CBS Corp Posts Better than Expected Quarterly Earnings Boosted Partly by “Star Trek” Licensing
Slower advertising sales at CBS Corp could not dampen the quarterly earnings result of the American mass media corporation, as that was counter balanced by the licensing revenue from its new "Star Trek" series.
The owner of CES Television stations, CBS News, CBS Sports, publishing house Simon & Schuster and more posted a 27.4 percent increase in quarterly profits reported on Thursday, surpassing expectations.
Shares of the media company closed at $54.21 on the NY Stock Exchange but dropped 0.02 percent to $54.20 in extended trading on Thursday.
For the second quarter that ended on 30 June, the company's net income climbed to $423 million or 93 cents a share, topping average analysts' estimates of 86 cents a share. Last year the company reported $332 million or 67 cents per share in the same quarter.
Advertising revenue, which contributes to about half of CBS's total revenue slipped 2.6 percent to $1.55 billion. The company said, it was partly due to a year-ago surge which came from the broadcasting of the National Collegiate Athletic Association basketball finals.
The company's content licensing and distribution revenue, which accounts for about twenty nine percent of the total revenue also moved higher almost by sixteen percent to $943 million.