AMC Networks (Nasdaq: AMCX) saw its ad revenue jump 36 percent to $146 million in the third quarter thanks to hit shows like "Breaking Bad" and "The Walking Dead."
The company's net income also increased 59 percent to $58.1 million, up from $36.6 million in the same quarter the previous year. In addition, revenue increased 19.1 percent to $395 million.
However, AMC's operating costs also rose 11 percent to $272.9 million, which the network attributed to its increased focus on original programming. AMC Networks CEO Josh Sapan said the company is seeing a return on its investment in original programming, noting that shows like "Breaking Bad" and "The Walking Dead" are performing well on IFC, Sundance Channel and WEtv.
Last week, AMC inked a $1.04 billion deal with Liberty Global (Nasdaq: LBTYA) for Chellomedia, which owns stakes in networks in 138 countries that reach 390 million households. AMC said the deal could help it monetize content that it produces for U.S. networks such as AMC, IFC and Sundance Channel.
AMC executives said last week that they have strong ties to Liberty Global, but would not say whether the Chellomedia agreement includes terms for carriage of AMC-owned networks on Liberty Global's cable systems. The deal is expected to close in the first quarter of 2014.
For more:
- see this Reuters article
- see this Hollywood Reporter article
- see this Broadcasting & Cable article
Special Report: Cable in the third quarter 2013
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