Financial Data and Key Metrics Changes - Consolidated net revenue decreased by 7% year over year to $555 million [21] - Consolidated AOI declined by 30% to $104 million, with a margin of 19% [21] - Adjusted EPS was reported at $0.52 [21] - Free cash flow for the quarter was $94 million, on track to achieve approximately $220 million for the full year [20][32] Business Line Data and Key Metrics Changes - Domestic operations revenue decreased by 7% to $486 million, with subscription revenue down by 3% due to a 12% decline in affiliate revenue, partially offset by 8% growth in streaming revenue [21][22] - Advertising revenue in domestic operations decreased by 15% year over year, primarily due to lower linear ratings [26] - International revenue decreased by 7% to $70 million, with subscription revenue down by 12% due to the non-renewal with Movistar in Spain [28] Market Data and Key Metrics Changes - Streaming subscribers remained flat at 10.2 million compared to the prior year, with a slight decline from 10.4 million at the end of 2024 [24][25] - Advertising revenue from streaming is still in the low single digits but provides incremental revenue opportunities [50] Company Strategy and Development Direction - The company focuses on programming, partnerships, and profitability, emphasizing the generation of free cash flow [6][34] - Plans to launch an ad-supported version of Shudder and a new fast channel, Acorn TV Mysteries, to enhance audience engagement and advertising opportunities [10][12] - The company is committed to maintaining a strong balance sheet with no bond maturities until 2029 and over $1 billion in total liquidity [30] Management's Comments on Operating Environment and Future Outlook - Management remains optimistic about the advertising market despite macroeconomic uncertainties, noting strong engagement with advertising partners [26][34] - The company anticipates revenue growth from streaming due to pricing actions and new series debuts [60][62] - Management acknowledges challenges in the linear advertising market but believes in the strength of their programming and advanced advertising capabilities [64] Other Important Information - The company has made refinements to its streaming subscriber definitions to better reflect its distribution strategy [22] - The company is focused on creating high-quality programming while maintaining cost efficiency [72] Q&A Session Summary Question: Can you tell us about the streaming subscribers coming in through bundled video packages? - Management expressed satisfaction with the integration with Charter and the anticipated take rates for embedded streaming services [37] Question: Are you seeing any risk of cannibalization on the a la carte side? - Management believes that expanding distribution will create a healthier video ecosystem and additional revenue opportunities [40] Question: How much of your advertising is coming from streaming? - Streaming advertising contributes incremental revenue, with a focus on integrated partnerships [50] Question: When will you lap the subscription revenue issues from the Spanish drop? - Management indicated that the impact of the non-renewal with Movistar was anticipated and plans are in place to offset revenue changes [51][53] Question: What are your expectations for content spend and amortization this year? - Management stated that cash content spend is expected to be slightly down, but the volume of productions remains flat year over year [69]

Core Viewpoint - AMC Networks reported quarterly earnings of $0.52 per share, missing the Zacks Consensus Estimate of $0.73 per share, and down from $1.16 per share a year ago, indicating a significant earnings surprise of -28.77% [1][2] Financial Performance - The company posted revenues of $555.23 million for the quarter ended March 2025, missing the Zacks Consensus Estimate by 3.11%, and down from $596.46 million year-over-year [2] - Over the last four quarters, AMC Networks has surpassed consensus EPS estimates only once and topped consensus revenue estimates two times [2] Stock Performance - AMC Networks shares have declined approximately 37.5% since the beginning of the year, contrasting with the S&P 500's decline of -3.7% [3] - The current Zacks Rank for AMC Networks is 4 (Sell), indicating expectations of underperformance in the near future [6] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $0.67 on revenues of $589.02 million, and for the current fiscal year, it is $2.31 on revenues of $2.31 billion [7] - The trend for estimate revisions ahead of the earnings release was unfavorable, which may impact future stock movements [6] Industry Context - The Broadcast Radio and Television industry, to which AMC Networks belongs, is currently ranked in the top 38% of over 250 Zacks industries, suggesting a relatively strong industry performance [8]

