AMC Networks Inc (AMCX) Q3 2024 Earnings Call Highlights: Strategic Partnerships and Streaming ...

GuruFocus.com11-09

Free Cash Flow: Year-to-date free cash flow is $293 million. Revenue: Third quarter consolidated revenue was $600 million, a decrease of 3% excluding 25/7 Media in the prior period. Adjusted Operating...

Source Link

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

We need your insight to fill this gap

Leave a comment

{"i18n":{"language":"en_US"},"isChannel":false,"data":{"share":"https://ttm.financial/m/news/2482641250?lang=en_US&edition=fundamental","thumbnail":"https://s.yimg.com/uu/api/res/1.2/nAccpBLA2JPc3WWS7aKMmA--~B/aD0xMjg7dz0xMjg7YXBwaWQ9eXRhY2h5b24-/https://media.zenfs.com/en/us.finance.gurufocus/3b5c72d592b7ef2b00f9f1e921535bf2","is_english":true,"pubTime":"2024-11-09 15:08","share_image_url":"https://static.laohu8.com/5f26f4a48f9cb3e29be4d71d3ba8c038","id":"2482641250","market":"us","top_or_hot":-1,"title":"AMC Networks Inc (AMCX) Q3 2024 Earnings Call Highlights: Strategic Partnerships and Streaming ...","media":"GuruFocus.com","content":"<div>\n<p>Free Cash Flow: Year-to-date free cash flow is $293 million.\nRevenue: Third quarter consolidated revenue was $600 million, a decrease of 3% excluding 25/7 Media in the prior period.\nAdjusted Operating...</p>\n\n<a href=\"https://finance.yahoo.com/news/amc-networks-inc-amcx-q3-070848708.html\">Source Link</a>\n\n</div>\n","source":"yahoofinance","html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>AMC Networks Inc (AMCX) Q3 2024 Earnings Call Highlights: Strategic Partnerships and Streaming ...</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nAMC Networks Inc (AMCX) Q3 2024 Earnings Call Highlights: Strategic Partnerships and Streaming ...\n</h2>\n\n<h4 class=\"meta\">\n\n\n2024-11-09 15:08 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://finance.yahoo.com/news/amc-networks-inc-amcx-q3-070848708.html><strong>GuruFocus.com</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>Free Cash Flow: Year-to-date free cash flow is $293 million.\nRevenue: Third quarter consolidated revenue was $600 million, a decrease of 3% excluding 25/7 Media in the prior period.\nAdjusted Operating...</p>\n\n<a href=\"https://finance.yahoo.com/news/amc-networks-inc-amcx-q3-070848708.html\">Source Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","isBrief":false,"type":0,"news_type":1,"symbol":"AMCX","symbol_name":"AMC网络公司","start_time":0,"source_url":"https://finance.yahoo.com/news/amc-networks-inc-amcx-q3-070848708.html","article_id":"2482641250","we_media_id":null,"thumbnails":["https://s.yimg.com/uu/api/res/1.2/nAccpBLA2JPc3WWS7aKMmA--~B/aD0xMjg7dz0xMjg7YXBwaWQ9eXRhY2h5b24-/https://media.zenfs.com/en/us.finance.gurufocus/3b5c72d592b7ef2b00f9f1e921535bf2"],"rights":null,"url":"https://stock-news.laohu8.com/highlight/detail?id=2482641250","pubTimestamp":1731136128,"sourceInfo":{"source_id":"yahoofinance","name":"雅虎金融"},"weMediaInfo":null,"summary":"Free Cash Flow: Year-to-date free cash flow is $293 million.Revenue: Third quarter consolidated revenue was $600 million, a decrease of 3% excluding 25/7 Media in the prior period.Adjusted Operating Income : $131 million, representing a 22% margin.Domestic Operations Revenue: Decreased 2% to $530 million.Subscription Revenue: $316 million, decreased 5% due to linear subscriber declines.Streaming Revenue Growth: Increased 7%, ending the quarter with 11.8 million streaming subscribers.Content Licensing Revenue: Increased 31% to $81 million.Advertising Revenue: $133 million, declined 10% due to lower linear ratings.International Revenue: $74 million, decreased 6% excluding 25/7 Media in the prior period.Net Debt: Approximately $1.6 billion with a consolidated net leverage ratio of 3 times.Total Liquidity: Approximately $1 billion, including $816 million of cash on the balance sheet.AMC Networks Inc  reported significant progress in generating free cash flow, with $293 million year-to-date","collect":0,"end_time":0,"defaultTopTitle":"yahoo.com","property":["earning"],"viewcount":null,"language":"en","relate_stocks":{"AMCX":"AMC网络公司"},"translate_title":"AMC Networks Inc(AMCX)2024年第三季度收益看涨期权亮点：战略合作伙伴关系和流媒体……","themeId":null,"isJumpTheme":false,"ttsUrl":null,"symbols_score_info":{"AMCX":1},"content_text":"Free Cash Flow: Year-to-date free cash flow is $293 million.\nRevenue: Third quarter consolidated revenue was $600 million, a decrease of 3% excluding 25/7 Media in the prior period.\nAdjusted Operating Income (AOI): $131 million, representing a 22% margin.\nDomestic Operations Revenue: Decreased 2% to $530 million.\nSubscription Revenue: $316 million, decreased 5% due to linear subscriber declines.\nStreaming Revenue Growth: Increased 7%, ending the quarter with 11.8 million streaming subscribers.\nContent Licensing Revenue: Increased 31% to $81 million.\nAdvertising Revenue: $133 million, declined 10% due to lower linear ratings.\nInternational Revenue: $74 million, decreased 6% excluding 25/7 Media in the prior period.\nInternational Advertising Revenue Growth: Increased 16%.\nNet Debt: Approximately $1.6 billion with a consolidated net leverage ratio of 3 times.\nTotal Liquidity: Approximately $1 billion, including $816 million of cash on the balance sheet.\nFull Year Revenue Outlook: Expected to be approximately $2.4 billion.\nFull Year AOI Outlook: Expected to be $550 million to $575 million.\n\n\nWarning! GuruFocus has detected 3 Warning Signs with AMCX.\n\nRelease Date: November 08, 2024\nFor the complete transcript of the earnings call, please refer to the full earnings call transcript.