ITV

Tag: third quarter

  • Disney+ Hotstar adds 8.3 mn subscribers in the quarter ended 2 July to reach 58.4 mn

    Disney+ Hotstar adds 8.3 mn subscribers in the quarter ended 2 July to reach 58.4 mn

    Mumbai: The Walt Disney Company on Wednesday revealed that Disney+ Hotstar added 8.3 million members during the quarter ended 2 July to reach 58.4 million paid subscribers. The company announced its financial results for the third quarter fiscal 2022.  

    Overall Disney+ subscribers have reached 152.1 million as compared to 138 million in the previous quarter, an addition of 14.4 million members. The company’s average revenue per paid subscriber for Disney+ Hotstar increased from $0.78 to $1.20 due to higher per-subscriber advertising revenue.

    The company’s performance defied market expectations with revenue for the quarter up by 26 per cent at $21.504 billion. For the nine-month period the growth was 28 per cent to $62.5 billion. Diluted earnings per share (EPS) from continuing operations for the quarter increased to $0.77 from $0.50 in the prior-year quarter. Net income from continuing operations rose by 53 per cent for the quarter and by 63 per cent for the nine-month period.

    Disney Media & Entertainment Distribution revenues were up by 11 per cent for the quarter to $ 14.1 billion. For the nine-month period it rose by 12 per cent to $42.3 billion. International Channels which come under this division saw revenues for the quarter increase by 7 per cent to $1.5 billion and operating income was comparable to the prior-year quarter at $0.2 billion reflecting lower operating income from channels that operated for the entire current and prior-year quarters (ongoing channels), offset by a benefit from channel closures.

    Lower results from ongoing channels were primarily due to an increase in sports programming costs, partially offset by ad revenue growth reflecting higher average viewership. The increases in sports programming costs and ad revenue were due to the airing of 64 Indian Premier League (IPL) cricket matches in the current quarter compared to 29 matches in the prior-year quarter. IPL cricket matches typically occur in the company’s second and third fiscal quarters. The increase in the number of matches in the current quarter was due to a shift in the timing of matches in the prior year from the third quarter to the fourth quarter as a result of COVID-19 and the IPL adding matches to the current season.

    In the direct-to-consumer segment programming and production costs and ad revenue growth was also due to the additional IPL matches in the current quarter. As had been reported earlier Disney-Star India retained the broadcast rights for the T20 league for five more years while it let go off digital rights due to cost considerations. Those rights went to Viacom18. Linear Networks revenues for the quarter increased by three per cent to $7.2 billion, and operating income increased by 13 per cent to $2.5 billion. Direct-to-Consumer revenues for the quarter increased 19 per cent to $5.1 billion and operating loss increased $0.8 billion to $1.1 billion. The increase in operating loss was due to a higher loss at Disney+, lower operating income at Hulu and, to a lesser extent, a higher loss at ESPN+.

    Disney CEO Bob Chapek said, “We had an excellent quarter, with our world-class creative and business teams powering outstanding performance at our domestic theme parks, big increases in live-sports viewership, and significant subscriber growth at our streaming services. With 14.4 million Disney+ subscribers added in the fiscal third quarter, we now have 221 million total subscriptions across our streaming offerings. We continue to transform entertainment as we near our second century, with compelling new storytelling across our many platforms and unique immersive physical experiences that exceed guest expectations, all of which are reflected in our strong operating results this quarter.”

    Content Sales/Licensing and Other revenues for the quarter increased by 26 per cent to $2.1 billion and segment operating results decreased from income of $132 million to a loss of $27 million. The decrease in operating results was due to an unfavourable foreign exchange impact and lower TV/SVOD and home entertainment distribution results. These decreases were partially offset by an increase at the stage play business, as productions were generally shut down in the prior-year quarter due to COVID-19, and higher theatrical distribution results.

    The decrease in TV/SVOD distribution results was due to a decrease in sales of theatrical film content primarily due to a shift from licensing content to third parties to distribution on the DTC services. The decrease in home entertainment results was due to lower unit sales of catalogue titles.

    The increase in theatrical distribution results was due to the strong performance of Doctor Strange In the Multiverse of Madness in the current quarter compared to Cruella in the prior-year quarter. Current quarter releases also included Lightyear and The Bob’s Burgers Movie.

