Versant Media said third quarter profit fell as its dependence on traditional media properties forced it to navigate with drops in cash from both advertising and distribution even as the company acquires new direct-to-consumer operations and launches digital businesses tied to its linear properties. The owner of MS NOW, CNBC and USA said net income in the period fell more than 40% to $47 million, a decrease of $33 million from $80 million in the year-earlier period. Versant cited lower revenue and public company costs and interest expense following its separation from Comcast.
Revenue fell 4.2% to nearly $1.6 billion, compared with $1.67 billion in the year-earlier quarter Versant said advertising revenue dipped 5.3% during the period while fees from distribution were off 5.8%. Revenue from its non-TV operations, however, rose 9.6%. Versant cited higher revenue at Fandango, driven by movie ticket purchases and sales from its new cinema operating platform.
Versant CEO Mark Lazarus said the company would continue to make inroads in new businesses that diversified its revenue mix.
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