Viacom profit rises 16% in spite of the drop in revenue | Key4Communications |

Viacom has reported a 16% increase in profits for the first quarter of its fiscal year, thanks to a decline in expenses, that have offset the lower revenues. Net earnings rose to $547 million or $1.20 per share, while turnover for the quarter dropped 4% to $3.20 billion.

In Media Networks, which includes channels MTV, Nickelodeon and Comedy Central, revenues increased 6% from last year to $2.54 billion, driven by increases in affiliate fees and advertising revenues. The company is particularly satisfied with the results of Nickelodeon and the success of shows such as Paw Patrol and Teenage Mutant Ninja Turtles.

Higher revenues at Media Networks were more than offset by declines in the Filmed Entertainment segment, that recorded a fall of 30% in sales due to fewer titles released. Also, affiliate revenues for the quarter grew 10%, primarily due to rate increases. Domestic advertising revenues increased 3% due to favorable ratings trends. Worldwide advertising revenues rose 4% to $1.33 billion in the quarter.