AMC Networks said its second quarter profit rose largely on performance from its U.S. cable networks, which include AMC, Sundance, IFC and We TV.
Second-quarter net income rose 34% to $103 million, or $1.54 a share, compared with $77 million, or $1.05 a share, in the year-earlier period. The results include impairment charges of $17 million related to an Amsterdam facility.
Revenue in the second quarter rose 3.8%, or $26 million, to $711 million, reflecting a 5.6% increase in revenue at U.S. networks and despite a $7 million decline at the company’s international operations. The company said ad revenue at its U.S. networks rose 2.6%. Investors have been scrutinizing media companies’ advertising performance in the second quarter, particularly after Time Warner and Scripps Networks have indicated tougher trends in that measure for some months ahead. Distribution revenue at the domestic networks, meanwhile, increased 7.8%
In prepared remarks, AMC Networks CEO Josh Sapan cited programs such as AMC’s “Better Call Saul,” IFC’s “Documentary Now!” and BBC America’s “Planet Earth I” as examples of “marquee content” that lures “passionate and engaged fans” to the company’s networks.
AMC saw some choppiness at its overseas and other operations, where revenue fell 6.3% to $110.8 million. An operating loss increased to $31.2 million from $7.8 million. Sales fell for both international networks and IFC Films, while new investments in digital efforts offset a decrease in network costs.