Financial Data and Key Metrics Changes - Consolidated net revenue decreased by 7% year over year to $555 million [21] - Consolidated AOI declined by 30% to $104 million, with a 19% margin [21] - Adjusted EPS was reported at $0.52 [21] - Free cash flow for the quarter was $94 million, on track to achieve approximately $220 million for the full year [20][31] Business Line Data and Key Metrics Changes - Domestic operations revenue decreased by 7% to $486 million, with subscription revenue down by 3% due to a 12% decline in affiliate revenue, partially offset by 8% growth in streaming revenue [21][22] - Advertising revenue in domestic operations decreased by 15% year over year, primarily due to lower linear ratings [25] - International revenue for the first quarter was $70 million, down 7%, with subscription revenue decreasing by 12% due to the non-renewal with Movistar in Spain [27] Market Data and Key Metrics Changes - Streaming subscribers at the end of the quarter were 10.2 million, flat compared to the prior year, with a slight decline from 10.4 million at the end of 2024 [24] - Advertising revenue from streaming is still in the low single digits but provides incremental revenue opportunities [48][49] Company Strategy and Development Direction - The company is focused on programming, partnerships, and profitability, emphasizing the generation of free cash flow [5][32] - Strategic initiatives include launching ad-supported versions of AMC Plus and Shudder, and expanding partnerships with distributors like Charter and Comcast [7][10] - The company aims to enhance its content distribution ecosystem and improve viewer experience through partnerships [36][38] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's strategic direction despite macroeconomic uncertainties affecting the advertising market [32] - The company anticipates streaming revenue growth to accelerate as the year progresses, driven by pricing actions and new series debuts [25][31] - Management remains vigilant regarding potential impacts from the advertising market but has not seen meaningful indicators suggesting a material pullback [32][44] Other Important Information - The company has a healthy cash position with net debt of $1.5 billion and a consolidated net leverage ratio of 2.9 times [29] - The company has no bond maturities until 2029 and maintains over $1 billion in total liquidity [29] Q&A Session Summary Question: Can you tell us about the streaming subscribers coming in through bundled video packages? - Management is pleased with the integration with Charter and the anticipated take rates for embedded streaming services [35] Question: Are you seeing any risk of cannibalization on the a la carte side? - Management believes that expanding distribution will create a healthier video ecosystem and additional revenue opportunities [38] Question: How much of your advertising is coming from streaming? - Streaming advertising delivers incremental revenue, and the company is confident in its genre-based services [49] Question: When will you lap the subscription revenue issues from the Spanish drop? - Management anticipates growth in the Spanish market with other partners and is optimistic about future relationships with Movistar [50][51] Question: What do you expect content spend and content amortization to be this year? - Content amortization is expected to be slightly lower year over year, with cash content spend also down slightly [69]

Core Insights - AMC Networks reported a 7% decline in total revenue year-over-year, amounting to $555.2 million, with adjusted earnings per share at 52 cents, significantly lower than the previous year's quarter [1] Financial Performance - The company's advertising revenue fell 15% to $119 million, while affiliate revenue decreased by 12% to $156 million, attributed to basic subscriber declines and contractual rate decreases [4] - Content licensing revenue dropped 13% to $54 million, influenced by tough comparisons with the previous year when there was a boost from the sale of rights to "Killing Eve" [5] Streaming Metrics - AMC Networks' streaming subscriber count remained flat at 10.2 million compared to the same period last year, and decreased slightly from 10.4 million in the previous quarter [2] - The company has revised its method of counting streaming subscribers, excluding those from pay-TV or broadband bundles, which may have impacted the reported subscriber numbers [2] - Despite the downturn in subscribers, the company noted improvements in retention and viewing hours per subscriber, indicating a focus on higher-quality customers [3] Stock Performance - Shares of AMC Networks have declined by 37% in 2025, trading at $6.19, close to all-time lows [5]

Financial Performance - Net revenues for the first quarter of 2025 were $555.2 million, a decrease of 6.9% compared to $596.5 million in the same period of 2024[4] - Operating income fell to $64.2 million, down 41.7% from $110.2 million year-over-year[4] - Adjusted operating income was $104.5 million, representing a 29.9% decline from $149.1 million in the prior year[4] - Diluted earnings per share (EPS) decreased by 67.0% to $0.34, while adjusted EPS fell 55.2% to $0.52[4] - Free cash flow for the quarter was $94.2 million, down 34.7% from $144.1 million in Q1 2024[4] - Net income attributable to AMC Networks' stockholders was $18,049, a decline of 60.6% from $45,803 in Q1 2024[30] - Basic net income per share decreased to $0.40, down from $1.04 in the prior year[30] - For the three months ended March 31, 2025, the company reported a net income of $(15.336) million, resulting in a diluted EPS of $0.34[43] - Adjusted results for the same period showed an increase in net income to $29.224 million, with an adjusted diluted EPS of $0.52[43] - In comparison, for the three months ended March 31, 2024, the company reported a net income of $(23.649) million, with a diluted EPS of $1.03[44] - The adjusted results for Q1 2024 indicated a net income of $51.524 million, leading to an adjusted diluted EPS of $1.16[44] Revenue Breakdown - Streaming revenues increased by 8% to $157 million, while domestic operations revenues decreased by 7% to $486.3 million[5][8] - International revenues decreased by 7.5% to $69.9 million, with subscription revenues down 12% to $45 million due to a non-renewed distribution agreement in Spain[7][9] Cash Flow and Debt - Free cash flow for Q1 2025 was $94,185, compared to $144,149 in Q1 2024, reflecting a decrease of 34.7%[39] - Cash and cash equivalents increased to $870,229, up from $784,649 at the end of 2024[33] - Total debt as of March 31, 2025, was $2,361,260, with net debt at $1,491,031[35] - The company reported a leverage ratio of 2.9x as of March 31, 2025[35] - AMC Networks is in compliance with all financial covenants under its credit facility as of March 31, 2025[37] Restructuring and Costs - Restructuring initiatives included cash payments of $5.4 million for severance and employee-related costs for Q1 2025, compared to $3.5 million in Q1 2024[40] - The company incurred $0.4 million in content impairments and other exit costs for Q1 2025, while it was $1.3 million for Q1 2024[40] - Amortization of acquisition-related intangible assets for Q1 2025 was $7.795 million, down from $8.556 million in Q1 2024[43][44] - The company is focusing on restructuring and other related charges, which amounted to $4.790 million in Q1 2025[43] Strategic Initiatives - The company launched ad-supported AMC+ for Spectrum TV Select customers and expanded its FAST channels business with a new channel, Acorn TV Mysteries[5]