    Disney Parks, Experiences and Products revenues for the quarter increased to $7.4 billion compared to $4.3 billion in the prior-year quarter. Segment operating income increased $1.8 billion to $2.2 billion compared to $0.4 billion in the prior-year quarter. Higher operating results for the quarter reflected increases at the US parks and experiences and, to a lesser extent, at international parks and resorts.

    Covid-19 Pandemic: The company said that measures to prevent its spread have impacted its segments in a number of ways, most significantly at the Disney Parks, Experiences and Products segment where its theme parks and resorts were closed and cruise ship sailings and guided tours were suspended. These operations resumed at various points since May 2020, initially at reduced operating capacities as a result

    of Covid-19 restrictions. In fiscal 2020 and 2021, it delayed, or in some cases, shortened or canceled, theatrical releases. In addition, it experienced significant disruptions in the production and availability of content, including the delay of key live sports programming during fiscal 2020 and fiscal 2021. In fiscal 2022, its US parks and resorts are operating without significant Covid-19- related capacity restrictions, such as those that were generally in place in the prior year.

    In addition, its cruise ships have generally been operating without Covid-19-related capacity restrictions since April 2022. Certain international parks and resorts continue to be impacted by Covid-19-related closures and capacity and travel restrictions. At the Disney Media and Entertainment Distribution segment, film and television productions have generally resumed, although the company has seen disruptions of production activities depending on local circumstances. Thus far, it has generally been able to release its films theatrically in fiscal 2022, although certain markets continue to impose restrictions on theater openings and capacity.

    The company added that it has incurred, and will continue to incur, costs to address government regulations and the safety of employees, guests and talent, of which certain costs are capitalised and will be amortised over future periods.

  • Dish TV India reports third-quarter revenue of Rs 7107 million

    Dish TV India reports third-quarter revenue of Rs 7107 million

    Mumbai: Dish TV India Ltd has reported its third-quarter fiscal 2022 results on Monday. The company reported operating revenue of Rs 7107 million for the quarter ended 31 December 20201. Its subscription revenue stood at Rs 6459 million, EBIDTA was Rs 4260 million and profit after tax was Rs 802 million.

    The company paid off debt of Rs 1031 million during the quarter with the resultant interest expense coming down by 57.9 per cent on a year-on-year basis. It had a closing debt of Rs 4535 million at the end of the quarter.

    In the third quarter, Dish TV India ramped up gross acquisitions to almost pre-pandemic levels, though continued dependence on exclusively internal funds restricted the ability of the business to go all out thus keeping net additions under pressure.

    “Consumers typically tend to step up spending during festivals with the season traditionally accounting for the majority of the annual revenues of businesses,” said the statement. “Expecting a similar trend and considering the earlier subdued demand due to repeated waves of the pandemic, Diwali 2021 witnessed aggressive marketing by consumer-focused companies. While higher marketing spends did help generate incremental acquisitions, consumer spending went below par once the pent-up demand was exhausted. Early cases of the third wave of the pandemic in mid-December too had a negative effect on consumption.”

    During the quarter, Dish TV India took a price hike of around 25 per cent on both its standard-definition and high-definition hardware. “With rural stress and inflationary pressures, price-sensitive customers at the bottom of the pyramid remained vulnerable to churn to the free DTH platform. Streaming platforms, as well as content bundling by telecom players, continued to give competition to DTH service providers,” said the statement.

    “As a category, DTH has been facing competition at various levels however the platform has the unique strengths that will continue to set it apart from other video platforms,” said Dish TV India Limited group CEO Anil Dua. “We remain committed to offering the best solution to our subscribers, be it in the linear or OTT space and hope to change the game with innovative offerings and winning partnerships.”

    The Telecom Regulatory Authority of India (Trai), on stakeholders’ request, recently extended the deadline for enforcing the new tariff order (NTO) 2.0 to 1 June from the earlier fixed deadline of 1 April.

    “The DTH industry has been working on the implementation of the new tariff order (NTO) keeping in mind the earlier deadline however the extended timeline will give us even more time to sort out any migration issues,” said Dish TV India Limited CMD Jawahar Goel. “We would also be watching the developments on the litigation front while simultaneously working towards implementation of the order.”

  • ALTBalaji adds 3.48 mn subscriptions in 9MFY22; direct sub revenue at Rs 45 cr

    ALTBalaji adds 3.48 mn subscriptions in 9MFY22; direct sub revenue at Rs 45 cr

    Mumbai: Balaji Telefilms announced its third quarter financial results for FY 2022. The company’s quarterly income from operations at the end of 31 December 2021 stood at Rs 76.2 crore. It posted a net loss after tax of Rs 26.4 crore for the quarter.

