Corus Revenues Rise, Profit Slips In Fiscal First Quarter 2022
by Perry Michael Simon
January 13, 2022 at 5:13 AM (PT)
Radio revenues rose 3% year-over-year to C$29.1 million but segment profit fell 20% to C$5.7 million for CORUS ENTERTAINMENT in fiscal first quarter 2022 (ending NOVEMBER 30, 2020). The company's overall revenue, driven by an 11% increase in television revenue, increased 10% to C$464 million, but overall profit fell 1% to C$177 million and net income attributable to shareholders also fell 1% to C$76 million (37 cents/share), with television roughly flat at C$179 million. Free cash flow increased from C$62.4 million to C$80 million.
The company also announced that the TORONTO STOCK EXCHANGE has approved the company's buyback plan for Class B non-voting shares and has a year to buy back up to 9,669,705 of the shares (about 5% of its public float). CORUS' Board of Directors also declared quarterly dividends of C$0.06 per Class B non-voting participating share and C$0.05875 per Class A participating share, payable on MARCH 31st to shareholders of record on MARCH 15th.
"We have delivered a strong start to the year with impressive double-digit revenue growth and notable free cash flow," said Pres./CEO DOUG MURPHY. "Television revenue in Q1 surpassed pre-pandemic levels, benefiting from GLOBAL TV's winning Fall schedule and robust advertising demand. Importantly, we have demonstrated that the 're-aggregation of our channels business on streaming platforms' offers long-term resiliency and growth potential, with yet another quarter of streaming subscriber additions and the planned expansion of STACKTV onto ROGERS Ignite TV and SmartStream platforms. Additionally, we are confident in the future growth opportunities we see in digital video and our owned content business. Accordingly, we have bolstered our balanced capital allocation strategy with the addition of a normal course issuer bid program to complement our attractive dividend."