CBS REPORTS 3RD-QUARTER PROFIT UP 16 PERCENT
Time was when virtually all of CBS Inc.’s revenue came from the sale of commercials on its radio and television networks and owned stations and subscriptions to its Showtime pay-TV cable network. But times have changed. Now it collects substantial fees on retransmission deals with cable-TV distributors, ads on its websites, payments from video-on-demand services, and ticket sales for CBS Films. And while ad receipts in the third quarter for its television network may have declined a bit from a year ago, the falloff was more than offset by revenue from those ancillary sources. Total revenue rose just 1.5 percent to $3.42 billion from $3.37 billion during the comparable quarter a year ago. But net income rose a whopping 16 percent to $391 million from $338 million a year ago. Even revenue from its struggling CBS Films was up 3 percent from last year (although profit was down 5 percent).