TV Revenues Boost Viacom ProfitBy Michelle
October 25, 2003 - 3:30 PM
Television revenue that rose 19 percent boosted Viacom, the media conglomerate that owns UPN, to third quarter net profits.
Viacom announced on Thursday that strong advertising sales on CBS and its cable channels, including MTV and Comedy Central, had overshadowed weaker performance by radio and billboard advertising and the Blockbuster chain of video stores, according to Yahoo! News.
Reuters Research noted that the company's announcement of a net profit at 40 cents per share exceeded Wall Street analysts' prediction of profit at 38 cents per share, allowing Viacom to keep its 2004 growth prospects on par with projections for this year.
Viacom president Mel Karmazin said that because CBS will broadcast the Super Bowl next year, usually one of the highest-rated sports events of the year, Viacom expects to see a surge in related national advertising sales.
Karmazin also cited "positive momentum" from political advertising connected to the 2004 fall elections will bring in revenue, which Viacom expected to grow by 5 percent to 7 percent.