Citing higher programming costs among the contributing factors, CBS Corp. announced that its net income fell in the third quarter even as revenues were up a little, Variety reports.
“Net income from continuing operations tumbled to $72 million, or 13 cents per share, in the period, compared with $431 million, or 70 cents per share, a year earlier. The company cited higher costs associated with TV programming, including the addition of new NFL games on Thursday nights,” the story reports.
A number of one-time costs also figured into the results for the quarter, the report notes. “Including a $1.56 billion gain related to a spinoff of CBS Outdoor, CBS had a profit of $1.64 billion or $3.03 a share, compared with $494 million, or 80 cents a share in the year-earlier period,” Variety notes, adding: “The current quarter also included charges related to restructuring, a radio-station swap and other items. Excluding those charges, earnings from continuing operations would have come to 74 cents a share.”
Revenue was reportedly up 2% during the quarter — to $3.37 billion, vs. $3.30 billion a year ago — with content licensing revenues up.
“Advertising revenue rose 2%, mainly due to sponsorships attached to CBS’s new Thursday night football games and the recent build-up to political elections,” the report notes. “Revenue from the company’s entertainment assets, its largest grouping, came to $1.91 billion in the third quarter, up 1% from $1.88 billion in the year-earlier period. CBS said higher television licensing, affiliate and subscription fees were partially offset by softness in the overall advertising marketplace.”
Cable revenue was up 5% to $624 million, the report adds.