HGTV, Travel, Food Network Drive Scripps Networks' 4Q Profit
Scripps Networks Interactive (NYSE:SNI) revealed on Thursday a stronger-than-expected 38% jump in fourth-quarter profit, driven primarily by its lifestyle TV channels.
The Cincinnati-based company posted net income of $130.6 million, or 77 cents a share, compared with $94.4 million, or 57 cents a share, in the same quarter last year, ahead of average analyst estimates polled by Thomson Reuters of 69 cents.
Revenue for the lifestyle media and interactive services company, operating national television networks such as Home and Garden, Food Network and the Travel Channel, was $573 million, up 33% from $558.4 million a year ago, beating the Street’s view of $558.4 million.
Earnings for the three months ended Dec. 31 reflect double-digit growth in advertising revenue of $358 million, as well as a 61% increase in affiliate fee revenue, driven by strong performance from the company’s lifestyle channels.
“The power of our lifestyle television networks and related content businesses is evident in the company’s superior operating results,” said Scripps CEO Kenneth W. Lowe.
Climbing demand for the Scripps’ Shopzilla website also contributed to the results, with revenues up 38% to $67.8 million, driven by its European markets.