Comcast Corp. CEO Brian Roberts on Thursday beat back rumors of Comcast exploring mergers or acquisitions to bolster NBCUniversal's Peacock streaming platform, reports The Philly Business Journal.
Speaking during the company’s second-quarter earnings call, Roberts said he’s happy with the company Comcast is now and that the business has much more organic growth ahead. Comcast smashed 2Q earnings expectations behind big growth in broadband, international business with Sky, and theme parks that are profitable for the first time in more than a year.
The Philadelphia-based media giant reported revenue of $28.55 billion in the quarter, an increase of 20% year over year to beat the Zacks consensus estimate of $27.14 billion. Earnings per share were also much higher than analyst estimates — Comcast reported 84 cents per share, well over the Zacks consensus estimate of 67 cents per share. EPS was up 23% year over year, from 65 cents in the second quarter of 2020.
“I think [CFO] Mike Cavanagh has been very blunt that we don't need M&A,” Roberts said. “We have a majority broadband-centric company, and we like the mix.”
Roberts’ comments come after reports that Comcast considered major deals with MGM Studios or WarnerMedia — which have since entered agreements with competitors Amazon and Discovery, respectively. Talks of mergers and acquisitions picked up in recent weeks following media reports that Roberts met with ViacomCBS Chairwoman Shari Redstone and CEO Bob Bakish to discuss collaboration in streaming internationally or possibly spinning off NBCUniversal to merge with ViacomCBS.
Comcast could consider a partnership to enhance its streaming position internationally, Roberts said, but the company has “all the parts” to scale Peacock.
Peacock added 12 million signups in the second quarter for a total of 54 million signups since its launch in April 2020, and more than 20 million of those are monthly active accounts.
Roberts also confirmed that Peacock will head overseas to Europe later this year. The company will employ a strategy similar to its domestic Peacock launch that integrated the streaming service into Xfinity’s X1 and Flex platforms to drive brand awareness, he said.
Maxar Technologies and SiriusXM announced Thursday that the SXM-8 satellite has completed in-orbit testing and has been handed over to SiriusXM. A SpaceX Falcon 9 rocket launched the satellite into space on June 6, 2021, from Cape Canaveral, Florida.
Maxar and SiriusXM employees pose for a photo with Maxar-built SXM-8 ahead of encapsulation in the fairing of SpaceX’s Falcon 9 rocket in Cape Canaveral, Florida. Image credit: Maxar.
SXM-8 is the ninth high-powered, digital, audio radio satellite built by Maxar for SiriusXM. Built on Maxar’s 1300-class platform and designed to provide more than 15 years of service, SXM-8 is more than 27 feet tall and weighed nearly 7,000 kg at launch. SXM-8 has a large, mesh, unfurlable reflector almost 30 feet in diameter that will allow SiriusXM programming to reach its radios, including those in moving vehicles.
"We are proud of our long-standing relationship with SiriusXM and excited to see SXM-8 ready for service to bring entertainment to millions of SiriusXM subscribers," said Chris Johnson, Maxar’s Senior Vice President of Space Programs Delivery. "The entire Maxar team is committed to excellence, and playing a role in the success of our customers’ missions is what drives us every day."
"We are committed to enhancing our satellite fleet and ability to deliver the best audio entertainment, traffic, weather, data and information services for years to come," said Bridget Neville, SiriusXM’s Senior Vice President of Satellite and Repeater Systems Engineering and Operations. "We congratulate our engineering team, Maxar and SpaceX on a successful launch and commissioning."
SXM-8 will provide continuous, reliable delivery of SiriusXM’s audio entertainment and information services to consumers in the United States and will expand SiriusXM’s coverage area in Canada and the Caribbean. SXM-8 will extend the health of SiriusXM’s satellite fleet and its satellite-delivered services through at least 2036.
For the first time in nearly three decades, WBUR's Morning Edition will have a new host.
WBUR announced Thursday that journalist Rupa Shenoy will replace longtime anchor Bob Oakes — who plans to return to reporting for the station — in September.
Shenoy joins WBUR after eight years at GBH, first as an investigative reporter and most recently as a reporter for The World, a national radio program co-produced by GBH and PRX and based in Boston. She covered human rights for the program.
The 42-year-old said she’s ready to take on one of the most public jobs in the Boston media market after more than two decades in journalism.
"I really feel quite lucky to have been chosen and I know it's a big responsibility," Shenoy said in an interview.
Before joining GBH, Shenoy worked as a reporter for Minnesota Public Radio, the Associated Press, the Daily Herald in Illinois, and The Chicago Reporter. Originally from Cedar Rapids, Iowa, Shenoy is the daughter of immigrants from Maharashtra in the south of India.
WBUR’s chief executive officer Margaret Low said Shenoy's broad experience makes her a good fit for the station’s future.
"She’s somebody who has reported. She has done podcasts. She has hosted shows," Low said. "And I think she has a sense of the deep relationship that a host of a program like Morning Edition forms with their audience."
WBUR 90.9 FM (8.6 Kw)
Oakes, who has hosted WBUR’s Morning Edition since 1992, had previously announced his desire to return to reporting. He plans to begin a new role as senior correspondent pursuing a mixture of features, profiles and political reports.
The chief executive of MyPillow Inc., one of Fox News’s big advertisers, said he is pulling his ads from the network after a disagreement over a proposed commercial, The Wall Street Journal reports.
Mike Lindell said he made the decision after Fox News declined to run a commercial linked to his efforts to promote his claims of widespread fraud in the 2020 presidential election. Security and election officials have said there is no proof of widespread election fraud.
“It’s unfortunate Lindell has chosen to pause his commercial time on FOX News given the level of success he’s experienced in building his brand through advertising on the number one cable news network,” Fox News said in a statement.
Lindell said he wanted to cancel the ads as soon as possible and that he had told his ad buyer to inform Fox News.
Lindell said he had asked the network to air a commercial promoting a cyber symposium, which he is scheduled to live stream next month. Lindell said the commercial wouldn’t specifically mention claims of election fraud. But he has said the symposium will prove the 2020 election was stolen from then-President Donald Trump through manipulation of election machines.
MyPillow is among Fox News’s major advertisers, alongside supplement company Balance of Nature and weight-loss products provider Nutrisystem, according to advertising analytics firm iSpot.tv.
MyPillow spent almost $50 million on Fox News last year and so far this year has shelled out about $19 million for ad time on the network, Mr. Lindell said.
Since the 2020 election, Mr. Lindell has emerged as one of the most prominent proponents of unproven theories that the election was stolen from Mr. Trump through widespread fraud. Voting-machine maker Dominion Voting Systems sued Mr. Lindell and MyPillow in February for defamation, seeking more than $1.3 billion in damages. He has countersued.
