Major Media Cos. Forecast Lower Ad Revs

Big TV/film-media companies will continue to lower their revenue exposure to advertising in the coming years.

According to MoffettNathanson Research, eight top companies -- CBS, Walt Disney, Discovery Communications, 21st Century Fox, Time Warner, Viacom, AMC Networks and Scripps Networks Interactive -- are expected to collectively see just a 1% increase in revenues in 2015 to $40.1 billion, down from 3% last year -- when it was $39.5 billion.

There was a 6% gain in 2013 ($38.5 billion); 1% in 2012 ($36.3 billion); and 5% in 2011 (35.8 billion) in advertising revenues.

An increasing share of revenues are affiliate fees, which will grow 9% in 2015 to $46.3 billion. There was an 11% gain in 2014 over the year before; 10% additions each in 2012 and 2013; and 9% in 2011.

Still commanding the biggest share of revenues is the “other” category -- which represents a 43% share, and is estimated to rise 5% in 2015 to $64.5 billion, just about the same share in 2014 and 2013.

About 56% of “other” contributions come from revenues of film and TV studio-produced content, which is expected to grow 3.2% to $35.5 billion this year from a $34.4 billion a year ago, when it added on 6.3% from 2013.



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