TV

Discovery posts financial results for Q2

Discovery Communications' financial results for the second quarter of 2009 boast a sizable increase in net income for shareholders, at US $183 million compared to US$43 million for Q2 2008.
August 5, 2009

Discovery Communications’ financial results for the second quarter of 2009 boast a sizable increase in net income for shareholders, at US $183 million compared to US$43 million for Q2 2008.

The company says the increase primarily reflects a $45 million growth in Adjusted Adjusted Operating Income Before Depreciation and Amortization (OIBDA) and a net tax gain of $46 million as a result of the sale of 50% of the Discovery Kids channel.

‘Discovery’s second quarter results demonstrate our ability to execute on our business plan and strategic initiatives in a difficult operating environment,’ said Discovery president/CEO David Zaslav in a statement. ‘We delivered 12% ratings growth across our domestic networks and increased international subscribers 11% while offsetting our continued investment in programming with reductions to the selling, general and administrative cost base. The result was demonstrable operating leverage, with Adjusted OIBDA growth of 13% despite the challenging economy and adverse foreign currency fluctuations.’

Revenues for the quarter, at US$881 million, were down slightly from same time last year, as 2% growth at the company’s U.S. Networks division was offset by a 5% decline at International Networks, resulting from foreign currency fluctuations. Within those calculations, ad revenues for the U.S. Networks division reported a 1% increase, while ad revenue for International Networks declined 13%.

About The Author
Barry Walsh is editor and content director for realscreen, and has served as editor of the publication since 2009. With a career in entertainment media that spans two decades, prior to realscreen, he held the associate editor post for now defunct sister publication Boards, which focused on the advertising and commercial production industries. Before Boards, he served as editor of Canadian Music Network, a weekly music industry trade, and as music editor for HMV.com. As content director, he also oversees the development of content for the brand's market-leading events, the Realscreen Summit and Realscreen West, as well as new content initiatives.

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