    The company reported that total subscriptions sold for their OTT platform ALTBalaji for the third quarter year-to-date FY22 stood at 3.48 million. The direct subscription revenue was recorded at Rs 45 crore.

    Engagement time on the video-on-demand platform was recorded at 82 minutes with a watch time of 15.45 billion in minutes. Till date, cumulative video views on the platform stands at 1.26 billion.

     ALTBalaji added 11 shows in the nine months and has taken the overall library to 89+ shows.

    The company said its TV business continued normal in the past nine months with 618 hours of production across seven shows and a strong pipeline for the year. “Three new shows have been lined up and should commence shortly,” said the company statement.

    The company also has five film projects in the pipeline. “Movie business resumed production and the company made good progress,” said the company adding that it continues to wait for availability for theatrical launch windows and looking at deals across direct to digital as well. As part of its strategy it continues to control investments in movies and pursue pre-sales and co-production deals where feasible.

    “ALTBalaji continues to drive subscription growth and we added 3.48 million subscriptions during the nine months,” said Balaji Telefilms managing director Shobha Kapoor. “We added 11 shows in the nine months and now have a solid line up for the rest of the year. Our strategic content sharing deals will ensure we control on the cash spend while driving overall profitability. Our TV business has shown good recovery in terms of production hours and we hope to improve this momentum as three new shows will commence. In the movie business, production for some exciting projects is at various stages of completion. We closely monitor the availability of theatrical releases and direct to digital launches. Overall, the year has been good and expected to continue the momentum.”

  • Sun TV Q3 revenue excluding IPL up 27.76% to Rs 975.16 crore

    Sun TV Q3 revenue excluding IPL up 27.76% to Rs 975.16 crore

    Mumbai: Sun TV Network has posted its results for the third quarter of FY 2022. The media company’s revenue for the quarter, excluding the IPL, has increased by 27.76 per cent year-on-year to Rs 975.16 crore. Its overall revenues were at Rs 1033.10 crore and saw a growth of 6.25 per cent versus the same period year-on-year (31 December 2020).

    The EBIDTA for the quarter grew by 20.18 per cent at Rs 721.87 crore and profit before taxes grew marginally by 2.90 per cent over the corresponding quarter ended 31 December 2020.

    The profit after taxes (excluding the IPL) stood at Rs 437.89 crore up by 14.44 per cent YoY and the overall profit after taxes grew by 3.52 per cent to Rs 457.39 crores as against the corresponding quarter year-on-year.

    The total comprehensive income for the quarter was up by 3.52 per cent at Rs 457.20 crore YoY. The earnings per share for the current quarter grew by 3.52 per cent at Rs 11.61 as against Rs 11.21 for the corresponding quarter ended 31 December 2020.

    Sun TV’s board of directors has declared an interim dividend of Rs 2.50 per share (50 per cent) on a face value of Rs five per share.

    During the current quarter, Sun Pictures had released the blockbuster film “Annaatthe” starring superstar Rajinikanth.

  • NDTV Group posts Rs 27.6 crore profit after tax in Q3 FY22

    NDTV Group posts Rs 27.6 crore profit after tax in Q3 FY22

    Mumbai; NDTV Group on Thursday posted its third-quarter financial results for FY 2022. The media company reported a profit after tax of Rs 27.6 crore. Its TV business reported a profit of Rs 17.3 crore for the third quarter.

    The group’s year-to-date profit stands at Rs 55.6 crore out of which its TV business generated Rs 41.4 crore.

    NDTV’s digital arm NDTV Convergence saw a profit of Rs 12.2 crore during the quarter. “This quarter is the company’s second-highest ever for profit after tax; the best quarter in this regard was within the last year, further establishing Convergence as a consistently profitable online content company which is delivering aggressive growth,” said the statement.

    The group reported that its external liabilities have decreased by Rs 69.2 crore so far in the financial year. Bank borrowings for the group have also shrunk by Rs 42.8 crore year-to-date.

    “These results have been achieved amid the many difficulties posed by the pandemic. NDTV’s reporters and production crews have performed outstandingly, often while being at some risk themselves, delivering the latest and most credible information from across the country on Covid developments; for this, the company is deeply grateful, as also extremely proud,” said the statement.

