Printer Friendly

PARAMOUNT COMMUNICATIONS REPORTS A 12 PERCENT RISE IN THIRD QUARTER NET EARNINGS

 PARAMOUNT COMMUNICATIONS REPORTS A 12 PERCENT RISE
 IN THIRD QUARTER NET EARNINGS
 NEW YORK, Sept. 10 /PRNewswire/ -- Paramount Communications Inc. (NYSE: PCI) today reported net earnings for the third quarter of fiscal 1992, ended July 31, rose 12 percent to $113.3 million, or 95 cents per share, compared with earnings of $101.2 million, or 86 cents per share, in the same period last year.
 Publishing operations, led by traditional second-half strength in educational areas and sharp gains in consumer publishing, reported near- record operating income of $112.5 million for the period, versus operating income of $11 1.1 recorded in the third quarter of fiscal 1991. Entertainment operations registered higher operating income of $60.8 million, compared with $55.3 million reported in the same period a year ago, stemming from gains in motion pictures and television programming.
 The third quarter of fiscal 1992 also included net interest and other investment income of $10.7 million, compared with net interest and other investment income of $400,000 in the third quarter of fiscal 1991. The increase primarily reflected larger gains from the active management of the Company's short-term investment portfolio.
 "Over the past 18 months we have streamlined, integrated and revitalized our operations from top to bottom," said Martin S. Davis, chairman and chief executive officer of Paramount Communications. "As a result of these efforts, as well as several strategic acquisitions, we have extended and strengthened our asset base and significantly increased our earnings capabilities, as well as our long-term growth potential.
 "Our successful across-the-board performance in the third quarter," Mr. Davis pointed out, "puts us on track for a more than 100 percent rise in fiscal 1992 earnings."
 All publishing units, with the exception of elementary school operations, registered higher operating income in the third quarter, led by gains in higher education, supplementary education, international and educational technology. Operating income contributions from elementary school operations were significant, although slightly lower because of reduced sales opportunities and educational funding cuts at the federal, state and local level.
 Improved results in Business and Professional operations primarily reflected the November 1991 acquisition of Macmillan Computer Publishing, which has been renamed Prentice Hall Computer Publishing. Consumer operations posted substantial gains as a result of higher sales across all imprints, led by an increased number of hardcover and mass market best sellers, such as "Truman, Who Will Tell The People" and "Diana: Her True Story," and higher sales of reference books.
 In entertainment, motion picture results increased over the prior- year period, paced by gains in home video, which included strong videocassette sales of "The Addams Family." Higher features syndication and pay television income, the domestic success of "Patriot Games" and the continued domestic success of "Wayne's World" also contributed to motion picture results in the third quarter. These results more than offset an increase in feature write-downs, primarily the modestly budgeted "Bebe's Kids" and "Whispers In The Dark."
 Results in television programming were led by the continued success of "Star Trek: The Next Generation" and "Entertainment Tonight," higher revenue from "Cheers" and the profitability of "Hard Copy" and "The Maury Povich Show." USA Networks posted sharp gains resulting from higher advertising and affiliate revenues, while contributions from the Paramount Stations Group declined from the year-earlier period, which benefited significantly from the favorable impact of the reclassification of certain broadcast rights of the six-station Group.
 Results from theater operations declined as gains from international circuits were more than offset by lower contributions from the Company's wholly-owned Famous Players and jointly-owned Cinamerica chains. Madison Square Garden posted a smaller operating loss stemming largely from the lease of the arena for the Democratic National Convention, higher suite license revenues and increased affiliate and advertising sales at MSG Network.
 For the first nine months of 1992, the Company reported earnings of $160.0 million, equal to $1.34 per share. In the same fiscal 1991 period, earnings totaled $38.9 million, or 33 cents per share, which included a $35.4 million after-tax charge to earnings in the fiscal 1991 second quarter, the majority of which was related to a provision for write-downs of certain motion picture and television development commitments and entertainment reorganization costs. Fiscal 1992 nine- month results included net interest and other investment income of $8.2 million, versus net interest and other investment income of $21.1 million in the same 1991 period.
 Revenues for the third quarter and first nine months of fiscal 1992 totaled $1.06 billion and $3.06 billion, respectively, up from $963.9 million and $2.73 billion in the comparable 1991 periods.
 PARAMOUNT COMMUNICATIONS INC.
 Summary Of Earnings Information
 (In millions, except per share)
 Nine Months Three Months
 Periods ended July 31 1992 1991 1992 1991
 Revenues $1,063.9 $963.9 $3,062.4 $2,729.1
 Net Earnings
 after provision for
 income taxes of $53.3
 and $75.3 for 1992
 and $47.6 and $18.3
 for 1991 (A) 113.3 101.2 160.0 38.9
 Average Common and
 Common Equivalent
 Shares Outstanding -- -- 119.2 118.6
 Net Earnings Per
 Share $ .95 $ .86 $ 1.34 $ .33
 (A) The prior-year nine-month period included an after-tax charge of $35.4 million, the majority of which was related to a provision for write-downs of certain motion picture and television development commitments and entertainment reorganization costs.
 -0- 9/10/92
 /CONTACT: Carl Folta of Paramount Communications Inc., 212-373-8530/
 (PCI) CO: Paramount Communications Inc. ST: New York IN: ENT SU: ERN


LR -- NY072 -- 8121 09/10/92 14:54 EDT
COPYRIGHT 1992 PR Newswire Association LLC
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1992 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:PR Newswire
Date:Sep 10, 1992
Words:925
Previous Article:AUCTION OF THE LEGENDARY FROG CITY
Next Article:KIDS ENJOY HANGING OUT WITH THEIR GRANDPARENTS
Topics:


Related Articles
PARAMOUNT COMMUNICATIONS REPORTS RESULTS
PARAMOUNT COMMUNICATIONS REPORTS SHARPLY HIGHER FIRST QUARTER NET INCOME; INCREASES QUARTERLY CASH DIVIDEND 14 PERCENT
PARAMOUNT COMMUNICATIONS REPORTS SHARPLY HIGHER SECOND QUARTER RESULTS
\C O R R E C T I O N -- PARAMOUNT COMMUNICATIONS\
MULTIMEDIA REPORTS NET EARNINGS FOR THIRD QUARTER
PARAMOUNT COMMUNICATIONS REPORTS SHARPLY HIGHER FISCAL 1992 EARNINGS
PARAMOUNT COMMUNICATIONS REPORTS FISCAL 1993 FIRST QUARTER RESULTS
PARAMOUNT COMMUNICATIONS REPORTS FISCAL 1993 FIRST QUARTER RESULTS
BHC REPORTS RECORD THIRD QUARTER TELEVISION STATION EARNINGS, LOWER NET INCOME
CHRIS-CRAFT REPORTS RECORD THIRD QUARTER TELEVISION STATION EARNINGS, LOWER NET INCOME

Terms of use | Copyright © 2016 Farlex, Inc. | Feedback | For webmasters