One of Nashville’s most notable brands has started a new business venture, the Nashville Business Journal reports.
Gibson, the iconic guitar brand, is launching Gibson Records as a part of a strategic partnership with BMG, the world’s fourth-biggest music company.
Gibson Records is the latest evolution of the Gibson brand. Over the past 2.5 years, Gibson has launched several music initiatives including Gibson Artist Collections, Gibson TV, the Gibson App, the Gibson Generation Group (G3), Gibson Gives, and the newly opened Gibson Garage in downtown Nashville.
“Launching a record label that is in service to our artists is the natural evolution of our 127 years of history. Gibson Records will work with Gibson artists to capture, record and promote their music under an artist friendly partnership,” Cesar Gueikian, brand president of Gibson Brands, said in a news release. “Gibson Records will keep all of us at Gibson focused on our artist first culture that is engaged and connected to music. We are excited to launch Gibson Records, to announce that Slash is our first signed artist and that we have entered into a label partnership with BMG.”
The first album to come from Gibson Records will be Slash featuring Myles Kennedy and the Conspirators.
“It’s an honor to be the first release on the new Gibson Records,” Slash said in a news release. “It's a zenith in our partnership for sure and having worked so closely with Gibson for so long, I know they will be a label that genuinely supports their artists creatively. Not just me, but all the artists they choose to work with. It's perfect.”
➦In 1888...Vladimir Kosmich Zworykin born (Died - July 29, 1982). He was an American inventor, engineer, and pioneer of television technology. Zworykin invented a television transmitting and receiving system employing cathode ray tubes. He played a role in the practical development of television from the early thirties, including charge storage-type tubes, infrared image tubes and the electron microscope. Zworykin, called the “Father of Television” invented the iconoscope in 1931 while in the employ of RCA, the parent company of NBC. He died July 29 1982 on the eve of his 93rd birthday.
➦In 1914...John Meston born (Died — March 24, 1979). He was a scriptwriter best known for co-creating with producer Norman Macdonnell the long-running Western series Gunsmoke. He developed storylines and wrote radio scripts and teleplays for 379 episodes for the series, which was first broadcast on CBS Radio in 1952, and then adapted to the "small screen", as well, airing on television from 1955 to 1975. In addition to his work on Gunsmoke, Meston also served as a writer and editorial supervisor for other radio programs such as Escape, Suspense, Lux Radio Theater, and Fort Laramie; and in the 1970s, he wrote several episodes for two other television series, Little House on the Prairie and Hec Ramsey.
After the war, Meston was hired by KNX Radio in Los Angeles to be an assistant in the station's editing department, and by October 1945, he was promoted to head of that department.
Station KNX by the 1940s already served as the center of West Coast operations for the entire CBS Radio network, so Meston's next career move was a transitional one to CBS, where in 1947, he began working once again as a censor, more specifically in the network's program practices department.
Meston's scripts dominated the radio series' presentations for years. He died of a cerebral hemorrhage March 24 1979 at age 64. ➦In 1930...The Shadow debuted as the mysterious narrator of the radio program Detective Story Hour, which was developed to boost sales of Street and Smith's monthly pulp Detective Story Magazine. When listeners of the program began asking at newsstands for copies of "That Shadow detective magazine", Street & Smith decided to create a magazine based on The Shadow and hired Gibson to create a character concept to fit the name and voice and write a story featuring him. The first issue of The Shadow Magazine went on sale on April 1, 1931, a pulp series.
On September 26, 1937, The Shadow radio drama, a new radio series based on the character as created by Gibson for the pulp magazine, premiered with the story "The Death House Rescue", in which The Shadow was characterized as having "the power to cloud men's minds so they cannot see him". As in the magazine stories, The Shadow was not given the literal ability to become invisible.
The introduction from The Shadow radio program "Who knows what evil lurks in the hearts of men? The Shadow knows!", spoken by actor Frank Readick, has earned a place in the American culture.
The Shadow aired first aired on CBS. It would bea radio favorite for the next 24 years, mostly on Sunday afternoons on Mutual.
➦In 1930...First broadcast of "Death Valley Days" on NBC Radio. It was a radio and television anthology series featuring true accounts of the American Old West, particularly the Death Valley country of southeastern California. Created in 1930 by Ruth Woodman, the program was broadcast on radio until 1945 and became from 1952 to 1970 as a syndicated television series, with reruns (updated with new narrations) continuing through August 1, 1975. The radio and television versions combined to make the show "one of the longest-running western programs in broadcast history."
The series was sponsored by the Pacific Coast Borax Company (20 Mule Team Borax, Boraxo) and hosted by Stanley Andrews ("The Old Ranger") (1952–1964), Ronald Reagan (1964–1965), Rosemary DeCamp (1965), Robert Taylor (1966–1969), and Dale Robertson (1969–1970).
➦In 1937...the American Federation of Radio Artists (AFRA) organized. It was part of the American Federation of Labor. The union was for all radio performers except musicians. The union later became The American Federation of Television and Radio Artists (AFTRA) to include TV workers.
➦In 1942...Stage Door Canteen began its three-year run on CBS Radio. It was inspired by the
The Stage Door Canteen which was an entertainment venue for American and Allied servicemen that operated in the Broadway theatre district of New York City during World War II.
The official estimate of attendance on the canteen's opening night was 1,250, with 200 "actresses of varying importance" as hostesses and 75 "'name' actors" as busboys. In addition to shows, the canteen offered off-duty military personnel opportunities to unwind in various ways, including dancing with hostesses and female entertainers, eating, and writing letters home. Food was provided free. Between 5 p.m. and midnight daily, the canteen served 200 gallons of coffee, and 5,000 cigarettes were smoked.
The CBS Radio series aired through 1945.
Arthur Peterson, Mercedes McCambridge, Helen Behmiller, Henrietta Ledro
➦In 1952...the popular radio soap opera, The Guiding Light, was seen for the first time on CBS-TV. It debuted on NBC radio Jan. 25 1937. The daytime drama aired its final telecast Sept. 18 2009.
➦In 1964...WNEW 1130 AM in New York banned all comedy records that “ridicule the United States Government, its processes, institutions, officials, lawmakers and political candidates.” The station said the new policy was triggered by a new album entitled “I’d rather Be Far Right Than President.” - an album that spoofs Republican Presidential nominee Barry Goldwater.
