Discovery’s Q3 earnings tumble 25%

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Revenues were up slightly for factual broadcaster Discovery Communications, but an increase in operating costs dragged net income down a worrying 25%.

Discovery, which owns the Discovery Channel, Animal Planet and TLC, reported net income of $95m in the quarter compared with $134m in the same quarter a year ago. Revenues were up just 1% to $854m, although affected by foreign currency fluctuations.

International revenues fell 2% to $293m. Stripping out the foreign exchange fluctuations would have added 6% to revenues.

One strong indicator of better news, however, was that ad-income grew by 5% to $522m.

Discovery Communications was formed last year as Discovery Holding Co. and Advance/Newhouse Programming Partnership combined their stakes in the cable channels, creating a new company. The lineup includes Discovery Channel, TLC and Animal Planet.


Source: RapidTVNews