Viacom said third-quarter net income fell just over 5% due to revenue shortfalls at its filmed-entertainment business and a gain of just 1% in revenue at its cable-network portfolio.
The owner of the Paramount movie studio and cable outlets like MTV and Comedy Central said net income in the quarter came to $610 million, or $1.40 a share, compared with $643 million, or $1.31 a share, in the year-earlier period. Viacom’s fiscal Q3 ended June 30.
Meanwhile, revenue fell to $3.42 billion from $3.693 billion a year ago, Viacom said — a dip of 7%.
The company said revenue at its film unit fell to $856 million, compared with nearly $1.16 billion in the year-earlier quarter. Viacom said it saw a 43% decline in theatrical revenue and a 24% dip in revenue from home entertainment. Viacom cited the number and timing of movie releases in the period as well as a decline in revenue from titles available for the home.
In a statement, Viacom CEO Philippe Dauman said Paramount was “poised for an outstanding summer, kicked off by ‘Transformers: Age of Extinction,'” as well as the debut of “Teenage Mutant Ninja Turtles,” which premieres Friday.
Meantime, revenue at the company’s media networks rose just 1%, to $2.59 billion. Viacom cited higher advertising revenue, which rose 1% domestically and 2% internationally. Worldwide affiliate fee revenues were flat in the quarter, with rate increases offset by lower revenues from certain distribution arrangements.