\n Positive Points \n\nAMC Networks Inc (NASDAQ:AMCX) reported significant progress in generating free cash flow, with $293 million year-to-date, on track to achieve $0.5 billion over two years.\nThe company successfully renewed several major affiliate agreements, including an early renewal with Charter, enhancing its partnership strategy.\nAMC Networks Inc (NASDAQ:AMCX) launched an innovative partnership with Netflix, resulting in increased exposure and engagement for its content on the platform.\nThe company expanded its presence in FAST channels, launching 15 channels on Amazon platforms, which helps reach younger viewers and supplement linear distribution.\nAMC Networks Inc (NASDAQ:AMCX) acquired the remaining 50% of the BBC America joint venture, gaining full operational control and eliminating cash distributions to noncontrolling interests.\n\n Negative Points \n\nAMC Networks Inc (NASDAQ:AMCX) experienced a 3% decrease in consolidated revenue for the third quarter, excluding 25/7 Media in the prior period.\nSubscription revenue decreased by 5% due to linear subscriber declines, resulting in a 13% decline in affiliate revenue.\nAdvertising revenue declined by 10%, largely due to lower linear ratings, despite continued digital growth.\nThe company faces ongoing linear revenue headwinds, impacting its domestic operations adjusted operating income.\nAMC Networks Inc (NASDAQ:AMCX) is navigating a complex media environment with industry-wide secular trends affecting its business model.\n\n Q & A Highlights \nQ: Can you provide an update on the ad-supported tier for streaming and its impact on your subscriber base? A: Kim Kelleher, Chief Commercial Officer, explained that the ad-supported tier has shown promising growth since its launch last year. It is part of a targeted approach that combines digital inventory from various distributions, including FAST and AVOD. The strategy focuses on maintaining a first sales position across all platforms, which has led to consistent quarter-over-quarter growth in digital revenue. Kristin Dolan, CEO, added that they are comfortable with the current split between premium and ad-supported tiers, and the ad-supported option allows subscribers to flex down while keeping the service affordable.\nQ: How do you plan to utilize the rights to The Walking Dead when they return to AMC Networks? A: Kristin Dolan, CEO, mentioned that The Walking Dead is a significant part of their catalog, and they are planning strategically for its return. Dan McDermott, President of Entertainment & AMC Studios, added that having the full universe of Walking Dead shows will offer various monetization opportunities. They aim to be strategic in maximizing the value of these rights while serving the fans.\nQ: How do you balance being a studio and a distribution company, especially with the success of your content on platforms like Netflix? A: Kristin Dolan, CEO, emphasized the importance of new seasons on AMC+ for subscriber acquisition. Dan McDermott, President of Entertainment & AMC Studios, highlighted that owning content rights allows them to strategically sell to third-party platforms. They have successfully produced content like Silo for Apple and plan to continue building their library of assets while balancing distribution on their own platforms and others.\nQ: Can you elaborate on the growth in content licensing revenue and its sustainability? A: Kristin Dolan, CEO, clarified that Netflix is not the primary driver of content licensing growth. The strategy involves broad distribution and monetization of owned IP across various platforms. Kim Kelleher, Chief Commercial Officer, added that they focus on nonexclusive deals to monetize content multiple times, ensuring protection of content value by retaining premieres and new seasons.\nQ: What are the key factors contributing to your strong free cash flow performance, and are there any notable items for the fourth quarter? A: Patrick O'Connell, CFO, stated that the strong free cash flow is due to strategic management of the business and not necessarily tied to specific items. The two-year guidance of $0.5 billion in free cash flow reflects their confidence in achieving these numbers. Kristin Dolan, CEO, added that profitability is driven by refining and improving operations, not cuts, with a focus on efficient marketing and strategic use of data.\nFor the complete transcript of the earnings call, please refer to the full earnings call transcript.This article first appeared on \nGuruFocus.","kind":"highlight","is_publish_news":true,"is_publish_highlight":false,"is_publish_live":false,"is_publish_wemedia":null,"editions":null,"column":"","sentiment":"1","news_tag":"","news_rank":0,"symbols":[],"gpt_button":0},"commentList":[],"isCommentEnd":true,"newsSizeData":{"likeSize":0,"commentSize":0,"repostSize":0,"favoriteSize":0,"likeStatus":false,"favoriteStatus":false},"APP":{"userAgent":"Mozilla/5.0 AppleWebKit/537.36 (KHTML, like Gecko; compatible; ClaudeBot/1.0; +claudebot@anthropic.com)","isDev":false,"isTTM":true,"deviceId":"web-server-community-laohu8-v3","version":"4.29.3","shortVersion":"4.29.3","platform":"web","vendor":"web","appName":"ttm","isIOS":false,"isAndroid":false,"isTiger":false,"isTHS":false,"isWeiXin":false,"isWeiXinMini":false,"isWeiBo":false,"isQQ":false,"isBaiduSwan":false,"isBaiduBox":false,"isDingTalk":false,"isToutiao":false,"isOnePlus":false,"isHuaWei":false,"isXiaomi":false,"isXiaomiWebView":false,"isOppo":false,"isVivo":false,"isSamsung":false,"isMobile":false},"href":"/m/news/2482641250"}