Shares are down about 1.5% in initial post-market trading after the company reported mixed results for the first three months of the year. Net income at $468M was up 1.1% vs the period last year on revenues of $3.86B, -4.6%. The top line fell short of the $3.92B that analysts expected. But earnings at 78 cents a share topped forecasts for 75 cents. CBS says that last year’s results included $280M from its Super Bowl broadcast, and benefited from two additional NCAA Division I Men’s Basketball Championship games. Their absence cut 11 percentage points from revenues at the main Entertainment unit, where revenues fell 9.3% to $2.3B with operating income -4.6% to $420M. Overseas sales helped to boost content licensing and distribution revenues 6%.
Cable networks, which include Showtime, more than held their own helped by licensing deals for original series and higher rates. Revenues here increased 12.3% to $537M with operating income +11.9% to $254M. But bestselling book titles Rush Revere And The First Patriots and The Women Of Duck Commander weren’t enough to lift revenues at the Simon & Schuster publishing unit. Sales fell 10.5% to $153M with operating income up $1M to $11M. (more…)