Nielsen Offers Steady Rev Gains, Total Audience Measurement Helps

Nielsen Holdings continued to show steady revenue growth in its first-quarter earnings period -- in large part gaining from its media measurement unit.

The media research company witnessed revenues 2.6% higher to $1.5 billion.

Nielsen Watch unit, its TV/media measurement business, posted a better-than-expected 10.8% climb in revenues to $769 million. Taking out the company’s recent Gracenote acquisition, revenues improved 5.9%.

Nielsen’s Audience Measurement of Video and Text revenues increased 6.1%, primarily due to client business around its Total Audience Measurement system.

Revenues for Nielsen’s Buy unit, its marketing services business, dropped 4.5% to $757 million because of softness in the U.S. -- down 7.3%. Emerging markets revenues here improved 9.9%.

Todd Juenger, media analyst for Bernstein Research, says the revenue decline in Buy was greater than expected. He asks: “Is the Buy decline transitional, or permanent?

Net income dropped 29% to $71 million due primarily to higher restructuring charges.

Midday Tuesday trading of Nielsen Holdings stock was down 5% to $39.58.



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