Sizing up pay TV earnings for the third quarter of 2014

Third quarter earnings cable industryHow did pay-TV distributors including cable MSOs, IPTV operators and satellite providers, as well as relevant programmers and technology companies perform in 2014's third quarter? In this earnings summary, we list results for the biggest cable industry players.

To compare results in this industry segment, check out our earnings summaries from the second quarter and the first quarter of 2014. Also, round out your telecom earnings knowledge with more summaries for the current quarter, updated at FierceTelecom and FierceWireless.

Oct. 15

Netflix (NASDAQ: NFLX)
A hiccup in new subscribers didn't stop Netflix from bringing in revenues of $1.41 billion in the third quarter of 2014, keeping it in line with forecasts. However, the subscriber news combined with HBO's landmark announcement earlier that it would offer a standalone OTT service sent the subscription video on demand (SVOD) provider's stocks downward 25 percent Wednesday ahead of its earnings report.
- read our coverage
- visit Netflix's investor relations page

Oct. 16

YouTube is riding high as advertisers continue to buy into its online video offering--particularly its premium Google Preferred ad category. The primarily short-form online video service's partner revenues are up 60 percent from 2012 and 2013, company executives revealed in an earnings conference call on Thursday. And as more viewers access the service through their television screens, Google is looking to invest in content that will keep viewers tuned to the big screen.
- read our coverage
- and the earnings release

Oct. 20

Apple's net income in the period clocked in at $8.5 billion, up from the $7.51 billion the company reported in the year-ago. Apple's revenues in the quarter reached $42.1 billion, again up from the $37.5 billion the company reported in the year-ago period and above the $40 billion that analysts had expected. Importantly, in the coming quarter Apple said it expects revenues of between $63.5 billion and $66.5 billion--at the high end of the $63.5 billion that analysts had expected. Still, despite beating analyst expectations on iPhone sales, its iPad division is struggling.
- read our coverage
- see the earnings release
- visit Apple's investor relations page

Oct. 22

Verizon (NYSE: VZ)
Verizon Communications plans to increase the price of its FiOS Video service in the fourth quarter to offset the hike in content licensing fees that will go into effect Jan. 1, said a top executive today. The carrier and IPTV provider added 162,000 net new FiOS Internet connections and 114,000 net new FiOS Video customers.  Verizon had a total of 6.5 million FiOS Internet and 5.5 million FiOS Video connections at the end of third quarter.
- see our coverage
- and the earnings release
- visit Verizon's investor relations page

Oct. 23

The Tier 1 provider enjoyed a respectable quarter on the wireline side, thanks to its U-verse products. U-verse TV subscribers spiked at 216,000 in Q2, and U-verse high-speed Internet customers increased by 601,000. With these respective subscriber bases passing 6 million and 12 million customers, U-verse revenue for the quarter was up 23.8 percent.
- read our coverage
- see the earnings release
- visit AT&T's investor relations page

The attraction of Prime Instant Video SVOD drove subscriber retention for its Prime service, but Amazon's revenue fell short of analyst projections, reaching $20.58 billion--a 20 percent year-over-year climb, but below the $20.84 billion expected.And it's not expected to get better in the fourth quarter, with Amazon projecting a loss of $570 million and revenues between $27.3 billion and $30.3 billion.
- read our coverage
- here's the earnings release
- visit Amazon's investor relations page

Comcast reported net income of $2.6 billion on revenue of $16.8 billion, up 4 percent year over year. Revenue from cable operations spiked 5.2 percent to $11.04 billion, with TV subscribers decreasing 81,000 for the quarter, a 36 percent deceleration of losses from the 127,000 reported in Q3 2013. Video subscribers for Comcast now total 22.4 million. The operator also added 315,000 high-speed Internet users in the third quarter vs. 297,000 in the year-ago period. Comcast now has 21.6 million broadband customers.
- read our coverage
- and the press release
- visit Comcast's investor relations page

Oct. 29

Technology company Arris posted 32 percent growth in year-over-year revenue to $1.4 billion in the third quarter, resulting in a profit of $54.6 million and earnings per share of 81 cents that beat analysts' forecast of 72 cents.
- see our coverage
- and the earnings release
- visit Arris' investor relations page

Charter Communications (NASDAQ: CHTR)
Charter reported 8 percent growth in third-quarter revenue to $2.3 billion, driven by narrowing video subscriber losses and burgeoning broadband customer gains. The Stamford, Conn.-based cable company, which will conduct its Q3 earnings call with investors Friday at 10 a.m. EST, reported a net loss of about 22,000 video subscribers for the quarter. That was just under the 27,000 video services customers it lost in Q3 2013.
- read our coverage
- visit Charter's investor relations page

Oct. 30

Time Warner Cable (NYSE: TWC)
TWC reported 3.6 percent year-over-year third-quarter revenue growth to $5.71 billion, driven partly by 21.9 percent growth in business services. However, the cable company missed analysts' consensus revenue forecasts of $5.74 billion.
- see our coverage
- and the earnings release (PDF)
- visit Time Warner Cable's investor relations page

For the third quarter, WWE reported a net loss of $5.9 million (8 cents per share). The company brought in $120.2 million in revenue, a 6 percent rise from the year-ago period. It online video unit WWE Network added just 31,000 subscribers in the third quarter, a 4 percent increase sequentially. It has a total of 731,000 subscribers worldwide--703,000 in the United States. While subscriptions to the over-the-top service peaked through Sept. 30 at 971,000, approximately 255,000 subscribers dropped the service once their six-month commitment ended.
- see our coverage
- and the earnings release (PDF)
- visit WWE's investor page

