AMC Q3 Profits Down But Beat Estimates After Dish Dispute
AMC Networks revenues were up in the third quarter, but profits were down in large part because of a dispute with Dish Networks that kept the satellite provider from airing its stations. AMC still handily beat Wall Street estimates.
Net revenues increased 17 percent to $332 million, operating income decreased 8 percent to $87 million, and adjusted operating cash flow decreased 10.9 percent to $110 million.
Third quarter net income from continuing operations was $37 million, 51 cents per diluted share, down from $40 million, or 56 cents per diluted share, for the previous third quarter. But the earnings beat analysts forecasts of 37 cents per share.
"We've enjoyed a long relationship with Dish Network and are delighted to partner with them again in bringing our channels and programming to their subscribers," said AMC CEO Josh Sapan in a statement. "While the litigation and associated carriage dispute impacted our third quarter financials, that issue is behind us and we are fully focused on continuing our strategy of investing in quality original programming."
He noted that "The Walking Dead" had the highest-rated debut of the fall in the 18-49 demographic.
Last month -- in the current, fourth quarter -- Dish Networks agreed to pay Cablevision and AMC Networks $700 million in a settlement involving the AMC subsidiary Voom. The agreement restored AMC Networks for Dish's customers.