  • Zee Media’s Q3 operating revenue up 31.7 % to Rs 2,428.1 million

    Zee Media’s Q3 operating revenue up 31.7 % to Rs 2,428.1 million

    Mumbai: Zee Media on Thursday announced its consolidated revenues for the third quarter of FY 2022. The media conglomerate reported operating revenues of Rs 2,428.1 million up by 31.7 per cent year-on-year. The company had reported operating revenue of Rs 1,843.9 mn in Q3 during the previous year.

    The total consolidated revenue was reported to be Rs 6,191.3 mn upto the third quarter ended FY 2021-22. The operating expenditure increased by 33.9 per cent to Rs 1,553.1 mn in Q3FY22 from Rs 1,160.2 mn in Q3FY21, it said.

    The profit after tax (PAT) was recorded at  Rs 454.6 million which saw a growth of 31.9 per cent YoY. The company’s advertising revenues stood at Rs 2,317.1 million up by 33.7 per cent, while the subscription revenues remained flat at Rs 96.8 million.

    Zee Media operates 14 news channels comprising one global, three national and ten regional language channels and is one of the largest TV news networks in the country. Its Hindi news channel Zee News garners 279 million video views on YouTube.

    In January, the company expanded its regional footprint by launching four digital channels namely Zee Tamil News, Zee Telugu News, Zee Kannada News, and Zee Malayalam News.

    Its digital assets combined 17 brands in 11 languages which received 4.23 billion page views during the quarter and 328 million monthly active users (MAUs).

  • Sports not the only way to grow OTT business: Punit Goenka

    Sports not the only way to grow OTT business: Punit Goenka

    Mumbai: “Sports is not the only way to grow the OTT business,” remarked Zee Entertainment Enterprises Ltd (Zeel) MD and CEO Punit Goenka in an investor call on Wednesday. Zeel posted its third quarter financial results for the fiscal 2022. The company’s OTT platform Zee5 crossed 100 million monthly active users (MAUs) for the first time.

    While responding to a question on how acquisition of sports content will grow the OTT business, Goenka replied, “Until now we have not factored in sports in our OTT business. It is a faster way to grow the business but can it be done without sports? Certainly.”

    Streaming platform Zee5 posted impressive metrics during the quarter garnering 101.9 million MAUs and 9.6 million daily active users (DAUs) growing sequentially and over last year in terms of both MAUs and DAUs. The watch time on the platform also significantly improved to reach 201 minutes which is up by 15 minutes quarter-on-quarter. Zee5 released 51 shows out of which 11 were originals during the quarter.  The platform’s strong performance was registered on the back of a compelling slate of content launched during the quarter and enhanced user experience, said Goenka.

    Meanwhile, the merger process initiated between Sony Pictures Networks India and Zeel in December is making steady progress. The company noted that it will apply to National Company Law Tribunal (NCLT) after receiving necessary approvals for its scheme by the stock exchanges. Furthermore, the company will seek the approval for the scheme from the Competition Commission of India (CCI) in parallel.

    On the linear business side, all India viewership share of the network decreased by 40 bps to 17.3 per cent. During the quarter, the company launched 25+ shows across markets resulting in lower margins. “There have been significant investments in content this fiscal which in turn will reflect in our margins in the short term,” noted Goenka. “This is in line with the content strategy implemented across various genres. As we launch new shows across markets to drive viewership on the linear side we will post strong growth across viewer metrics.”

    “Advertising spending and consumer sentiment saw a significant boost in demand and we see this trend continue as we move forward,” he observed.

    Also read: Zeel reports Rs 21,126 million revenue in Q3’FY22 | Indian Television Dot Com

    Zeel posted an increase in revenues by seven per cent quarter on quarter but saw a slight decline of three per cent year on year in the third quarter of 2021. Both subscription and advertising revenues were lower compared to the same period last year.  

    “In the previous fiscal, we were recovering from a nationwide lockdown which had led to a huge pent-up demand,” explained Goenka. “On subscription revenue, the embargo on pricing has significantly impacted the overall growth across the industry. With NTO 2.0 implementation pushed to the next fiscal year, it is still too early to predict how FY 2023 will look.”

    He added, “In the last 12 months to 15 months the pay TV market has seen an erosion of 4.6 million households which have moved from pay TV to free to air and this is largely caused by the pandemic situation. That’s the cause of further degrowth in subscription revenues. The total TV business has reduced both in terms of reach and revenues on account of a slowdown in the movie business. The lack of fresh movie content for the last two years on the linear side has definitely had an impact. We’ve also had a cricket world cup which impacts movie viewership.

