AMC Networks Inc. (NASDAQ:AMCX) Q4 2021 Earnings Conference Call February 16, 2022 8:30 AM ET Company Participants Nick Seibert - Investor Relations Matt Blank - Interim Chief Executive Officer Chris Spade - Chief Operating Officer and Chief Financial Officer Miquel Penella - President, Streaming Services Conference Call Participants Michael Morris - Guggenheim Robert Fishman - MoffettNathanson Steven Cahall - Wells Fargo Operator Ladies and gentlemen, thank you for standing by and welcome to the AMC Networ ...

Financial Data and Key Metrics Changes - AMC Networks reported record revenue of $811 million for Q3 2021, a 24% increase from the previous year, driven by higher content licensing, streaming, and advertising revenues [27] - Adjusted operating income for the quarter was $225 million, reflecting a 21% growth [27] - Adjusted earnings per share were $2.68 [27] Business Line Data and Key Metrics Changes - Streaming subscribers increased by 74% year-over-year, while streaming revenue grew by 83% [28] - Domestic Operations revenue rose to $683 million, a 25% increase from the prior year, with adjusted operating income of $231 million, representing 12% growth [28] - International and Other segment revenue increased by 17% to $130 million, with adjusted operating income rising 148% to $22 million [31] Market Data and Key Metrics Changes - Domestic Operations advertising revenue increased by 22% to $200 million, supported by strong original content and digital audience monetization [30] - Content licensing revenue surged by 60% in Q3 2021, benefiting from an increase in original content distributed [29] Company Strategy and Development Direction - The company aims to reach 9 million paid streaming subscribers by the end of 2021 and projects 20 to 25 million subscribers by 2025, focusing on targeted streaming services [5][6] - AMC Networks emphasizes a unique approach to streaming, avoiding competition with larger services and focusing on niche markets [8][16] - Continued investment in brand building and content is crucial for future growth, with a strong content slate planned for 2022 [12][21] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving updated financial goals for 2021, setting a strong foundation for 2022 and beyond [33] - The COVID-19 pandemic has accelerated the transition to streaming, providing significant growth opportunities for targeted services [17] - The company is optimistic about leveraging its extensive library of IP and franchises to enhance content offerings [15][16] Other Important Information - Free cash flow for Q3 2021 was an outflow of $101 million, primarily due to increased programming investments [32] - The company maintains a net debt of approximately $2 billion and a consolidated net leverage ratio of 2.4x [32] Q&A Session Summary Question: Importance of distribution agreements for streaming targets and overseas expansion strategy - Management acknowledged that marketing partnerships like the Verizon deal are crucial for subscriber growth, with plans for international expansion in various markets [35][36] Question: Content investment growth expectations amid market saturation - Management confirmed a commitment to aggressive programming without engaging in cost competition with larger players, focusing on sustainable content investment [39][40] Question: International content licensing and advertising partnerships - Management indicated plans to optimize linear performance relative to content licensing deals, with a focus on exclusivity for streaming platforms [43][44] - The partnership with The Trade Desk and Magnite for targeted programmatic advertising was highlighted as a significant opportunity for innovation in advertising [42][45] Question: Unit economics of the streaming business and potential for scale - Management compared the current streaming model favorably to previous experiences, emphasizing strong margins and sustainable growth without the need for acquisitions [47][50] Question: Changes in management strategy and content slate comparison - Management expressed confidence in the existing strategy and highlighted the robust content slate for 2022 as the strongest in the company's history [53][55]

AMC Networks, Inc. (NASDAQ:AMCX) Q2 2021 Earnings Conference Call August 6, 2021 8:30 AM ET Company Participants Nick Seibert - IR Josh Sapan - President and CEO Ed Carroll - COO Chris Spade - CFO Conference Call Participants Tim Nollen - Macquarie Michael Nathanson - Moffett Thomas Yeh - Morgan Stanley Michael Morris - Guggenheim Steven Cahall - Wells Fargo Operator Good day, and thank you for standing by. Welcome to the AMC Networks' Second Quarter 2021 Earnings Conference Call. At this point, I would lik ...

