Summary Box: Advertising declines slow as cable channels, studio helps Time Warner’s 4th qtr
By APWednesday, February 3, 2010
Summary Box: Cable, studio help Time Warner
ADVERTISING IMPROVING: Ad revenue at Time Warner Inc.’s magazines and cable channels overall decreased 8 percent in the fourth quarter, an improvement from the 10 percent decline in the third quarter. Cable channel ad revenues are seen rising in the first quarter through March, a good sign that the economy is recovering.
CABLE CHANNELS AND STUDIO STRONG: Cable channels, which include CNN, HBO, TNT and TBS, saw a 4 percent revenue increase to $3.1 billion, while film entertainment revenue, including from studio Warner Bros. grew 7 percent to $3.3 billion, bolstered by sales of “Harry Potter and the Half Blood Prince” on home video.
MAGAZINES WEAK: Publishing revenue from magazines including Time, People and Sports Illustrated fell 13 percent to $1.1 billion, caused by drops in ads, subscriptions and other revenue. In the first quarter, print advertising trends have improved.