    Speaking about the impact of NTO 2.0 on subscription revenues he said, “It’s still too early to predict. We’re in an uncertain environment with regards to NTO 2.0 implementation. We need a 45-day window to implement and we’re already on 2 February. We must get a clear go ahead on implementation of NTO 2.0 by 15 February.”

    Zee Studios released five films during the quarter out of which one was Hindi and the rest were in regional languages. The movie business faced pandemic induced headwinds but overall opening of theatres and strong pipeline of films augured well for the movie industry at large, said Goenka. “Our studios business has a strong pipeline of films for the year ahead and we are hopeful that the third wave of the pandemic will subside soon, encouraging consumers to return to the big screen. We remain hopeful for an improvement in creative revenues for the subsequent three quarters.”  

    On the impact of the third wave, he said, “The third wave and surge of infections in 2022 could potentially have an impact on the fourth quarter results although it is too early to predict the outcome. The faster rate of recovery during this wave assures the quick resumption of services and activities across markets. We are hopeful that we will end the financial year registering steady growth across our businesses.”

    Zeel posted Rs 21,126 million in the quarter out of which advertising revenue stood at Rs 12,608 million and subscription revenue at Rs 7902 million. Zee5 posted quarterly revenues of Rs 1459 million which is up by 11.8 per cent quarter-on-quarter.

  • Hathway Cable reports gross revenues of Rs 455 cr for Q3 FY22

    Hathway Cable reports gross revenues of Rs 455 cr for Q3 FY22

    Mumbai: Hathway Cable and Datacom Ltd posted its third-quarter financial results for FY 2022. The company reported its gross revenue at Rs 455 crore an improvement of three per cent year-on-year.

    The company saw broadband revenue of Rs 154.9 crore and cable TV (CATV) revenue of Rs 300.1 crore. It posted EBITDA of Rs 122.7 crore and EBITDA margin at 27 per cent.

    CATV business

    In the last two years, the company has created an extensive incremental infrastructure for market share gain with focus on Southern and Eastern states. “We have connected over 250 new locations with IP links and added 3,000 KMs of fiber network,” it said in a statement.

    The company has piloted a new generation of HD set-top boxes that allow the casting of OTT apps. Hathway Cable TV customers can now access OTT content without any need to buy an additional box. It also piloted a TV plug using which it can provide reliable last mile cable TV connectivity from a mobile tower network. The company has a presence in more than 109 cities and major towns with 5.5 million STBs deployed and 46,000 kms of the fiber cable network.

    ISP business

    The company saw strong FTTH customers acquisition during Q3 FY 22 with net additions of 24,000 FTTH customers. FTTH consumers now account for up to 65 per cent of overall ISP consumers and 70 per cent of ISP revenue.

    The company has 1.08 million broadband subscribers and sees an average consumption of 223 Gb. It has completed next-generation Docsis upgradation in all cities resulting in 70 per cent decline in Docsis speed complaints and 64 per cent of Docsis consumers have been upgraded to 100 mbps speed plans. The company has 76 per cent redundancy in FTTH PON ports up to the splitter level achieved as of December 2021. It saw an average of a single complaint per year per consumer regarding any FTTH service issue. FTTH capacity has been augmented to accommodate 1.2 lakh consumers.

  • Time Warner numbers up for third quarter

    Time Warner numbers up for third quarter

    BENGALURU: Time Warner Inc., (Time Warner) reported increase in revenues and income – both operating as well as adjusted – due to increase across these parameters by all its segments – Turner, Home Box Office (HBO) and Warner Bros. The company’s total revenue increased 6 percent for the quarter ended 30 September 2017 (Q3-17, current quarter) to $7,595 million from $7,167 million for the corresponding year ago quarter (y-o-y). Total operating income increased 11.5 percent y-o-y in the current quarter to $2,245 million from $2,014 million. Total adjusted operating income increased 13 percent y-o-y to $2,339 million from $2,070 million. It may be noted that the company continues to expect its pending merger with AT&T to close before yearend 2017.

