Strong ad sales help AMC Networks beat profit estimates

Reuters

(Reuters) - AMC Networks Inc, known for shows such as "Breaking Bad" and "The Walking Dead", reported a quarterly profit above analysts' expectations as strong demand for its original programing boosted ad sales in its domestic business. The company's shares were up 6.5 percent in premarket trading on Monday. Advertising revenue from AMC Networks' national networks business jumped 25.3 percent to $260 million in the first quarter ended March 31, driven largely by "Better Call Saul" and hit zombie drama "The Walking Dead". "Better Call Saul", a spin-off of its Emmy-winning series "Breaking Bad", released in February. It was the most-watched new series on cable in key advertiser demographics in the period, the company said. The show follows the exploits of lawyer Saul Goodman, played by Bob Odenkirk, before he became the attorney for chemistry teacher-turned-drug kingpin Walter White. Revenue in national networks, which accounts for about 84 percent of AMC's total revenue, rose 25.4 percent to $563 million. Net income attributable to AMC Networks' shareholders rose to $120.9 million, or $1.66 per share, in the first quarter ended March 31, from $71.4 million, or 98 cents per share, a year earlier. Revenue rose 27.5 percent to $668.7 million. Analysts on average had expected first-quarter profit of $1.48 cents per share and revenue of $655.7 million, according to Thomson Reuters I/B/E/S. (Reporting by Abhirup Roy in Bengaluru; Editing by Joyjeet Das)