Despite big gains in advertising revenues, AMC Networks reported lower profits.
Net income was $77 million, or $1.05 per share, down from $83 million, or $1.14 per share. The company said the decrease was the result of foreign currency transaction losses that offset a 12% increase in operating income.
The earnings per share were lower than Wall Street was expecting. Revenue was above forecasts.
Revenues rose 13.9% to $685 million.
“AMC Networks delivered strong financial and operating results in the second quarter with double-digit growth in revenues, operating income and [adjusted operating cash flow] driven by increases in both advertising and distribution revenues at our National Networks. Our acclaimed and popular shows including The Walking Dead, Better Call Saul and Orphan Black, are being watched across multiple platforms and create network and programming brands that are highly sought after by advertisers, distributors and consumers,” said CEO Josh Sapan. “We remain confident that our approach is the right one to succeed in a highly competitive and consolidating entertainment marketplace, and we remain focused and committed to continuing to create and deliver value for our shareholders."
Domestic advertising revenues jumped 28.9% to $239 million. The company said the increase was the result of timing of original programming on the AMC network. Distribution revenues were up 10% to $333 million.