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Scripps Networks (SNI) 3Q Earnings Jump 20.1 Pct, Beat Estimates

 November 01, 2012 07:58 AM

(By Balaseshan) Scripps Networks Interactive Inc. (NYSE: SNI) reported a 20.1% jump in quarterly earnings on strong advertising and affiliate fee revenues. Earnings and revenue exceeded Street's expectations.

Earnings from continuing operations for the third quarter were $156.81 million or $0.78 per share, up from $129.99 million or $0.65 per share last year.

Operating revenue increased 12.4% to $566.19 million, on strong advertising and affiliate fee revenues.

Analysts, on average, polled by Thomson Reuters had expected a profit of $0.74 per share on revenue of $555.71 million for the third quarter.

Advertising revenue rose 10% to $377 million, while affiliate fee revenue grew 18% to $175 million. Other revenue jumped 28.9% to $8.98 million.

Expenses rose 11% to $315 million, driven primarily by higher employee costs and investments in planned domestic and international growth initiatives. Also contributing to the increase was higher marketing and promotional expenses to drive viewership at all of the company's lifestyle television networks.

Total segment profit increased 14.9% to $251.07 million. Operating income grew 13.4% to $222.07 million.

SNI closed Wednesday's regular session down 0.70% at $60.72. The stock has been trading between $37.02 and $66.33 for the past 52 weeks.


Rich
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