• by Wayne Friedman , May 3, 2011

Lower programming expenses helped CBS achieve big financial results in the first quarter of 2011. CBS posted a net income of $202 million, reversing its $26 million net loss in the first quarter of 2010.

Revenues fell less than 1% to $3.51 billion, as CBS did not have the Super Bowl this year. CBS also got fewer advertising dollars for this year's NCAA Tournament. Advertising revenues dropped to $2.292 billion in the first quarter of 2011, from $2.381 billion during the same period of a year ago.

CBS aired the Super Bowl in the first quarter of 2010; every year the big game moves to another of the NFL's major broadcast TV partners. In addition, for the first time in its history of airing the NCAA Tournament, CBS inked a partnership deal with Turner Broadcasting. That meant giving up some advertising revenue to Turner, but CBS also saved money in NCAA programming license fees that Turner took on.

Looking just at CBS' entertainment businesses -- CBS Television Network, its studios and its distribution unit -- adjusted operating income more than doubled to $230 million from $104 million in the first quarter of 2010. Revenues declined to $1.994 billion from $2.081 billion. CBS' cable network businesses had a 7% gain in revenue to $393 million, with operating income climbing to $147 million versus $95 million a year ago.

Les Moonves, president and chief executive officer of CBS Corp., said in a release: "Our first quarter performance was driven by strong underlying advertising revenue growth and increases in non-advertising revenue streams, as we continue to maximize the value of CBS's world-class content... Looking ahead, we have great momentum heading into this year's Upfront marketplace, and we continue to enter into lucrative retransmission, syndication and online distribution deals."

In contrast to the soaring revenue gains of 2010, local TV stations offered up more modest hikes in the first quarter of 2011 -- a 3% improvement to $621 million. Adjusted operating income made big gains -- 31% to $143 million.

In a separate announcement, Scott Pelley was named anchor and managing editor of the "CBS Evening News." The appointment to the broadcast network, to be renamed the "CBS Evening News With Scott Pelley," is effective June 6. Pelley will continue to report stories for "60 Minutes."