As its considers a possible merger with CBS, Viacom continues to post lower domestic advertising and affiliate revenues.
Although its MTV network continues to witness ratings gains, U.S. advertising for all Viacom networks was down 5% to $937 million in its fiscal first-quarter period. Viacom ran lower advertising loads during its programming.
MTV witnessed strong viewership from two shows in particular: the new “Floribama Shore” and “Teen Mom.”
Company-wide advertising was up 1% for its media networks to $1.31 billion -- helped in large part by international advertising, which was 22% higher to $337 million.
Unlike other major cable network groups, Viacom has witnessed sinking U.S affiliate revenue -- which fell 8% to $907 million. It had lower numbers of subscribers at its networks, and sinking revenues from subscription video-on-demand platforms. Due to new carriage deals, analysts expect improvement in upcoming periods.
Total international revenues grew 18% to $631 million -- with international affiliate revenues up 18% to $187 million.
Viacom’s filmed entertainment revenues, which includes Paramount Pictures, declined 28% to $544 million in the quarter. Theatrical revenues were 48% lower to $100 million, with licensing revenues of 13% to $213 million. Home entertainment revenues were down 25% to $183 million, due to the comparison against the release of “Star Trek Beyond” in the prior-year quarter.
Overall, Viacom revenue was down 8% to $3.1 billion, with net income up 35% (or $139 million) to $535 million, mostly due to the enactment of the new federal tax law.
Viacom’s mid-day Thursday stock price was up 6.4% to $32.46.
Viacom and CBS boards have recent said they were independently looking at a possible re-merger.