Entertainment giant Viacom Inc. beat Wall Street expectations with a fourth-quarter operating profit of $76.0 million, as revenues were boosted by strong ad sales, and the addition of the CBS television network. According to analysts, Viacom has the broadest advertising platform in the media and entertainment sector. About two-thirds of the company's earnings before income, taxes, depreciation and amortization (EBITDA), comes from advertising.
Strong ad revenues also helped drive growth at Viacom's Infinity unit, which operates more than 160 radio stations and an outdoor advertising business. The segment posted fourth-quarter pro forma EBITDA growth of 10% to reach $490 million for the quarter. - Adam Bernard