Viacom Q4 Ad Revenue Rises 10%Affiliate Fees Jump 6% For Content Giant 11/14/2013 7:21 AM Eastern
Fiscal fourth quarter revenue rose 9% at Viacom, fueled by double-digit increases in both domestic and international ad sales.
Overall revenue was up 9% to $3.65 billion at the parent of cable stalwarts MTV, BET and Comedy Central. Media Networks revenue rose 7% in the period to $2.46 billion, fueled by a 10% rise in domestic and international ad revenue and a 6% increase in affiliate fee revenue.
"Viacom's outstanding performance proved once again the broad global demand for our valuable content. Looking forward, our world-class brands are perfectly positioned to build on this performance and achieve even greater success," chairman Sumner Redstone said in a statement.
Adjusted operating income was up a strong 16%, driven by a increases in Media Networks and Filmed Entertainment. Media Networks adjusted operating income rose 11% while Filmed Entertainment AOI was up 49%.
For the fiscal year, total revenue dipped 1% to $13.79 billion, mainly because of a $538 million decline in Filmed Entertainment revenue. Media Networks revenue rose 5% to $9.66 billion in the fiscal year, driven by a 10% increase in domestic affiliate fees and a 3% rise in domestic ad sales.
Adjusted operating income grew 1% for the fiscal year to $3.94 billion, driven by a $207 million increase at Media Networks.
"Viacom's commitment to creative and operational excellence, and our continued investment in content, delivered an outstanding quarter and strong fiscal year,” CEO Philippe Dauman said in a statement. “Our Media Networks had strong growth in both advertising and affiliate revenues as ratings improved across our brands. We remain at the forefront of creating new and groundbreaking experiences that seamlessly translate across multiple screens and drive deep engagement with our hit programming. In Filmed Entertainment, the success of World War Z and strong performance of the Star Trek and GI Joe franchises in the home entertainment market drove solid returns in the quarter, and we are very optimistic about Paramount's ambitious pipeline of branded and franchise films.”