CBS Streams Net Record Q1 Results1 May, 2012 By: Erik Gruenwedel
CBS Corp. again mined significant incremental revenue from third-party streaming services, which contributed to the media company posting first-quarter (ended March 31) net income of $363 million, up nearly 80% from net income of $202 million during the same period last year.
Indeed, revenue from content licensing and distribution (domestic/foreign TV syndication) topped $1 billion from $734 million during the same period last year. License agreements include Web-based subscription video-on-demand services Netflix, Hulu Plus, Amazon Prime and LoveFilm Instant.
At CBS Entertainment, which includes CBS Films, CBS Television Network, CBS Television Studios, CBS Studios International, CBS Television Distribution and CBS Interactive, operating income was even higher at $370 million — up nearly 61% from operating income of $230 million last year.
Entertainment revenue, which includes box office ticket sales from horror-thriller The Woman in Black, topped $2.3 billion, up 21% from revenue of more than $1.9 billion last year. The Woman in Black, starring “Harry Potter’s” Daniel Radcliffe, is CBS Films’ top box office title to date with more than $125 million generated at the global box office.
Sony Pictures Home Entertainment will release the film at retail May 22.
Content licensing to Internet-based streaming services also contributed to a 15% increase in CBS cable revenue to $452 million from $393 million last year. Cable properties include Showtime Networks, CBS Sports Network and Smithsonian Networks.
Total CBS Corp. revenue in the quarter topped $3.9 billion, up 12% from revenue of $3.5 billion last year.
“Our ability to capitalize on the fundamental shifts in our industry has led to the growth of significant new revenue streams and has also allowed us to increase our share of non-advertising revenue,” CEO Les Moonves said in a statement.