CBS Earnings: Stock SPIKES on Third Straight Quarter of Rising Profit

S&P 500 (NYSE:SPY) component CBS Corporation (NYSE:CBS) reported net income above Wall Street’s expectations for the second quarter. CBS is a mass media company with operations in entertainment, cable networks, publishing, local broadcasting, and radio.

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CBS Corporation Earnings Cheat Sheet

Results: Net income for the media conglomerate rose to $427 million (65 cents per share) vs. $395 million (58 cents per share) in the same quarter a year earlier. This marks a rise of 8.1% from the year-earlier quarter.

Revenue: Fell 3.1% to $3.48 billion from the year-earlier quarter.

Actual vs. Wall St. Expectations: CBS Corporation beat the mean analyst estimate of 58 cents per share. It fell short of the average revenue estimate of $3.78 billion.

Quoting Management: CBS’s content continues to fuel the success of this great company,” said Sumner Redstone, Executive Chairman, CBS Corporation. “In a world where great programming commands premium pricing, we continue to hit on all cylinders. I am extremely pleased with our terrific second-quarter results, and I am confident that Leslie and his management team will build on our momentum in the quarters and years to come.”

Key Stats:

The company has now seen net income rise in three straight quarters. In the first quarter, net income rose 79.7% and in the fourth quarter of the last fiscal year, the figure rose 30.7%.

The company has now topped analyst estimates for the last four quarters. It beat the mark by 10 cents in the first quarter, by 4 cents in the fourth quarter of the last fiscal year, and by 4 cents in the third quarter of the last fiscal year.

Revenue fell last quarter after increasing in the previous quarter. Revenue rose 11.8% to $3.92 billion in the first quarter from the year earlier.

Looking Forward: Analysts appear increasingly optimistic about the company’s results for the next quarter. The average estimate for the third quarter has moved up from 63 cents a share to 64 cents over the last thirty days. For the fiscal year, the average estimate has moved up from $2.36 a share to $2.50 over the last ninety days.

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(Company fundamentals provided by Xignite Financials. Earnings estimates provided by Zacks)

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To contact the reporter on this story: staff.writers@wallstcheatsheet.com To contact the editor responsible for this story: editors@wallstcheatsheet.com

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