You will be redirected back to your article in seconds

Discovery Posts Q4 Loss on One-Time Charges Despite Revenue Climb

Discovery Communications said fourth-quarter profit fell due to a series of one-time charges, even as advertising and distribution revenues climbed both at its U.S. properties and abroad.

The owner of the Discovery Network, TLC and OWN cable outlets, which said Tuesday it has obtained clearance from the Department of Justice to purchase Scripps Networks, said net income fell to a loss of $1.14 billion, or $1.99 per share, citing a goodwill impairment charge of $1.32 billion related to its European operations, and a charge of $59 million related to costs related to the Scripps acquisition. In the year-earlier period, Discovery reported a profit of $304 million or 51 cents per share.

 Revenue in the period climbed 11% to more than $1.86 billion, compared with $1.67 billion, with growth evident at both the company’s U.S. and European properties.

“Solid global advertising and distribution revenue growth helped us achieve our 2017 strategic and financial objectives,”said David Zaslav, Discovery’s chief executive, in a prepared statement. “Additionally, we remain excited by the prospects for a combined Discovery and Scripps Networks.”

At Discovery’s U.S. operations, fourth-quarter revenues rose 10%, to $892 million. The company cited 7% increase in revenue related to distribution, and an 8% increase in revenue related to advertising.  driven by 7% distribution growth. Advertising was strong at both the TLC and ID networks, the company said, but subscriptions to its overall portfolio of networks fell 5%.

Revenue rose at Discovery’s overseas holdings. Revenue at its international networks rose 13% to $927 million. Distribution revenues grew 10%, mostly due to higher rates in Europe following
further investment in sports content, and higher contractual rates in Latin America. Advertising revenue rose 5%, mostly due to higher volume and pricing across key markets in Europe and higher volume in Latin America, the company said.


More TV

  • Apple Reveals New TV Streaming Service

    Apple Reveals New TV Streaming Service

    Apple on Monday unveiled plans for its long-anticipated streaming TV service. Sharing a stage with top talent including Steven Spielberg, Jennifer Aniston, Reese Witherspoon, Jason Momoa, Viola Davis, and Kumail Nanjiani, Apple CEO Tim Cook announced Apple TV+, the new platform for original television programming. “TV is more than just entertainment, it’s cultural,” Cook said [...]

  • La Liga Launches LaLigaSportTV OTT Streaming

    Spain’s La Liga Launches Pioneering OTT Service to Promote Spanish Sports Federations

    Spain’s top Soccer league, La Liga, has unveiled a new OTT service, LaLigaSportsTV. The service provides audiences with free coverage of major and minor Spanish sports content streamed directly to their personal devices. It looks set to be the first such service offered by a major European league, and of singular scope and objectives. LaLigaSportsTV [...]

  • Veep Season 6

    TV Shows to Watch the Week of March 25, 2019: 'Veep' Final Season, 'Barry' Season 2

    Welcome back to Tune In: our weekly newsletter offering a guide to the best of the week’s TV. Each week, Variety’s TV team combs through the week’s schedule, selecting our picks of what to watch and when/how to watch them. This week, “Veep” launches into its final season, and “Barry” season 2 debuts, both on [...]

  • Mandy Moore Walk of Fame Honor

    'This Is Us' Star Mandy Moore on Why She Is 'Operating at My Best Now'

    “This Is Us” star Mandy Moore successfully transitioned from a teenage pop star to an adult who juggles singing, acting and, soon enough, producing professionally. On March 25 she is being celebrated for her achievements with a star on the Hollywood Walk of Fame, an honor she calls “tremendously humbling.” “I feel like I’m operating [...]

  • Milo Ventimiglia, Mandy Moore, Jon Huertas,

    ‘This Is Us’ Creator Teases Final Moments of Season 3 Finale

    The final moments of the “This Is Us” Season 3 finale were so secretive, that series stars Sterling K. Brown and Susan Kelechi Watson received redacted scripts. Justin Hartley said when he found out the last moments, he told himself, “Oh f—, they did it to me again.” Brown, Watson and Hartley joined other cast [...]

  • Apple Event: How to Watch Live-Stream

    How to Live-Stream Today's Apple Event

    Monday is the coming-out party for Apple’s Hollywood ambitions: After years of trademark secrecy about its plans to stream into video entertainment, the tech giant is set to pull back the curtain at a media event. The live program kicks off at 10 a.m. PT / 1 p.m. ET, on Monday, March 25, from the [...]

More From Our Brands

Access exclusive content