Oct. 31

Cable One
Graham Holdings reported another 14,076 video subscribers were lost in the third quarter for its MSO subsidiary Cable One. Phoenix, Ariz.-based Cable One now has 476,233 remaining TV customers, a 15.1 percent year-over-year decline, with most of the losses coming after the company decided not to renew its 15-channel bundle with Viacom in April.
- see our coverage
- and the earnings announcement
- more Cable One news

Nov. 4

Discovery Communications (NASDAQ: DISCA)
Discovery missed analysts' revenue forecast in the third quarter, reporting a 14 percent year-over-year increase to $1.57 million. Analysts had been expecting a $1.59 million figure and attribute the shortfall to the slow ad market.
- visit Discovery's investor relations page

Dish Network (NASDAQ: DISH)
The satellite operator reported a loss of 12,000 pay-TV subscribers and a 4.8 percent uptick in revenue to $3.68 billion in the third quarter, missing Wall Street forecasts for both crucial metrics. Dish finished the period ending Sept. 30 with 14,041 video subs, which is roughly flat with where it ended up after Q3 last year.
- see our coverage
- and the earnings announcement
- visit Dish Network's investor page

Liberty Media (NASDAQ: LMCA)
- visit Liberty Media's investor relations page

Nov. 5

Time Warner Inc. (NYSE: TWX)
Shrugging off a sluggish ad economy with growing subscription fees for their cable networks, Time Warner Inc. posted better-than-expected third-quarter earnings results Tuesday. After resisting Fox's $80 billion takeover bid over the summer, Time Warner reported a 3.3 percent rise in Q3 revenue to $6.24 billion, beating consensus Wall Street forecasts of $6.16 billion.
- see our coverage
- visit Time Warner's investor relations page

- visit CBS' investor relations page

Centurylink (NYSE: CTL)
Driven by an uptick in broadband Internet and Prism IPTV customers, consumer segment revenue strategic revenues rose 6.4 percent year-over-year to $712 million. In tandem with Prism IPTV growth, the service provider added nearly 8,400 high-speed Internet customers in Q3 2014, ending the quarter with about 6.06 million customers in service.
- see FierceTelecom's coverage
- and the earnings release
- visit CenturyLink' investor page

Nov. 6

Cablevision (NYSE: CVC)
Continuing a third-quarter trend for pay-TV operators, Cablevision reported significant losses of 56,000 TV subscribers but saw revenue increase 3.7 percent to $1.63 billion, driven by higher customer fees. It was the worst quarterly sub loss ever for Cablevision, even surpassing the Hurricane Sandy-ravaged fourth quarter of 2012. The MSO reported a profit of $71.5 million for the third quarter, down from $294.6 million for the year-ago period.
- see our coverage
- visit Cablevision's investor relations page

Signaling a concerning trend for pay-TV operators in the North American market, DirecTV reported subscriber losses of 28,000 for the third quarter. The satellite operator saw overall revenue grow 6 percent year-over-year to $8.37 billion, driven by its now-robust Latin American operations, as well increased fees for U.S. customers, who saw their monthly satellite bill grow, on average, by 4.8 percent to $107.27.
- see our coverage
- and the earnings release
- visit DirecTV's investor relations page

The Walt Disney Company (NYSE: DIS)
Despite a soft ad market, cable networks generated a 5 percent spike in full-year revenue for Disney to $15.1 million. ESPN led the way, translating an industry-leading $6-plus average charge per subscriber into more than $8 billion in affiliate licensing fees.
- see our coverage
- and the earnings release (PDF)
- visit Disney's investor relations page

- more AMC's investor relations page

Nov. 7

Suddenlink Communications
Suddenlink added 2,200 pay-TV subscribers in the third quarter, despite its removal in September of 22 Viacom channels. The narrow gain in video subscribers was juxtaposed against a loss of 3,200 pay-TV subs in Q3 2013, at a time when the nation's seventh biggest MSO still had Comedy Central, MTV, BET and the rest of the Viacom outlets.
- see our coverage
- and the earnings release
- visit Suddenlink's investor page

Nov. 12

Cisco reported a 1 percent rise in fiscal first-quarter revenue to $12.2 billion, but revenue from carriers dropped 10 percent.
- visit Cisco's investor relations page

Nov. 13
Viacom (NYSE: VIA)
Despite impasses that have kept its channels off some smaller U.S. cable services, Viacom reported a 22 percent rise in global affiliate fees for its fiscal fourth quarter, mainly attributable to revenue from SVOD services. Overall revenue rose 9 percent to $3.99 billion, and earnings per share of $1.71 exceeded the downgraded expectations of $1.68 from analysts.
- see our coverage
- visit Viacom's investor relations page

Nov. 25

Driven by burgeoning partnerships with U.S. cable operators, TiVo added 328,000 news subscribers in its fiscal third quarter, upping its customer base to 5.1 million. The set-top maker's Q3 customer growth was up 32 percent over Q3 2013, when it added 274,000 customers. The company added 624,000 subs through the first two quarters of 2014.
- see FierceCable's coverage
- and FierceOnlineVideo's coverage
- visit TiVo's investor relations page

Sizing up pay TV earnings for the third quarter of 2014

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