• by Wayne Friedman , August 3, 2017

AMC Networks posted higher-than-expected advertising gains of 2.6% for its second-quarter earning period. Also, its Thursday stock price was up. But problems still exist.

“The picture remains muddy going forward, due to signs of weakening demand across the industry and less original hours at AMC Networks," says Todd Juenger, senior media analyst at Bernstein Research.

AMC U.S. network advertising gained 2% to $245 million, with U.S. distribution revenue rising 7.8%.

In addition, Juenger is worried the latest-quarter C3 ratings -- the average minute commercial ratings plus three days of time-shifted viewing -- were down 6% among all viewers, and 9% lower among the key 18-49 Nielsen demographic.

Juenger says original TV episodes were down for the second quarter. But they are expected to rise in the coming periods.

AMC Networks revenues grew 4% to $711 million, with net income up 33% to $103 million. Mid-Thursday trading of AMC Networks stock was 6% higher to $66.40.

AMC Networks had been the subject of possible acquisitions by bigger TV companies -- heightened recently by the news of Discovery Communications announced plan to buy Scripps Networks Interactive for $14.6 billion.