CBS sees Q4 profit hike, Netflix pact

Ted Danson in "CSI" CBS is within foretells provide an original series for Netflix because it grows its content business, moving beyond selling the streaming service its old series.CBS chief professional Leslie Moonves did not provide particulars from the new show. However the Eye's readiness to create content for Netflix is proof that Moonves does not see Netflix like a rival to CBS. "Unless of course they're doing 22 hrs per week of premium content, we do not take a look at them like a competitor," he stated.Streaming certification pacts with Netflix along with other shops plumped up CBS profits last quarter even while revenue dipped simply on lower political advertising. But which will change fast because the primaries warm up, he guaranteed throughout a business call Wednesday to discuss earnings. CBS is "searching forward to numerous nastiness on sides" to fill its coffers, Moonves stated. "They are speaking concerning the number $2 billion. In most cases, we obtain 9%-10%. That's usually the ballpark," he stated. Which was the figure spent for local broadcast spots within the political 2008 cycle. Moonves sees it flowing nicely to radio in addition to TV.CBS Corp. profit rose 30% last quarter to $370 million. Executives guaranteed that existing output contracts with Netflix, Amazon . com and Hulu Plus and brand new ones would keep your gold coin flowing every year.Income slid to $3.78 billion within the 4th quarter from $3.9 billion on tough evaluations from the prior year, which incorporated second-cycle distribution purchase of "CSI."The entertainment division -- composed of CBS, CBS Television Galleries, CBS Galleries Intl., CBS Television Distribution, CBS Films, and CBS Interactive -- saw revenue ease 1% to $1.9 billion. Advertising revenue was flat.But operating earnings rose to 31% to $275 million on streaming deals, retransmission pacts minimizing costs.Executives stated scatter costs are up in mid-teens from last year's upfront and major groups are rebounding brought by automotive. CBS has seemed probably the most upbeat among large media companies to date around the condition from the ad market following a dour 4th quarter. "Due to our rankings we're commanding the majority of the scatter market," Moonves stated.Local broadcast, including TV and r / c, saw revenue fall by $100 million to $721 million. Operating earnings was lower 18% to $242 million.Cable network revenue rose 10% to $1.62 billion. Modified operating earnings nosed up 3% to $169 million. They are heady occasions for Showtime, which passed 21 million customers and merely won two Golden Globes including best television drama series for "Homeland." At Simon & Schuster, revenue reduced 1% to $229 but sales of digital content increased 83%. Digital sales are are less expensive and therefore are more lucrative, which brought to some 50% increase in operating earnings to $27 million. Outside revenue firmed 1% to $514 million. Operating earnings increased 80% to $76 million on more lucrative contracts. Briefly remarks in the opening from the call, CBS chairman Sumner Redstone known as Moonves "a genius" four or five occasions. "Thanks Sumner, greatly, for your excessively kind introduction," Moonves stated. Contact the range newsroom at news@variety.com