Says John Sullivan, vice president and general manager of WNEW -“I would say the situation came to a head because of national conventions and an election year. But the taste level of some of these comedy recordings has grown progressively worse and there is a lot of cheap, badly done stuff in the field. What I resent is that anyone can put something on a record and it is passed off as entertainment. The radio industry should take a look at what it plays.”WNEW plays music from the likes of Frank Sinatra, Tony Bennett, Steve and Eydie, Dean Martin and other popular non-rock artists.
➦In 1966...WOR 98.7 FM, New York changed it's programming to a Rock format.
The original WOR-FM disc jockeys were Scott Muni (formerly of WABC and WMCA), Murray “the K” Kaufman (formerly of WINS), Rosko (Bill Mercer) and Johnny Michaels.
According to musicradio77.com, WOR-FM became extremely popular on college campuses. It began to carve out an audience that had not been served by radio up until then. It was achieving decent ratings (for an FM station) without taking audience away from the AM stations by appealing to new listeners. This was significant. A Columbia University survey of its undergraduates found that 93% listened to FM as well as AM and that they listened to WOR-FM for 3 1/2 hours daily as compared with AM stations WMCA (1 1/2 hours) and WABC (1 hour). WOR-FM grossed anywhere from $500 to $1000 a week from record company commercials because of its reach into the college campuses.
Even so, owner RKO wasn’t satisfied. Bill Drake had been consulting RKO’s two West Coast stations; KHJ in Los Angeles and KFRC in San Francisco. These were both extremely successful AM Top 40 stations built around the “Drake-Chenault” philosophy of playing just the hits while minimizing almost everything else. In July of 1967 RKO hired Drake to consult its remaining radio properties which consisted of CKLW, Detroit; WRKO, Boston; WGMS, Washington DC; WHBQ, Memphis and, of course, WOR-FM.
The first sense of change came when memos appeared from management dictating to the air staff not to play certain cuts. Next the disc jockeys were removed from the new record listening sessions and not allowed to have input on the playlist. Next the playlist became all singles with only an occasional new record and it had to be from an established artist.
Murray the K had the highest rated FM show in New York; a 4 share on one ratings survey, a 3 on the next. This was higher than many AM shows and a terrific FM rating for New York. He would have no part of these changes and his protests cost him his job. He was fired by the station in September 1967. His parting comment about the changes at WOR-FM was “Who can live with that? Music has reached a maturity... people in radio are still treating it as if it is for teenie boppers."
Murray had a point. WOR-FM was different from the other RKO properties in that it was FM stereo as opposed to AM. It had built a solid audience by attracting a different group of people. Giving up on it after only a year seemed premature. Record companies had found the station highly valuable at influencing sales of rock albums especially of new artists and groups like Cream, The Doors, Jefferson Airplane, and The Jimi Hendrix Experience. The format was noted for playing new records first, often playing new artists that the local AM stations wouldn't play.
➦In 1984...The FCC increased the number of radio and television stations that a company may own from a total of 14 radio stations and 7 TV stations to a new ceiling of 24 radio stations and 12 TV stations.
➦In 2004...Shock personalities Opie and Anthony announced they were joining XM Satellite Radio beginning Oct. 4. They were yanked off the air back in August of 2002 after broadcasting a live account of a couple having sex inside St. Patrick’s Cathedral in Manhattan.
➦In 2012...Radio programmer on personality Al Brady Law died at age 67.
Al Brady-Law
Brady first came to New York as Al Brady late in 1969 as the night jock at WOR FM. Late in 1970 he left for WINZ in Miami but promptly turned back up in New York as the night jock at WWDJ. He eventually moved to afternoons and then left again for Denver. But he returned once more, this time as program director at WWDJ. In 1973 he moved over to WXLO as program director.
In March of 1974, Al moved on to WNBC where did some weekend shows and was also the station's assistant program director. In September of 1974, he became the station's program manager, but only for a month. He would go back to weekends and the APD slot. In 1976, it was off to Boston and in 1978 he took over as program director of the NBC Owned and Operated stations. After a brief stint in Washington, DC, he returned to New York, yet again, this time as program director of 77WABC. In 1979, WABC was still reeling from the "disco inferno" of the October/November, 1978 book where WKTU rocketed to the top. They were, in essence, trying to right the ship. Brady came under a lot of criticism when three of his moves involved letting go Harry Harrison, George Michael and Chuck Leonard. Al always defended his moves and always insisted it was the right thing to do. He always said he never regretted any of it.
From WABC, Brady returned to Boston and then one more time to New York where he was to assume the position of Vice President and General Manager of WYNY. Under his guidance, WYNY became a major presence in the New York market, finally cracking the ratings top 10 in the Summer, 1981 book.
From WYNY, al took over as Vice President of Programming of NBC Radio. After leaving this post, he moved around the country working at various radio stations.
Terry Lee
➦In 2013…Longtime Pittsburgh radio, TV personality Terry Lee (Trunzo) died of lung cancer at 70.
He started working as a DJ at teen dances at age 16. That launched his radio career at the former WESA-AM in Charleroi, which was followed by stints at stations in Carnegie and Canonsburg. At 21, he joined the former WMCK-AM in McKeesport, which later became WIXZ 1360. That little station was the place where Lee really began shaking up the airwaves. His evening show was one of the most popular in the city throughout the '60s.
In the late '60s throughout the '70s, Lee hosted dance shows on TV: "Come Alive" on the former WIIC (now WPXI) and "The Terry Lee Show" on WPGH and later on KDKA.
Paul Anka is 80
🎂HAPPY BIRTHDAYS:
Blues guitarist Buddy Guy is 85.
Movie director Peter Bogdanovich is 82.
Singer Paul Anka is 80.
Jazz saxophonist David Sanborn is 76.
Actor-turned-politician Arnold Schwarzenegger is 74.
Actor William Atherton (“Die Hard” films”) is 74.
Actor Jean Reno (“The Da Vinci Code,” ″Godzilla”) is 73.
Actor Ken Olin is 67.
Actor Delta Burke is 65.
Actor Richard Burgi (“Desperate Housewives”) is 63.
Singer-songwriter Kate Bush is 63.
Country singer Neal McCoy is 63.
Actor Laurence Fishburne is 60.
Actor Lisa Kudrow (“Friends”) is 58.
Guitarist Dwayne O’Brien of Little Texas is 58.
Lisa Kudrow is 58
Actor Vivica A. Fox is 57.
Actor Terry Crews ("Brooklyn Nine-Nine,""Everybody Hates Chris") 53
Actor Simon Baker (“The Mentalist”) is 52.
Director Christopher Nolan (“Memento,” ″Insomnia”) is 51.
Actor Tom Green is 50.
Drummer Brad Hargreaves of Third Eye Blind is 50.
