Viacom Predicts Strong 2011, Registers 12% Ad Boost

With help from MTV's new season of "Jersey Shore," Viacom said Friday that domestic ad revenue should grow in the double-digit range in the current July-September quarter.

Even if a bumpy economy continues, commitments made during the recent strong upfront should help drive dollars in the coming October-December quarter, making the rest of the year look more than promising.

In the recently completed April-June period, domestic ad dollars were up 12% helped by strong scatter pricing, CEO Philippe Dauman said.

Dauman said an investment in new original programming should help, as new shows are paired with hit "Jersey Shore," which returned Thursday night. MTV is scheduled to debut six new shows this quarter.

In the upfront, Dauman said the company was "very satisfied" with results, which seem to be in line with most top-tier cable networks. On average, pricing was in the double digits across its slew of networks, with volume up in the mid-teens.

With affiliate fees, Viacom said it is landing increased dollars by giving digital-distribution rights to a variety of partners, including Hulu and Netflix.

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In the April-June quarter, global revenues from media networks grew 16% to $2.39 billion. Operating income in that unit was up 27% to more than $1 billion.

Going forward, as the 2012 campaigns heat up, Viacom should benefit from interest in Comedy Central's late-night "Daily Show" and "Colbert Report." VH1 is also making headway with new shows such as "Mob Wives," which has been given the green light for a second season.

By one measure, over the period from September 2010 to the end of July, MTV's prime-time ratings in the adult 18-to-34 demo are up 39%.

In adults 18-49, Comedy Central has risen 4%, while VH1, with its much-chronicled struggles to find new hits, has fallen 15%.

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