By Michael Calia
AMC Networks Inc., whose cable offerings include "Better Call
Saul" and "The Walking Dead," said that advertising revenue surged
in the most recent quarter due in large part to strong demand for
original programming at its namesake cable channel.
The company's results exceeded analysts' expectations.
AMC Networks has sought to weather the end of "Breaking Bad" and
the coming conclusion of its acclaimed "Mad Men" by tapping into
its hit properties to create new programming. "Better Call Saul," a
spinoff prequel from "Breaking Bad," has scored high ratings in its
early going, while "The Walking Dead" continues to dominate. A
spinoff series from "The Walking Dead" is on the way as well.
The company's national networks division--which includes AMC and
WE tv, among others--posted a 20% jump in revenue to $499.8 million
as advertising revenue jumped 24% to $255 million.
The company's growth strategy has included acquisitions and
partnerships, as well as international expansion. Its deal for
Chellomedia, which it acquired from Liberty Global last year, has
boosted revenue, and the company said in the fall that it agreed to
buy a 49.9% stake in BBC America. Earlier this month reached a deal
with Dish Network Corp. to include its popular series on the pay-TV
provider's Sling TV streaming service.
AMC Networks' international segment's revenue surged to $110.3
million from $17.9 million a year earlier.
For the period ended Dec. 31, the company posted a profit of
$77.6 million, or $1.06 a share, up from $35.4 million, or 49 cents
a share, a year earlier.
Revenue rose 40% to $609.4 million.
Analysts had projected 99 cents a share in earnings and $602
million in revenue.
Write to Michael Calia at michael.calia@wsj.com
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