AMC Networks delivered higher revenues for the third quarter, posting a 0.2% slide in its national networks segment and gains for its streaming services as the cable-focused company looks to ‘strategically transform’ and expand into other platforms.
The company released its quarterly earnings Oct. 31, reporting a 3.1% climb in revenue (US$22 million) to $719 million, up from $697 million in Q3 2018.
AMC Networks’ net revenues saw a 3.5% bump so far this fiscal year, reaching $2.28 billion.
Revenue for the company’s national networks segment, which includes AMC, WE tv, BBC America, IFC, SundanceTV and television prodco AMC Studios, dipped slightly to $559 million from $560 million in Q3 2018.
The segment saw a 1.1% increase in distribution revenues to $365 million, which AMC Networks attributed to a bump in content licensing revenues, partially offset by a decrease in subscription revenues.
Advertising revenues dipped 2.6% to $194 million for the company’s national networks in Q3, largely due to “lower delivery” and the “timing and mix of original programming partially offset by higher pricing,” AMC Networks stated in a release.
For the nine month period ending Sept. 30, the segment saw a 2.2% decrease in revenue to $1.78 billion.
International and “other” revenues for Q3 increased 20.5% to $183 million. So far this fiscal year, the segment’s revenues jumped 30.2% to $533 million.
The segment consists of AMC Networks’ international programming businesses; global direct-to-consumer; subscription streaming services such as Acorn TV, Shudder, Sundance Now and UMC; Levity Entertainment Group, the company’s production services and comedy venues business; and IFC Films, AMC Networks’ film distribution business.
Net income for AMC Networks so far this fiscal year landed at $389 million ($6.80 per diluted share), compared with $374 million ($6.31 per diluted share) in the prior year period.
Adjusted earnings per share (EPS) for this fiscal year was $433 million ($7.57 per diluted share), compared with $401 million ($6.76 per diluted share) in the prior year period.
Third quarter net income jumped to $117 million ($2.07 per diluted share), compared with $111 million ($1.93 per diluted share) in the prior year period. Third quarter Adjusted EPS was $132 million ($2.33 per diluted share), compared with $124 million ($2.15 per diluted share) in the prior year period.
“AMC Networks is well on its way to strategically transforming itself from a ‘cable channels company’ into a premier content company with a suite of focused and targeted video entertainment products that are delivered to viewers on an expanding array of platforms,” Josh Sapan, president and CEO said in a statement. “The underlying strategic priorities fueling our transformation have been and continue to be creating and owning great content and valuable IP, expanding our targeted direct-to-consumer services, maximizing the long-term value of our traditional linear business and diversifying our revenue by developing new avenues of content monetization.”