Summary
Warner Bros. Discovery, Inc. (WBD), operating as Discovery Communications, Inc. in this filing, reported total revenues of $963 million for the three months ended June 30, 2010, an increase of 11% year-over-year, and $1.832 billion for the six months ended June 30, 2010, up 10% year-over-year. This growth was primarily driven by increases in both distribution and advertising revenues across its U.S. Networks and International Networks segments. The company incurred a significant loss on extinguishment of debt of $136 million in the second quarter of 2010 related to refinancing a substantial portion of its outstanding debt. Despite this, net income attributable to Discovery Communications, Inc. stockholders was $107 million for the quarter, a decrease from $179 million in the prior year, largely due to the debt extinguishment charges and lower income before taxes. For the six-month period, net income attributable to stockholders was $276 million, down from $298 million in the prior year. Operating cash flow for the first six months of 2010 was $90 million, a substantial decrease from $337 million in the prior year, impacted by debt repayment premiums and increased payments for stock-based awards. The company ended the period with $713 million in cash and cash equivalents and maintains access to a $1.55 billion revolving credit facility.
Financial Highlights
48 data points| Revenue | $963.00M |
| Cost of Revenue | $254.00M |
| Gross Profit | $709.00M |
| SG&A Expenses | $304.00M |
| Operating Expenses | $591.00M |
| Operating Income | $372.00M |
| Interest Expense | $48.00M |
| Net Income | $107.00M |
| EPS (Basic) | $0.25 |
| EPS (Diluted) | $0.25 |
| Shares Outstanding (Basic) | 426.00M |
| Shares Outstanding (Diluted) | 431.00M |
Key Highlights
- 1Total revenues grew 11% to $963 million for the quarter and 10% to $1.832 billion for the six months, driven by strong distribution and advertising revenue increases.
- 2A substantial debt refinancing in June 2010 resulted in a $136 million loss on extinguishment of debt.
- 3Net income available to Discovery Communications, Inc. stockholders decreased by 40% year-over-year to $106 million for the quarter, and by 7% to $275 million for the six months.
- 4Operating cash flow decreased significantly to $90 million for the six months ended June 30, 2010, compared to $337 million in the prior year.
- 5The company acquired an uplink facility in London for $35 million in February 2010.
- 6Adjusted OIBDA (a non-GAAP measure) increased by 18% for the quarter and 13% for the six months, indicating improved operational performance before certain non-cash and non-recurring items.
- 7The company ended the period with $713 million in cash and cash equivalents and an undrawn $1.55 billion revolving credit facility (expiring October 2010).