TORONTO – Despite a dip in fourth quarter revenues, Corus saw profits jump by over $27 million from a year ago.
The company said Wednesday that net income attributable to shareholders for the quarter ended August 31, 2017 was $28.9 million, up 15.7% from the $25,000 posted in the same period last year, which includes business acquisition, integration and restructuring costs of $13.3 million. Adjusting for the impact of these items resulted in an adjusted net income attributable to shareholders of $43.9 million.
Consolidated revenues for the quarter of $381.2 million dipped 1% from $384.5 million year-over-year, while consolidated segment profit of $107.6 million improved 2% from $105.4 million in Q4 2016.
For fiscal 2017, consolidated revenues rose 43% to $1.68 billion and consolidated segment profit was $578.1 million, up 41% from $411.0 million last year. Net income attributable to shareholders for the year ended August 31, 2017 was $191.7 million, up from $125.9 million last year, which includes business acquisition, integration and restructuring costs of $32.0 million and investment impairments of $5.3 million. Adjusting for the impact of these items resulted in an adjusted net income attributable to shareholders of $220.5 million for the current fiscal year.
Free cash flow of $292.7 million for the year increased 55% from $188.2 million in 2016.
Corus’ television segment revenues for the quarter were flat at $346.0 million, while radio revenues fell 5% to $35.2 million from $37.2 million. Television segment profit was static at $107.3 million, while radio segment profit fell 2% to $8.3 million.
Other highlights from Corus’ financial results include:
Television
– Advertising revenues increased 1% in Q4 2017 and 82% for the year;
– Subscriber revenues dipped 1% in Q4 2017 and 25% for the year;
– Merchandising, distribution and other revenues decreased 10% in Q4 2017 and 12% for the year;
– Segment profit was flat in Q4 2017 and up 40% for the year;
– Segment profit margin was 31% in Q4 2017 and 37% for the year.
Radio
– Segment revenues decreased 5% in Q4 2017 and 4% for the year;
– Advertising revenues were down 5% in Q4 2017 and 4% for the year
– Segment profit dropped 2% in Q4 2017 and increased 9% for the year;
– Segment profit margin of 24% in Q4 2017 and 26% for the year.
“We accomplished a great deal this year, delivering enhanced profitability, sequential improvement in TV advertising revenues, strong free cash flow and continued advancement of our strategic priorities”, said president and CEO Doug Murphy, in the news release. “With our integration now complete, our entry into a new broadcast year marks a renewed focus on returning Corus to growth. We are well positioned to achieve our long-term goals, supported by our strategic investments in content and advertising technology (Ad Tech), an improved cost structure and solid execution on our financial objectives.”
Click here for Corus' complete financial report.
