AMC Networks reported lower fourth-quarter earnings as it invested in its streaming services.
The company ended 2021 with more than 9 million paid streaming subscribers and again said it was on track to achieve its long-term target of 20 million to 25 million streaming subscribers by the end of 2025.
Net income was $17 million, or 39 cents a share, down from $94.7 million or $2.09 a share, a year ago.
Revenue rose 3% to $803.7 million.
Advertising revenue fell 1% to $234 million.
Also: AMC Networks 'On Track' To Meet Streaming Subscriber Goals
Subscription revenue increased 11% as the company’s streaming services gained subscribers. Excluding a one-time payment associated with a distribution agreement a year ago, linear affiliate revenues declined in the low-single digits, the company said.
Operating income for AMC’s domestic operations was down 11.8% to $100 million. Revenue rose 3.8% to $684.9 million.
"2021 was a strong, pivotal year for AMC Networks. We met or exceeded all of our guidance metrics, delivering the highest revenue in our company's history and full-year U.S. advertising and subscription growth reinforcing the strength of our core business,” said interim CEO Matt Blank.
“We ended the year with more than nine million paid streaming subscribers, a significant milestone driven by the strength of our streaming brands and the depth of content within each of our offerings, and with our acquisition of global anime content distributor Sentai and the HiDive anime streaming service, we deepened our position as the global leader in targeted streaming,” Blank said. “Looking ahead, 2022 will be the biggest year for original content in our history, including the highly-anticipated returns of Better Call Saul and Killing Eve. We have great confidence in our unique streaming model and we're more confident than ever that we're pursuing the right strategy for our company, for the audiences we serve, and for our shareholders." ■
