Gemstar-TV Guide 3Q earnings fall from year-ago
EmptyGemstar-TV Guide International Inc., operator of the TV Guide Channel, said Thursday its third-quarter earnings fell sharply from a year-ago period that included a hefty tax gain, but results still easily beat Wall Street expectations.
Net income slid to $17.5 million, or 4 cents per share, from $51 million, or 12 cents per share, a year ago. The latest period included income tax expense of $2.3 million, compared with last year's tax gain of $51.1 million.
Revenue dipped to $148.9 million from $152.5 million a year ago.
On average, analysts surveyed by Thomson Financial were looking for profit of a penny per share on sales of $135.9 million.
Gemstar-TV Guide said revenue for its cable and satellite and consumer electronics segments increased 11% and 32%, respectively, versus the third quarter of 2005. TV Guide Interactive revenue rose 19%, driven by a 22% jump in digital cable and satellite households.
The company said TV Guide Channel revenue increased 6% from last year, driven by an increase in advertising revenue.
Shares fell 4 cents to close at $3.30 on the Nasdaq stock market, but jumped 40 cents, or 12.1%, to $3.70 in after-hours trading.