Discovery: “2017 was an historic year”
February 27, 2018
Discovery Communications has reported financial results for the full year and fourth quarter ended December 31st 2017.
“2017 was an historic year for Discovery. We took significant steps to position ourselves for success in a changing industry, while driving growth from our traditional linear business and accelerating our investments in new growth areas like digital and mobile in an effort to reach superfans on every screen,” said David Zaslav, President and CEO, Discovery Communications. “Solid global advertising and distribution revenue growth helped us achieve our 2017 strategic and financial objectives. Additionally, we remain excited by the prospects for a combined Discovery and Scripps Networks.”
Full Year Results
Full year revenues of $6.8 billion increased 6 per cent compared to the prior year primarily due to 8 per cent growth at International Networks and 5 per cent growth at US Networks, partially offset by a slight decline at Education and Other. Adjusted Operating Income Before Depreciation and Amortisation (“OIBDA”) increased 5 per cent to $2.5 billion primarily due to 5 per cent growth at US Networks, 3 per cent growth at International Networks, and a profit at Education and Other compared to a loss in the prior year, partially offset by higher corporate costs. Excluding currency effects and the impact of the The Enthusiast Network (TEN) and Oprah Winfrey Network (OWN) transactions, total Company revenues and Adjusted OIBDA both grew 4 per cent.
Fourth Quarter Results
Fourth quarter revenues of $1.8 billion increased 11 per cent compared to the prior year due to 13 per cent growth at International Networks, 10 per cent growth at US Networks and slight growth at Education and Other. Adjusted OIBDA increased 10 per cent to $636 million due to 9 per cent growth at International Networks, 7 per cent growth at US Networks, and a profit at Education and Other compared to a loss in the prior year, partially offset by higher corporate costs. Excluding currency effects and the consolidation of TEN and OWN, fourth quarter total Company revenues and Adjusted OIBDA grew 5 per cent and 9 per cent, respectively.