Core Viewpoint - AMC Networks Inc. reported a decline in financial performance for the first quarter of 2025, with significant decreases in net revenues, operating income, and earnings per share, while maintaining a focus on expanding its streaming services and content offerings [2][5][6]. Financial Highlights - Net revenues for Q1 2025 were $555.2 million, down 6.9% from $596.5 million in Q1 2024 [5]. - Operating income decreased by 41.7% to $64.2 million from $110.2 million year-over-year [5]. - Adjusted operating income fell 29.9% to $104.5 million compared to $149.1 million in the previous year [5]. - Diluted earnings per share (EPS) dropped 67.0% to $0.34 from $1.03, while adjusted EPS decreased 55.2% to $0.52 from $1.16 [5]. - Free cash flow was reported at $94.2 million, a decline of 34.7% from $144.1 million in Q1 2024 [5]. Operational Highlights - The company launched ad-supported AMC+ for Charter customers and expanded its FAST channels business [6]. - "Dark Winds" returned for its third season with approximately 2.2 million viewers on premiere night, leading to increased AMC+ subscriber acquisition [6]. - The Anne Rice Immortal Universe continues to gain momentum with new series launches and renewals [6]. - AMC Networks is enhancing its advertising opportunities, particularly in the horror genre, with the upcoming ad-supported launch of Shudder [6]. Segment Results - Domestic operations reported net revenues of $524.2 million, a decrease of 7.2% from $486.3 million in Q1 2024 [7]. - International segment revenues were $75.6 million, down 7.5% from $69.9 million year-over-year [8]. - Subscription revenues in domestic operations decreased by 3% to $313 million, while streaming revenues increased by 8% to $157 million [9]. Changes in Subscriber Reporting - The company updated its definition of "streaming subscribers" to include only those who register on an a la carte basis, resulting in a slight decline in reported subscribers to 10.2 million as of March 31, 2025, compared to 10.4 million at the end of 2024 [9][11]. Stock Repurchase Program - The Board of Directors authorized a stock repurchase program of up to $1.5 billion, with $135 million remaining for repurchase as of March 31, 2025 [18].

Group 1 - AMC Networks (AMCX) is projected to announce quarterly earnings of $0.73 per share, reflecting a decline of 37.1% year over year [1] - Revenues are expected to reach $573.03 million, a decrease of 3.9% from the same quarter last year [1] - The consensus EPS estimate has remained unchanged over the last 30 days, indicating analysts have reassessed their initial estimates [1][2] Group 2 - Domestic Operations revenues are projected to be $502.98 million, indicating a year-over-year change of -4.1% [4] - Revenues from International and Other operations are expected to reach $72.88 million, reflecting a year-over-year decline of 3.6% [4] - Adjusted Operating Income for Domestic Operations is estimated at $125.72 million, down from $162.32 million a year ago [5] Group 3 - Adjusted Operating Income for International and Other operations is projected to be $13.64 million, slightly up from $13.40 million reported in the same quarter last year [5] - AMC Networks shares have shown returns of +8% over the past month, compared to the S&P 500 composite's +11.3% change [6] - AMC Networks holds a Zacks Rank 4 (Sell), suggesting it may lag behind overall market performance in the near future [6]

Core Viewpoint - AMC Networks Inc. will host a conference call on May 9, 2025, to discuss its first quarter 2025 results, with a press release to be issued before market opening [1]. Group 1: Conference Call Details - The conference call will take place at 8:30 a.m. Eastern Time [1]. - Pre-registration is required to access the conference call via telephone, with instructions available on the company's investor relations website [2]. - Internet replays of the call will be accessible approximately two hours after the call concludes [2]. Group 2: Company Overview - AMC Networks is a prominent player in the TV and film industry, known for creating and curating celebrated series and films [3]. - The company's portfolio includes various streaming services such as AMC+, Acorn TV, Shudder, Sundance Now, ALLBLK, and HIDIVE, as well as cable networks like AMC, BBC AMERICA, IFC, SundanceTV, and We TV [3]. - AMC Networks operates its in-house studio, AMC Studios, which is responsible for original franchises like The Walking Dead Universe and the Anne Rice Immortal Universe [3].

AMC Networks extolled some industry conventions – and much of its own library – at a lavish upfront presentation Wednesday night, while also positioning itself as a tech-enabled streaming player. At a time when a range of upfronts and NewFronts players are either ditching in-person shows or scaling them back, the cable and streaming programmer stepped up at New York’s tony Spring Studios in Tribeca. “This year, we wanted to go a little bigger, a little broader and a little more expansive in terms of the pe ...

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