'Jersey Shore' departure hurts Viacom's pockets
The media company suffers from the loss of the hit show as well as waning viewership at kids' network Nickelodeon.
Viacom (VIA) is waking up from a "Jersey Shore" hangover. After six seasons of the hit MTV show, Viacom in December said goodbye to Snooki, Pauly D and the rest of the cast -- as well as the show's lucrative advertising dollars.
The impact of the show's departure is one of many issues that will weigh down Viacom's revenue growth this quarter, according to the Wall Street Journal. Advertising sales growth will be "very close to being flat" in the current quarter, chief executive Philippe Dauman said during the company's conference call on Thursday.
Still that would mark an improvement from the quarter ended Dec. 31, when ad sales dipped 6%. Overall revenue fell 16%, hurt by weak results in its movie unit, while net income doubled because of a one-time item that had crimped the year-earlier results.
"Jersey Shore" was "a game-changing look for MTV, but it also precipitated an overemphasis on one night," Dauman said on the conference call.
Viacom is looking to revive its cable networks' ratings with all young audiences, ranging from preschoolers to college kids.
On the MTV front, Dauman highlighted the new show "Buckwild," about a group of young West Virginians that's been described as "Jackass" crossed with "Jersey Shore."
Viacom's also suffering from problems at Nickelodeon, which Dauman specifically called out on the call with investors and analysts.
Nickelodeon has suffered from viewership losses since 2011, although ratings declines have improved recently, the Journal notes. The network is investing in new content such as its new take on "Teenage Mutant Ninja Turtles" and the animated series "Peter Rabbit."
The children's network, Dauman noted, is hitting "the generational reset button."
More on moneyNOW
way to go viacom - betcha you'd sell your mother out if it were for a rating...
dchbag mther fckers!
Copyright © 2014 Microsoft. All rights reserved.
Fundamental company data and historical chart data provided by Morningstar Inc. Real-time index quotes and delayed quotes supplied by Morningstar Inc. Quotes delayed by up to 15 minutes, except where indicated otherwise. Fund summary, fund performance and dividend data provided by Morningstar Inc. Analyst recommendations provided by Zacks Investment Research. StockScouter data provided by Verus Analytics. IPO data provided by Hoover's Inc. Index membership data provided by Morningstar Inc.
[BRIEFING.COM] The stock market ended the holiday-shortened week on a mixed note as the Dow Jones Industrial Average shed 0.1%, while the S&P 500 added 0.1% with seven sectors posting gains.
Equity indices faced an uphill climb from the opening bell after disappointing quarterly results from Google (GOOG 536.10, -20.44) and IBM (IBM 190.04, -6.36) weighed on the early sentiment. Google reported earnings $0.15 below the Capital IQ consensus estimate on revenue of $15.42 ... More
More Market News
Serious issues like drought and the deterioration of the developed world spell opportunity for this industry leader.
MUST-SEE ON MSN
- Video: Easy DIY smoked meats at home
A charcuterie master shares his process for cold-smoking meat at home.
- Jetpacks about to go mainstream
- Weird things covered by home insurance
- Bing: 70 percent of adults report 'digital eye strain'