AMC Networks Inc. (NASDAQ:AMCX) Q1 2021 Earnings Conference Call May 7, 2021 8:30 AM ET Company Participants Nick Seibert - IR Josh Sapan - President and CEO Christina Spade - CFO Ed Carroll - COO Conference Call Participants Kutgun Maral - RBC Capital Markets Tim Nollen - Macquarie Michael Nathanson - MoffettNathanson Thomas Yeh - Morgan Stanley Michael Morris - Guggenheim Steven Cahill - Wells Fargo Operator Good day and thank you for standing by. Welcome to the AMC Networks First Quarter 2021 Earnings Ca ...

Financial Data and Key Metrics Changes - For the full year 2020, total company revenues declined 8% to $2.8 billion, with total company adjusted operating income at $767 million and free cash flow of $686 million [26][27] - In Q4 2020, total company revenue was $780 million, representing a decline of 1%, while adjusted operating income was $133 million [28] - The company reported $122 million in impairment charges, $86 million in programming expense write-downs, and $35 million in restructuring charges for the full year [27][35] Business Line Data and Key Metrics Changes - National Networks' revenues decreased 12% to $2.1 billion for the full year, with advertising revenue down 11% to $802 million [29][30] - International and Other revenues grew 2% to $747 million for the full year, with streaming revenue increasing 85% [32] - In Q4, National Networks' revenue decreased 3%, while International and Other revenue grew 8% to $216 million, driven by accelerating subscription streaming revenue [30][33] Market Data and Key Metrics Changes - The streaming run rate revenue increased from approximately $125 million at year-end 2019 to approximately $300 million at the end of 2020 [9][32] - The company anticipates over nine million paid subscribers by year-end 2021 and between 20 million to 25 million by 2025 [9][38] - The advertising market showed improvement in Q4, benefiting from special programming events and a strong scatter market [28][18] Company Strategy and Development Direction - The company aims to grow its streaming services, which are now the most significant growth area, and plans to expand internationally [10][14] - AMC Networks focuses on targeted content areas, such as British dramas and horror, to differentiate itself from larger general entertainment streaming services [12][13] - The strategy includes leveraging strong relationships with distributors and enhancing digital advertising opportunities [11][19] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to navigate the challenges posed by the pandemic and highlighted the importance of their content strategy [8][23] - The company expects 2021 to be a critical year for growth, with a focus on monetizing strong content across various platforms [23][38] - Management noted that the streaming services have a fundamentally different economic profile compared to general interest streaming services, which is expected to lead to better profitability [44][76] Other Important Information - The company repurchased 14.8 million shares for $354 million in 2020, with an average repurchase price of $23.91 per share [36] - The company fully monetized its stake in FuboTV, realizing gross cash proceeds of $96 million in January 2021 [37] - The company plans to invest in programming and marketing to support streaming revenue growth, expecting free cash flow to approximate $200 million in 2021 [38] Q&A Session Summary Question: Can you expand on the sequential improvement in affiliate revenues at the National Networks? - Management highlighted the changing nature of relationships with MVPD partners, emphasizing a new harmony that includes both linear and streaming discussions [42] Question: Can you share any updated views on streaming profitability? - Management noted that their streaming services have a different economic model, allowing for better profitability compared to general interest services [44] Question: Can you provide more detail on windowing content? - Management explained that windowing strategies vary by content and are guided by value for consumers [48] Question: How do you expect ARPU to trend over time? - Management expressed confidence in the stickiness of subscribers and the potential for ARPU growth as they expand their targeted services [63] Question: What are your thoughts on addressable advertising? - Management indicated that strong partnerships are essential for expanding addressable advertising, which has shown promising results in initial campaigns [68]