We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Discovery (DISCA) Q4 Earnings Beat, Revenue Lag Estimates
Read MoreHide Full Article
Silver Spring, MD-based Discovery Communications, Inc. reported mixed results for the fourth quarter of 2016. The company’s earnings (on an adjusted basis) of 56 cents per share beat the Zacks Consensus Estimate of 51 cents. Earnings also improved 47.37% from the year-ago figure.
Discovery’s fourth-quarter revenues of $1,672 million improved approximately 2% on a year-over-year basis despite the adverse impact of foreign currency movements. Revenues, however, narrowly missed the Zacks Consensus estimate of $1,673.8 million.
The revenue improvement witnessed in the U.S. Networks and International Networks units was somewhat mitigated by the disappointing performance of the Education and Other division.Quarterly adjusted operating income before depreciation and amortization (OIBDA) increased 1% year over year.
Quarterly Performance
Revenues in the US Networks division climbed 3% to $812 million. Segmental growth was driven by a 6% rise in distribution revenues to $375 million. Advertising revenues climbed 1% to $421 million while revenues from other sources increased 14% to $16 million. Moreover, adjusted OIBDA was up 9% year over year for the segment. Adjusted OIBDA margin was 55% in the reported quarter as against 52% a year ago.
In addition, international networks revenues climbed marginally to $819 million. While distribution revenues in the segment climbed 3% to $418 million, advertising revenues declined 2% to $379 million. Revenues from other sources also decreased 19% to $22 million. Moreover, adjusted OIBDA decreased 12% on a year-over-year basis. Adjusted OIBDA margin was 28% compared with 32% in the prior-year quarter.
Additionally, revenues from the Education and Other division decreased 5% to $41 million.
This Zacks Rank #4 (Sell) company exited 2016 with cash and cash equivalents of $300 million and $7,841 million of debt outstanding (non-current portion) compared with $390 million and $7,616 million, respectively, at the end of 2015. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
The company bought back shares worth $1,374 million in the reported quarter.
Discovery Communications, Inc. Price, Consensus and EPS Surprise
Consumers interested in the broader Consumer-Discretionary space will now keenly await fourth-quarter earnings reports from the likes of that include Scripps Networks Interactive, Inc. , IMAX Corp. (IMAX - Free Report) and Norwegian Cruise Line Holdings Ltd. (NCLH - Free Report) . While Scripps Networks is scheduled to release results on Feb 21, Norwegian Cruise Line Holdings and IMAX will unveil results on Feb 22 and Feb 23, respectively.
The Best Place to Start Your Stock Search
Today, you are invited to download the full list of 220 Zacks Rank #1 "Strong Buy" stocks – absolutely free of charge. Since 1988, Zacks Rank #1 stocks have nearly tripled the market, with average gains of +26% per year. Plus, you can access the list of portfolio-killing Zacks Rank #5 "Strong Sells" and other private research.See these stocks free >>
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Discovery (DISCA) Q4 Earnings Beat, Revenue Lag Estimates
Silver Spring, MD-based Discovery Communications, Inc. reported mixed results for the fourth quarter of 2016. The company’s earnings (on an adjusted basis) of 56 cents per share beat the Zacks Consensus Estimate of 51 cents. Earnings also improved 47.37% from the year-ago figure.
Discovery’s fourth-quarter revenues of $1,672 million improved approximately 2% on a year-over-year basis despite the adverse impact of foreign currency movements. Revenues, however, narrowly missed the Zacks Consensus estimate of $1,673.8 million.
The revenue improvement witnessed in the U.S. Networks and International Networks units was somewhat mitigated by the disappointing performance of the Education and Other division.Quarterly adjusted operating income before depreciation and amortization (OIBDA) increased 1% year over year.
Quarterly Performance
Revenues in the US Networks division climbed 3% to $812 million. Segmental growth was driven by a 6% rise in distribution revenues to $375 million. Advertising revenues climbed 1% to $421 million while revenues from other sources increased 14% to $16 million. Moreover, adjusted OIBDA was up 9% year over year for the segment. Adjusted OIBDA margin was 55% in the reported quarter as against 52% a year ago.
In addition, international networks revenues climbed marginally to $819 million. While distribution revenues in the segment climbed 3% to $418 million, advertising revenues declined 2% to $379 million. Revenues from other sources also decreased 19% to $22 million. Moreover, adjusted OIBDA decreased 12% on a year-over-year basis. Adjusted OIBDA margin was 28% compared with 32% in the prior-year quarter.
Additionally, revenues from the Education and Other division decreased 5% to $41 million.
This Zacks Rank #4 (Sell) company exited 2016 with cash and cash equivalents of $300 million and $7,841 million of debt outstanding (non-current portion) compared with $390 million and $7,616 million, respectively, at the end of 2015. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
The company bought back shares worth $1,374 million in the reported quarter.
Discovery Communications, Inc. Price, Consensus and EPS Surprise
Discovery Communications, Inc. Price, Consensus and EPS Surprise | Discovery Communications, Inc. Quote
Other Important Releases
Consumers interested in the broader Consumer-Discretionary space will now keenly await fourth-quarter earnings reports from the likes of that include Scripps Networks Interactive, Inc. , IMAX Corp. (IMAX - Free Report) and Norwegian Cruise Line Holdings Ltd. (NCLH - Free Report) . While Scripps Networks is scheduled to release results on Feb 21, Norwegian Cruise Line Holdings and IMAX will unveil results on Feb 22 and Feb 23, respectively.
The Best Place to Start Your Stock Search
Today, you are invited to download the full list of 220 Zacks Rank #1 "Strong Buy" stocks – absolutely free of charge. Since 1988, Zacks Rank #1 stocks have nearly tripled the market, with average gains of +26% per year. Plus, you can access the list of portfolio-killing Zacks Rank #5 "Strong Sells" and other private research.See these stocks free >>