    Time Warner chairman and CEO Jeff Bewkes said, “We delivered very strong third-quarter results, keeping us on track to achieve our objectives for 2017. Both Turner and Home Box Office achieved double-digit gains in Subscription revenues, including HBO’s highest quarterly growth in 13 years, while Warner Bros. had a terrific quarter in theatrical, which all contributed to us increasing Operating Income by 11 percent and Adjusted Operating Income by 13 percent. Warner Bros.’ latest blockbuster, It, followed other box office successes, including Annabelle: Creation, Dunkirk and Wonder Woman, which have earned Warner Bros. the #1 spot at the domestic box office so far this year. Turner boasted the #1 comedy across all television among adults 18-34 with Adult Swim’s Rick and Morty and TNT’s NBA Opening Night doubleheader averaged 4.9 million total viewers, up 53 percent compared to last year. CNN also maintained its strength as the #1 news network among adults 18-49 in both primetime and total day, and had its most-watched third quarter ever among total viewers.”

    Bewkes continued: “Home Box Office’s creative excellence was again recognized at the Primetime Emmy Awards where HBO received more Primetime Emmys than any other network for the 16th consecutive year. The seventh season of Game of Thrones concluded during the quarter with an average of 33 million viewers, a record for an HBO original series. Our results and these highlights reflect our continued focus on executing our strategy, which includes both creating the most engaging content and advancing the ways that consumers can enjoy and experience our content and brands across platforms. The ability to accelerate our pace of innovation and connect more directly with consumers are among the reasons we are excited about our proposed merger with AT&T, which remains on track to close before year end, pending regulatory review and consents.”

    Segment results

    Turner

    The segment reported 6.1 percent ($158 million) y-o-y increase in revenue for the current quarter to $2,678 million from $2,610 million. Operating income for the segment increased 7 percent to $1,243 million in Q3-17 from $1,162 million in Q3-16. Adjusted operating income increased 5.3 percent y-o-y in the current quarter from $1,267 million from $1,203 million.

    Time Warner says that revenue at Turner increased due to increases of 13 percent ($186 million) in subscription revenues and 4 percent ($5 million) in content and other revenues, partially offset by a decline of 3 percent ($33 million) in advertising revenues. Subscription revenues benefited from higher domestic rates and growth at Turner’s international networks, partially offset by lower domestic subscribers.Content and other revenues increased due to higher licensing revenues. The decline in advertising revenues was due to lower delivery at certain domestic networks, partially offset by increases at Turner’s news businesses.

    The company says that operating income at Turner increased ($81 million) to $1.2 billion due to the growth in revenues partially offset by higher expenses, including increased programming and marketing costs. Programming expenses grew 8 percent primarily due to higher original programming costs at Turner’s domestic entertainment networks. Marketing expenses increased mainly to support original series on Turner’s domestic entertainment networks.

    Home Box Office (HBO)

    HBO revenue increased 12.6 percent ($179 million) y-o-y in Q3-17 to $1,605 million from $1,426 million. Operating profits increased in Q3-17 by 4.2 percent y-o-y to $552 million from $530 million. Adjusted operating profits increased in the current quarter by 6.6 percent y-o-y to $565 million from $530 million.

    Time Warner says that HBO revenue increased due to increases of 12 percent ($156 million) in subscription revenues and 14 percent ($23 million) in content and other revenues. Subscription revenues increased due to higher domestic subscribers and rates and international growth. The increase in content and other revenues was primarily due to higher international licensing and home entertainment revenues.

    Operating income at HBO increased 4 percent ($22 million) to $552 million. The growth in revenues more than offset increased expenses, including higher marketing and programming costs. Programming expenses increased 7 percent due to higher original programming costs, primarily related to the timing of original series. The increase in marketing costs was related to HBO’s OTT products and original programming.

    Warner Bros.

    Warner Bros. is Time Warner’s largest segment in terms of contribution to overall revenue. Warner Bros revenue increased 1.7 percent y-o-y in the current quarter to $3,460 million from $3,402 million. Operating profit increased 25.7 percent to $538 million from $428 million. Adjusted operating profit increased 33 percent to $576 million from $433 million.

    Time Warner says that Warner Bros. revenue increase of the segment reflected higher theatrical and videogames revenues partially offset by lower television revenues. Theatrical revenues increased due to higher home entertainment and television licensing revenues of theatrical product. Videogames revenues increased primarily due to carryover revenue from Injustice 2. The decrease in television revenues was mainly related to lower initial telecast revenues. 5

    Operating Income at Warner Bros. increased due to the increase in revenues and higher contributions from this quarter’s box office releases, including It and Annabelle: Creation, as well as lower print and advertising costs due to fewer releases.