Actor Christine Taylor (“Dodgeball,” “The Brady Bunch Movie”) is 50.
Comedian Dean Edwards (“Saturday Night Live”) is 48.
Actor Hilary Swank is 47.
Actor Jaime Pressly (“My Name Is Earl,” ″Not Another Teen Movie”) is 44.
Singer-guitarist Seth Avett of The Avett Brothers is 41.
Actor April Bowlby (“Drop Dead Diva,” ″Two and a Half Men”) is 41.
Actor Yvonne Strahovski (“Chuck,” “The Handmaid’s Tale”) is 39.
Actor Martin Starr (“Silicon Valley,” ″Freaks and Geeks”) is 39.
TuneIn, the world’s leading live streaming audio service, and iHeartMedia, the leading audio company in America and the No. 1 podcast publisher, today announced a partnership that will enable TuneIn to distribute iHeartMedia’s more than 850 leading digital stations. TuneIn will also gain access to local advertising demand from iHeartMedia’s unique monetization assets, including its massive sales force of nearly 2,000 sellers in every major market nationwide, and Triton Digital’s best-in-class advertising technology.
To further iHeartMedia’s distribution strategy to be everywhere their listeners are, iHeart has selected TuneIn’s open platform to distribute its more than 850 leading radio stations in the US including stations such as New York’s Z100 and POWER 105.1, Los Angeles’ KISS FM and KFI FM, and Nashville’s BIG 98 WSIX. These stations will be available digitally on TuneIn’s mobile apps and website beginning today.
As part of this partnership, TuneIn will leverage Triton Digital’s (recently acquired by iHeartMedia) industry-leading audio Supply Side Platform (SSP) that will seamlessly enable both the direct sale, through iHeart’s sophisticated local salesforce, as well as the programmatic sale, through TuneIn’s salesforce reaching audio publishers’ inventory across TuneIn‘s 200+ consumer platform touchpoints, offering brands even more audience reach and targetability.
“The TuneIn and iHeart partnership is a great marriage of content and technology enabled by Triton’s cutting edge and comprehensive suite of audio advertising technology to support streaming audio and podcasts businesses with both direct and programmatic sales. With Triton’s SSP, local advertisers will now have the ability to reach additional iHeart and TuneIn listeners through both direct and programmatic sales,” said Brian Kaminsky, Chief Data Officer and President of Revenue Strategies for iHeartMedia. “We are also excited that TuneIn’s open radio platform allows us to share our content and programming with even more streaming radio fans. Triton’s Audio Ad Tech delivers targeted audio advertising across the entire spectrum of listening platforms — web, mobile apps, smart speakers and across other distribution platforms like TuneIn.”
“The relationship with iHeart demonstrates the power of TuneIn’s open platform to flexibly align with the content, distribution and monetization assets of our partners to jointly create new and previously unrecognized value,” said Rob Deichert, Chief Revenue Officer for TuneIn. “We’re incredibly pleased to partner with iHeartMedia and Triton as we continue our mission to delight listeners and reinvent radio for a connected world.”
NBCUniversal takes $363 million loss related to Peacock
Comcast Corp. posted a 25% jump in profit in the second quarter, as its broadband and wireless businesses added more customers and its theme parks benefited from the country’s reopening.
The Wall Street Journal reports revenue at the Philadelphia-based company, which operates Xfinity-branded cable services, NBCUniversal media properties and the U.K. pay-TV giant Sky PLC, rose more than 20% to $28.55 billion. The company reported a profit of $3.74 billion, or 80 cents a share, compared with $2.99 billion, or 65 cents per share, in the pandemic-hit quarter a year earlier.
NBCUniversal, the Comcast unit most severely affected by Covid-19, began to recover as the pandemic eased. The segment’s overall revenue increased 39% to nearly $8 billion.
The theme park segment generated more than $1 billion during the second quarter, an eight-fold increase from the year-earlier period when theme parks were closed because of the pandemic, and was profitable for the first time since the first quarter of 2020.
Revenue for the media segment, which includes Peacock, broadcast and cable TV, rose nearly 26% to $5.15 billion. NBCUniversal’s advertising revenue also improved, with an increase of nearly 33% to roughly $2.2 billion.
Revenue in the film and TV studio segment was $2.22 billion, up more than 8% compared with the same period last year. While NBCUniversal’s film segment suffered during the pandemic, its latest installment of the “Fast & Furious” franchise recently gave Hollywood its best opening weekend at the box office since December 2019, collecting roughly $70 million from domestic theaters.
The Xfinity broadband unit, which surged last year as Americans stayed home during the pandemic and ramped up their internet usage, continued to show strong growth. The unit added 354,000 new customers in the quarter, compared with 323,000 a year ago.
The company’s wireless business was another bright spot, adding 280,000 new customers and posting a profit for the first time. Comcast launched Xfinity Mobile in 2017 and recently introduced multiline discount plans. Xfinity Mobile now has nearly 3.4 million lines. Verizon Communications Inc. said last week it gained 275,000 postpaid phone customers, while AT&T posted a net gain of 789,000 postpaid phone subscribers.
Comcast’s cable-TV business continued to face defections as customers abandon traditional TV bundles for streaming services like Netflix Inc. and Walt Disney Co.’s Disney+ and Hulu. The unit lost 399,000 subscribers during the second quarter. Comcast’s NBCUniversal launched its flagship streaming service, Peacock, last year and is hoping the Tokyo Summer Olympics will help it draw more viewers.
Revenues of $861 million increased 6.2% on a reported basis, 4.5% on a constant currency basis & 6.2% organic-
Net income per share of $0.24 (diluted, from continuing operations); Adjusted EPS of $0.43
Continued progress on key strategic initiatives across Audience Measurement, Outcomes and Content
Today, Nielsen Holdings plc announced its results for the quarter ended June 30, 2021.
David Kenney
David Kenny, Chief Executive Officer, commented, "Our quarterly financial results demonstrate our continued strategic and operational transformation, as the global media ecosystem evolves. We have increased confidence in our full-year outlook, which is reflected in our updated 2021 guidance. We continue to see healthy renewals from existing clients, growing interest from new clients, and steady progress in our global product development. This includes launching The Gauge as an analytic tool across streaming and linear media, expanding our outcomes portfolio into additional advertisers, and expanding Gracenote into several additional countries. We are executing well against our strategy and roadmap to create long-term value and are pleased with steady progress again this quarter."
Second Quarter 2021 Results:
Second quarter revenues increased 6.2% to $861 million on a reported basis, 4.5% on a constant currency basis, and 6.2% on an organic basis compared to the prior year period.
