• by Wayne Friedman , August 3, 2010

Discovery Communications continues to post strong results over the last several financial reporting periods. 

Second-quarter revenue climbed 11% to $963 million with adjusted operating income up 18% to $455 million. As a result of these continued strong gains, the company says it will begin a $1 billion share repurchase plan -- an effort that looks to improve the company's stock price.

But because of retiring some debt and interest rate swaps, Discovery's net income actually declined 40% to $106 million. These results were also against higher second-quarter 2009 comparisons, which included the 50% sale of Discovery Kids to Hasbro -- a network soon to be launched as The Hub.

Advertising results continued to be healthy, rising 19% during the period to $435 million. Revenues from distribution fees climbed more slowly, up 6% to $449 million during the period.

From its U.S. networks, Discovery moved up 10% in revenue to $620 million. Advertising revenues came to $329 million -- up 13% -- with distribution revenues at $263 million, 6% higher.

International networks grew at a fast rate -- up 15% in overall revenue to $306 million. Advertising business soared 38% to $106 million, with fees from distribution at $186 million, up 6%.

David Zaslav, president and CEO of Discovery Communications, stated: "We delivered double-digit revenue and Adjusted OIBDA growth, capitalizing on the greater global demand for advertising while continuing to demonstrate the operating leverage inherent in our business model.

"At the same time we remain focused on further strengthening our global content, with increased investments in Animal Planet and ID translating into ratings," he added.