Discovery Reports Solid U.S. Ad Gains In First Quarter Reflecting Scripps Acquisition

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Discovery Reports Solid U.S. Ad Gains In First Quarter Reflecting Scripps Deal

The company reported total revenue in the second quarter of just shy of $2.9 billion, which met estimates. Excluding a tax benefit, adjustedThe revenue figure inched up 1% compared with the previous year’s quarter. A 5% increase in U.S. networks revenues was partially offset by a 3% decrease in international networks revenues and a significant decrease in “other” revenues due to the sale of the education business.

U.S. Networks revenues for the quarter increased 5% to just shy of $1.9 billion million compared with the prior year. Advertising revenue rose 6% and distribution revenues increased 5%, with those gains partially offset by a $14 million decrease in other revenues. Discovery said the increase in ad revenues was primarily driven by increases in pricing and inventory as well as the continued monetization of digital content offerings.

Discovery closed its $14.6 billion acquisition of Scripps in March 2018. The deal gave the company control of HGTV, Food Network and several others. As of June, Discovery’s total portfolio of networks attracted more female viewers aged 25-54 than that of any other company.

 

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