Audience Measurement revenues of $629 million increased 4.3% on a reported basis, 3.3% on a constant currency basis, and 4.0% on an organic basis compared to the prior year period. Overall growth was solid, particularly in digital measurement, and local pressures have subsided.
Outcomes & Content revenues of $232 million increased 11.5% on a reported basis, 7.9% on a constant currency basis, and 12.6% on an organic basis compared to the prior year period. This was driven in part by improving trends in short-cycle revenue, solid growth in Content, and recovery in the Sports business.
Net income from continuing operations attributable to Nielsen shareholders increased 207.1% to $86 million, compared to $28 million in the second quarter of 2020. Net income from continuing operations per share on a diluted basis for the second quarter was $0.24, compared to $0.08 in the second quarter of 2020. The improvement in net income from continuing operations was driven by strong revenue performance, the ongoing benefit of permanent cost actions from the 2020 optimization plan and lower depreciation and amortization expense in the second quarter of 2021. In addition, the second quarter of 2020 included an impairment of long-lived assets related to the exit of certain smaller, underperforming markets and non-core businesses, as well as a restructuring charge related to our 2020 optimization plan.
Reported EPS of $0.21 includes EPS of $0.24 from continuing operations and EPS of $(0.03) from discontinued operations.
Adjusted earnings per share was $0.43 for the second quarter, compared to $0.35 per share in the prior year period, reflecting higher adjusted EBITDA and lower depreciation and amortization expense year over year, offset in part by higher taxes.
Adjusted EBITDA was $370 million, compared to $331 million in the second quarter of 2020, up 11.8% on a reported basis and 11.1% on a constant currency basis.
Adjusted EBITDA margin of 43.0% increased 216 basis points on a reported basis, or an increase of 256 basis points on a constant currency basis, compared to the prior year period, reflecting the strong revenue performance and the benefit of permanent cost actions implemented during the second half of 2020.
Year to Year:
Cash flow from operations decreased to $213 million, compared to $250 million in the prior year period. Cash flow performance was primarily driven by the sale of Global Connect.
Cash taxes were $38 million, compared to $41 million in the prior year period.
Net capital expenditures were 40% lower, at $72 million, compared to $120 million in the prior year period largely due to timing and the Global Connect sale.
Free cash flow increased to $141 million, compared to $130 million in the prior year period, primarily due to lower net capital expenditures related to the sale of Global Connect.
As it relates to continuing operations for the second quarter of 2021, as compared to the second quarter of 2020:
Cash flow from operations increased to $233 million, compared to $162 million in the prior year period. Cash flow performance was primarily driven by higher adjusted EBITDA, improved working capital and lower interest payments, offset in part by higher cash taxes.
Cash taxes were $38 million, compared to $19 million in the prior year period largely due to timing.
Net capital expenditures were relatively flat at $72 million, compared to $69 million in the prior year period.
Free cash flow was $190 million compared to $86 million in the prior year period. Free cash flow has been adjusted to exclude certain interest costs and to exclude separation-related costs. The prior year period also includes an adjustment for cash costs to position Nielsen as a stand-alone company.
The Tennessee Titans and Cumulus’s WGFX 104.5 The Zone today announced that they have entered into a multi-year partnership extension designating 104.5 The Zone as the official radio broadcasting home of the Tennessee Titans and Titans Radio.
The agreement extends broadcasting rights to 104.5 The Zone for Game Day Play-by-Play with Mike Keith and color analyst Dave “Coach Mac” McGinnis, including Pre- and Post-Game programming and weekly shows through the 2025 NFL Season.
In addition to Game Day coverage, 104.5 The Zone will air weekly shows throughout the season that give Titans fans access to top players and coaches via exclusive interviews, including The Mike Vrabel Show, Titans Tonight, and MAC TALK and weekly Players Shows featuring current Titans players.
Titans Radio strongholds Mike Keith and Dave “Coach Mac” McGinnis enter their fifth season together on Titans Radio. The dynamic combination of Keith, a Hall of Fame play-by-play announcer, and McGinnis, a former NFL head coach, provide Titans fans with high voltage excitement, information, and insight that are unmatched.
Gil Beverly, Senior Vice President / Chief Marketing & Revenue Officer, Tennessee Titans, said: “The Tennessee Titans and 104.5 The Zone have had a long-standing partnership and we are excited to continue with a brand that shares our vision for the Titans. The Zone has established itself as preeminent Middle Tennessee sports leader and the Titans Radio Network will continue to create an incredible offering for passionate fans across the state.”
Allison Warren, Vice President and Market Manager, Cumulus Nashville remarked: “As the predominant sports voice in Middle Tennessee, we’re proud to extend our partnership with the Tennessee Titans. We are committed to bringing 104.5 The Zone listeners and Titans fans the compelling sports content they seek.”
Paul Mason, Operations Manager/Program Director, 104.5 The Zone/WGFX-FM and Titans Radio Network, noted: “The Tennessee Titans and 104.5 The Zone are among the best marriages in the NFL, and we are excited to continue as the flagship station for Titans Radio. I am thrilled that our listeners will hear Mike Keith, Coach Dave McGinnis, Rhett Bryan, and Amie Wells on The Zone and on Titans Radio for years to come.”
Along with its incomparable on-air broadcasts, 104.5 The Zone brings the area’s best sports content to Nashville and Middle Tennessee sports fans through Zone TV, streaming, on-demand, live events and the 104.5 The Zone Podcast Network. With expanded sports coverage and entertainment through the station’s new content partnership with A to Z Sports, 104.5 The Zone brings it all together to deliver the best live and local sports content to fans wherever they are and whenever they want it.
Townsquare Media Inc. announced today that former SpotX Regional Director Chris Tingle has joined the Company as as Market President/Chief Revenue Officer for its Texarkana local media cluster.
In this role, he will drive Townsquare’s Local First strategy and content initiatives across East Texas and Arkansas. He will report to Townsquare Senior Vice President Todd Lawley.
“Chris has a strong track record of success in both digital and broadcast, and he has a clear understanding of how to execute our multi-platform “Local First” strategy. He brings a wealth of local and regional relationships and a reputation as a strong, strategic leader with him,” commented Mr. Lawley.
“I’m truly honored to lead Townsquare’s iconic local media brands in the Texarkana market and to work with this dedicated and high performing team. Townsquare has a longstanding tradition of excellence in this community, and I’m committed to carrying on that tradition for many years to come,” said Mr. Tingle.
Townsquare COO – Local Media, Erik Hellum added, “After competing with Chris for many years, we decided we didn’t want to do that anymore and are so glad he is joining our Company. We have a special team in Texarkana, and with Chris’ combination of broadcast and digital experience, strong local and regional relationships, and leadership ability, I am confident that Chris is the right person to lead that team.”
