit’s domestic theatrical and video distribution operations and from Momentum Pictures in the U.K. as well as more production deliveries from the television arm.
“This quarter’s earnings growth was driven by outstanding performance and strong contribution from each of our three operating groups” chairman and CEO Michael MacMillan said. “During the quarter, we also achieved a number of key business initiatives which have positioned us for continued growth.”
The initiatives include carriage agreements for seven new digital channels — Showcase Action, Showcase Diva, Discovery Health Channel Canada, National Geographic Channel, BBC Canada, BBC Kids and the Independent Film Channel Canada (subject to regulatory approval), all of which are scheduled to launch next month.