Discovery Communications earned single-digit percentage gains in revenue and profitability for its first-quarter reporting period -- amid
more modest hikes in U.S. network advertising revenue.Discovery's revenues increased 2% to $1.6 billion, with net income with up 5% to $263 million.
U.S. networks’ revenues were 8% higher to $807 million. Discovery's U.S. networks had 8% distribution growth to $390 million and 7%
advertising growth to $402 million.
Advertising revenues grew as a result of higher pricing and inventory management, partially offset by lower ratings. Advertising results were in line with
analysts expectations.While international networks had a 4% gain in revenue to $411 million, advertising dipped 9% to $285 million. Much of these
lower results came from weak SBS Radio business and unfavorable foreign exchange currency rates. Excluding this, international advertising grew 4%.Bernstein Research notes that overall prime-time Nielsen C3 ratings -- the average commercial ratings plus three days of time-shifted viewing -- was down 7% in 18-49 ratings for all its
networks and 4% lower in overall viewer ratings.Discovery Communications stock was 5.3% higher to $28.00 in mid-Thursday trading.