After many weeks of negotiations, the Senate voted last night to formally open debate on the nearly $1 trillion bipartisan infrastructure legislation, after the White House and Senate negotiators agreed on the package's major provisions. Biden said before the 67-32 vote, "This deal signals to the world that our democracy can function. We will once again transform America and propel us into the future." The lead Republican negotiator, Senator Rob Portman, had announced the group's agreement on the package earlier in the day. What remains to be seen is if enough Republican senators will eventually join Democrats in final passage of the legislation.
➤BIDEN TO ANNOUNCE FEDERAL WORKERS MUST VACCINATE OR HAVE REGULAR TESTING: President Biden will announce today that federal employees must show proof that they are vaccinated against Covid-19 or undergo regular testing, according to media reports. AP cited a source as saying the guidance is meant to give an example for private companies as they ready for workers to return in the fall. It comes after the Department of Veterans Affairs on Monday became the first federal agency to require vaccinations, for its health workers. Just under 70 percent, 69.3 percent, of U.S. adults have gotten at least one vaccine shot, and about 60 percent are fully vaccinated.
This is a lie. The vaccine was developed under Republican President Donald Trump, who the Democrats and media mocked for doing so. Republican governors have urged vaccination, so has Mitch McConnell. https://t.co/CVKM96FVve
➤BRITAIN ENDS QUARANTINE REQUIREMENT FOR VACCINATED U.S., E.U. VISITORS: U.K. officials said yesterday that visitors from the U.S. and European Union nations who are fully vaccinated against the coronavirus will no longer have to quarantine for 10 days after entering England, starting next week. They will instead be able to take Covid tests before and after arriving. However, the U.S. this week announced it is keeping a ban on most international visitors, and has also advised Americans against traveling to the U.K. due to a surge in infections driven by the delta variant. Additionally, some European nations still require British visitors to quarantine upon arrival.
➤MAN ARRESTED IN CALIFORNIA MOVIE THEATER SHOOTING THAT LEFT ONE DEAD, ANOTHER IN CRITICAL CONDITION: Police said yesterday that a 20-year-old man had been arrested in the shooting at a Corona, California, movie theater Monday night (July 26th) that left 18-year-old Rylee Goodrich dead and 19-year-old Anthony Barajas in critical condition. Goodrich and Barajas -- who's a well-known TikTok user -- are friends who were at a showing of The Forever Purge. Theater workers found them shot after the move in the theater, where there had been fewer than 10 people. It's still not known if the shooting happened during or after the movie. Police arrested Joseph Jimenez and found him with a gun that matched the caliber of that used in the shooting and other evidence. He is being held on $2 million bail on charges of murder, attempted murder and robbery. Police believe Jimenez didn't know the victims and didn't have any prior contact with them, calling it an "unprovoked attack."
➤HOMEBUYERS PAY MORE WHEN THEY SEE THESE PAINT COLORS, ZILLOW SURVEY SAYS: Sellers haven’t had a hard time selling homes lately, but a new survey from Zillow reveals you can get up to $5,000 more for your home if you paint your walls certain colors. They found light blue is currently the most popular color for bathrooms, and participants said a light blue bathroom would be enough to justify a 1.6% higher offer price (about $5,000 on a $290,000 home). White walls in the kitchen increased interest in touring or purchasing a home, and buyers also liked light-yellow, off-white, dark gray, dark red, and dark green for kitchen colors. When it comes to the living room, survey participants preferred grey, and also said they liked light green, white, dark gray, and light yellow as options. As far as bedrooms go, bright blue was the top pick, along with white, light blue, and dark gray. Zillow notes, “On average, bright green and bright yellow living rooms decreased interest among surveyed buyers to tour a property. Both colors, on average, had a negative effect on prospective offer prices.”
➤YOUR DOG KNOWS WHEN YOU’RE LYING—AND WILL IGNORE YOU IF YOU DO: Your dog is likely much smarter than you give it credit for. University of Vienna researchers found when dogs were trained to find food hidden in one of two covered bowls, they would trust a stranger called “the communicator” if he or she touched the food-filled bowl. If the dog then saw a different person move the food from the first to the second bowl, and the communicator witnessed the interaction, and then still recommended the now-empty first bowl to the dog, the dog would ignore their judgement and go to the bowl actually filled with food. If the communicator was not present at the time of the bowl switch, and then re-entered the room and once again directed the dog to the first bowl, half the dogs would follow the misleading advice. Oregon State University researcher Monique Udell, who was not involved in this study, adds, “This study reminds us that dogs are watching us closely, are picking up on our social signals, and are learning from us constantly even outside of formal training contexts.”
➤JARED KUSHNER TO LAUNCH INVESTMENT FIRM: Former President Donald Trump's son-in-law Jared Kushner, who was a senior White House adviser to Trump when he was president, is planning to launch an investment firm, according to a Reuters report yesterday. Kushner is in the final stages of launching the firm, called Affinity Partners, which will be headquartered in Miami. Kushner and his wife, Ivanka Trump, moved to Florida from Washington, D.C., with their three children after the end of Trump's presidency. The Reuters report said Kushner, who is writing a book expected out next year about his experiences in the White House, is also looking to open an office in Israel to pursue regional investments connecting Israel's economy and India, North Africa and the Persian Gulf.
➤'GAWKER' RELAUNCHES FIVE YEARS AFTER HULK HOGAN LAWSUIT CAUSED BANKRUPTCY: Gawker quietly relaunched yesterday, five years after the gossip website went bankrupt after losing a $140 million invasion-of-privacy lawsuit over a Hulk Hogan sex tape it posted. The site was bought three years ago by Bustle Digital Group in a bankruptcy auction. Gawker is now being led by editor-in-chief Leah Finnegan, who asked readers in a letter from the editor on the homepage to approach the new version of the site with a, quote, "open mind and an open heart." She writes, "We are here to make you laugh, I hope, and think, and do a spit-take or furrow your brow, or maybe go 'huh!' or 'wow!' or 'damn!' or 'what the [expletive] or 'I’m glad someone finally said it!.'"
➤McCORMICK RECALLS THREE SEASONINGS OVER POSSIBLE SALMONELLA CONTAMINATION: McCormick issued a voluntary recall yesterday of three of its seasonings after routine testing found possible salmonella contamination. They are: Perfect Pinch Italian Seasoning; McCormick's Culinary Italian Seasoning; and Frank's RedHot Buffalo Ranch Seasoning. The seasonings were shipped between June 20th and July 21st. McCormick is asking customers who have recalled products to throw them away rather than return them to the store, and stores have been told to remove them from store shelves.
