3 Media Stocks in Focus: Time Warner’s Soft Quarter, Fox Beats for Revenue, Dish Shutters Blockbuster
Time Warner Inc. (NYSE:TWX): Time Warner has reported earnings per share of $1.01, beating the mark by 12 cents, as revenues of $6.86 billion missed, by $0.07 billion. Flat revenue with gains at the Networks division were offset by declines at the Film and TV Entertainment and Publishing units, as Film and TV was up against a hard comparable. Although SG&A expenses remained stable for the period, restructuring and severance costs rose.
21st Century Fox (NYSE:FOXA): EPS of 33 cents missed estimates by 2 cents, though revenue of $7.06 billion beat by $0.26 billion, half the increase of which reflects growth in the Cable Network Programming, Filmed Entertainment, and Television segments, the company said. The growth in revenues and OIBDA came even as the company made significant investments in the channels business, according to CEO Rupert Murdoch; These investments include the launch of FXX and Fox Sports 1. Revenue in Channels grew 12 percent, Television grew 30 percent, and Filmed Entertainment’s revenues grew 9 percent.
Dish Network Corp. (NASDAQ:DISH): Dish has formally announced that it will shutter all 300 remaining Blockbuster stores that it has under its control after the cable provider bought the rental chain out of bankruptcy in 2011. The coffin’s not buried yet, though, as the Blockbuster brand will continue through Video On Demand and streaming services, though the DVD-by-mail business will be shut down for good.