➤BOB ODENKIRK IS STABLE FOLLOWING ON-SET COLLAPSE: Bob Odenkirk is recovering after “experiencing a heart-related incident” on the set of Better Call Saul.
On Tuesday night, the two-time Emmy winner collapsed on the set of the AMC drama and was rushed to a New Mexico hospital. The incident was followed by well wishes from costars like Breaking Bad’s Brian Cranston and Aaron Paul, Better Call Saul’s Michael McKean and Mr. Show’s David Cross.
Odenkirk’s son Nate chimed in on Wednesday night, writing, “He’s going to be okay.”
A statement from the actor’s reps to Deadline elaborated saying, “We can confirm Bob is in stable condition after experiencing a heart related incident. He and his family would like to express gratitude for the incredible doctors and nurses looking after him, as well as his cast, crew and producers who have stayed by his side. The Odenkirks would also like to thank everyone for the outpouring of well wishes and ask for their privacy at this time as Bob works on his recovery.”
At the time of the incident, Odenkirk was in the middle of filming the sixth and final season of Better Call Saul.
Biles Says Support Made Her Realize 'More Than My Accomplishments' - Simone Biles tweeted last night about the outpouring of love and support she's received since withdrawing from the women's team gymnastics competition, saying it, quote, "made me realize I'm more than my accomplishments and gymnastics which I never truly believed." Biles is also not competing in today's all-around, but hasn't said yet if she'll compete in the four event finals next week.
U.S. Swimmer Dressel Wins Gold in Men's 100-Meter Freestyle: U.S. swimmer Caeleb Dressel won gold in the men's 100-meter freestyle, beating defending champion Kyle Chalmers of Australia, and setting a new Olympic record. This is Dressel's first individual Olympic gold, after having won one gold in a relay event in Tokyo so far and two in relay events in 2016 in Rio.
U.S. Swimmer Finke Wins Gold in Men's 800-Meter Freestyle: U.S. swimmer Bobby Finke won gold in the men's 800-meter freestyle, coming from behind in the race's final 50 meters to grab first place. Finke went from fifth place to first in that final stretch.
U.S. Women Win 3x3 Basketball Gold: The U.S. women won the 3x3 basketball gold in the event's Olympic debut. The team of Kelsey Plum, Stefanie Dolson, Allisha Gray and Jackie Young defeated the Russian Olympic Committee team for the gold.
U.S. Pole Vaulter Kendricks, Favorite to Medal, Out with Positive Covid Test: U.S. pole vaulter Sam Kendricks, who was a favorite to win a medal, is out of the Olympics after getting a positive Covid test. Kendricks took the bronze at the 2016 Rio Olympics and won gold at the last two world championships.
MEDAL COUNT: (As of 3:30 a.m. ET) - The U.S. is in first place with 37 medals, followed by China with 29 and the Russian Olympic Committee with 25. In the gold medal count, China leads with 14, the U.S. and Japan are tied with 13 in second, and the Russian Olympic Committee and Australia are tied in third with seven. ESPN'S MEDAL TRACKER: https://es.pn/3hZWIw0
OTHER SPORTS:
⚾NATIONALS-PHILLIES GAME POSTPONED AFTER 12 COVID POSITIVES ON NATS: The Washington Nationals-Philadelphia Phillies game scheduled for last night was postponed after four Nationals players and eight staffers tested positive for Covid-19. The postponement came one day after Nationals player Trea Turner left their game in the first inning after his test came back positive. Washington manager Dave Martinez said the four players had either no symptoms or mild symptoms, and all but one had been vaccinated. This is the ninth MLB game postponed this year due to coronavirus concerns.
⚾YANKEES TO ACQUIRE GALLO FROM RANGERS: The New York Yankees are finalizing a deal to acquire two-time All-Star outfielder Joey Gallo from the Texas Rangers, according to media reports last night, pending a medical review. Pitcher Joely Rodriguez will also go to New York, and Texas will get four minor leaguers in return, according to ESPN.
🏈BIG 12 COMMISH CHARGES ESPN TRYING TO DESTABILIZE CONFERENCE: One day after Texas and Oklahoma requested to join the Southeastern Conference in 2025, Big 12 Commissioner Bob Bowlsby accused ESPN of encouraging other conferences to pick apart the league so the two schools can move to the SEC more quickly and without paying a big buyout. The Big 12 sent a cease-and-desist letter to ESPN, and Bowlsby told AP, "I have absolute certainty that [ESPN] have been involved in manipulating other conferences to go after our members." ESPN signed a $3 billion deal with the SEC last year that will give the network the broadcast rights to all the conference’s football games starting in 2024. ESPN said the claims have "no merit."
🏒DEVILS GET HAMILTON, BEST FREE AGENT ON MARKET: The New Jersey Devils have agreed to a seven-year deal, $63 million with Dougie Hamilton, the best free agent on the market. The Devils acquired the veteran defenseman on the NHL's first day of free agency.
🏀PELICANS CENTER HAYES ARRESTED: New Orleans Pelicans center Jaxson Hayes was arrested early Wednesday morning after an alleged altercation with a police officer, according to TMZ Sports. The report said police were called to a home in the Los Angeles area because of a domestic disturbance and Hayes tried to keep officers from entering. A fight reportedly took place, during which Hayes was Tased, and he was taken to the hospital, where he was treated for minor injuries. An officer also reportedly sought treatment, but his condition isn't known. The Pelicans said they are gathering information about the incident.
Audacy has promoted Greg Solk to Vice President of Programming and Operations for its Chicago market, effective August 1.
In this role, Solk will oversee programming and operations strategy for 93XRT (WXRT-FM), 104.3 JAMS (WBMX-FM), US99 (WUSN-FM), WBBM Newsradio (WBBM-AM/WCFS-FM), 670 The Score (WSCR-AM) and B96 (WBBM-FM). Solk had previously served as Brand Manager of 93XRT since 2017.
“Greg has been an invaluable partner who is respected and appreciated by his team at WXRT, across Audacy, and throughout the industry,” said Rachel Williamson, Regional President and Market Manager, Audacy Chicago. “He has been influential in the success of many of the biggest brands across Chicago and I could not be more excited to promote him into this enhanced role overseeing our Chicago programming strategy.”
“The past four and a half years at WXRT have been among the most rewarding of my career — especially the opportunity to work alongside legendary talents,” said Solk. “Along with so many others behind the scenes, this team returned WXRT to the top echelon of our great city’s broadcast properties. Now, I look forward to continuing to work with Rachel and our group's superb brand/programming leaders. Together we will do our best to continue enlightening, entertaining and delighting the millions we serve on our airwaves and through our growing digital channels.”
Solk began his programming career in 1983 at The Loop (WLUP-FM) in Chicago at the age of 21. He took on additional responsibilities with the creation and programming oversight of the ground breaking Comedy/Talk WLUP-AM 1000 in the Spring of 1986. In 1992, Solk headed to San Francisco to program AAA KFOG and then returned to Chicago two years later to create and launch Sports Radio 1000, WMVP. In 1997, Solk joined Bonneville Broadcasting first to program Chicago properties, including the creation of The Drive, and then went on to become Senior Vice President of Programming for Bonneville in 2005, overseeing 32 stations in nine markets. When a portion of Bonneville was sold to Hubbard Broadcasting in 2011, Solk took on Senior Vice President of Programming for the company’s seven markets and remained until 2016. In February of 2017 Solk joined then CBS Radio as Program Director and Operations Manager of 93XRT and WJMK (now sister station 104.3 Jams).
The station will conduct an immediate search for Solk’s replacement as Brand Manager for 93XRT.
Spanish Broadcasting System, Inc. has named Miami native executive Donny Hudson, as EVP of Local media for radio/TV & digital for all SBS markets, and will also retain his role as General Manager, working out of the SBS offices in Miami. Recently appointed as a Radio Board Member of the Florida Association of Broadcasters’ (FAB) Board of Directors, Donny Hudson is a distinguished leader in the industry.
Widely regarded in industry circles as a leader in the Latino multimedia sector, SBS is the largest certified minority-owned, Hispanic-targeted media company in the nation, operating top-rated radio formats in the country’s largest markets, including flagship WSKQ-FM in New York City, America’s most-listened-to station in any language (and the #1 Spanish-language station in the world); Aire Radio Networks, the most expansive Spanish-language radio network with 300+ affiliates; LaMusica, the country’s highest-rated and fastest growing Hispanic streaming app; MegaTV, the popular news and political commentary television network; and concert promoter SBS Entertainment and its perennially sold-out roster of signature live events.
“Donny has proven to be an industry leader in the over 20 years with SBS. As General Manager, he has spearheaded numerous initiatives and alongside his team, has delivered incredible results for the company. His belief in "teamwork" is what has allowed him to be a great leader and respected by the staff, which is one of the most important qualities for success. Congratulations to our new EVP of Local Media." - Albert Rodriguez- President, COO of SBS.
"I am honored to have been selected for the position of EVP of Local Media. As part of the SBS family for over two decades, I have learned, grown, and most of all have been blessed with a team of incredibly talented professionals. I am a true believer that you are only a great leader, if you have an amazing team. I am grateful and honored for this opportunity". - Donny Hudson- EVP of Local Media.
Donny Hudson has been General Manager of SBS Miami supervising all operations at WXDJ-FM (EL NUEVO ZOL 106.7FM), WRMA-FM (RITMO 95.7FM), WCMQ-FM (ZETA 92.3FM), MegaTV, and the LaMusica App. He previously held various managerial positions including SVP of Consolidated Sales, Local Sales Manager, and Director of Local Sales.
Prior to joining Spanish Broadcasting System (SBS), Hudson served as EVP of Sales for America CV Network/ America TeVe. He also worked in sales at HBC for WRTO-98.3FM, WAMR-107.5FM and WQBA-1140AM, WAQI-710AM and then as General Sales Manager of WRTO-98.3FM. He started his radio career at WSUA-Radio Suave after graduating from the University of Miami in 1989 with a Degree in Broadcasting.
Vivendi's most prized division Universal, the music label behind artists like Justin Bieber and Taylor Swift, drove group first-half results, bolstering its position two months before its planned spin-off and listing in Amsterdam, reports Reuters.
The transaction, carefully designed over the last two years by Vivendi's top investor, Vincent Bollore, aims to cash in on the music industry rebound, underpinned by booming streaming revenues but also a recent surge in sales of vinyl records and CDs.
With an estimated enterprise value of 35 billion euros ($41 billion), according to Vivendi, Universal Music Group (UMG) is worth more than the market value of its own parent company.
The spin-off involves the distribution of 60% of Universal's shares to Vivendi's shareholders.
The deal has become high profile in the United States, as billionaire Bill Ackman plans to buy 10% in the company after he failed to do so via a special purpose acquisition company (SPAC).
Universal's core profits represented about three quarters of Vivendi's first-half earning before interest, tax and amortisation (EBITA), at 753 million euros.
Vivendi's other key subsidiaries, pay-TV Canal Plus, advertising group Havas and publishing unit Editis, also contributed to core profits, which rose by 49% from a year earlier.
Group revenues over the period were up by 12% to 8.22 billion euros.
Universal's market debut and spin-off are scheduled for Sept. 21, Vivendi confirmed. Universal will hold a capital markets day of briefings for analysts and investors on Aug. 25, it said.
Facebook Inc. posted sharp growth in quarterly revenue and profit, fueled by robust digital ad spending, as it continues to face scrutiny over the size and influence of its platforms, The Wall Street Journal reports.
The social-media company’s second-quarter earnings report Wednesday showed that advertisers’ greater focus over the past year on reaching consumers online continues to be a tailwind. Analysts also said the parent of Facebook, Instagram and WhatsApp continued to benefit from a rise in consumers making purchases from brands directly through its apps.
Facebook’s profit doubled from a year earlier to $10.39 billion, or $3.61 a share, soundly beating analysts’ expectations. Revenue rose 56% to $29.08 billion.
Facebook has previously warned that the impact of Apple Inc.’s privacy changes in its iOS operating system could crimp the company’s ad-targeting capabilities. Wednesday, the company said the changes could have a more significant impact in the current quarter than the previous one, as more people update their iPhones and iPads.
While Facebook reported 3.5 billion monthly users across its platforms in the latest quarter, the company still sees itself in a growth mode and wants to expand revenue streams beyond its core advertising business.
On an earnings call with analysts, Facebook Chief Executive Mark Zuckerberg said the second quarter was good “for our product and business.” He devoted the rest of his opening remarks to plans to invest more in content creators, improve commerce features and build a metaverse—what he described as a social, digital environment unlike any that currently exists.
Facebook’s financial results come as Google parent Alphabet Inc. on Tuesday reported its best quarter ever for sales and profit, bolstered by a strong digital advertising market. Last week, Snap Inc. said its revenue more than doubled in the second quarter and user growth jumped the most in four years, while Twitter Inc. said sales rose 74% and that it swung to a profit from a year earlier.
