Vivendi reports Q1 profit increase
Video game firm Activision Blizzard boosts resultsNEW YORK -- Vivendi on Tuesday reported a 13.4% increase in its first-quarter adjusted profit as stronger-than-expected results at video game firm Activision Blizzard made up for weaker music momentum.
Adjusted profit came in at €736 million for the latest quarter.
Revenue of €6.9 billion rose 6% over the year-ago period.
Earnings before interest, taxes and amortization (EBITA) doubled for Activision Blizzard and rose at telecom arm SFR, but they fell 38.2% at Universal Music Group and 9.4% at pay TV arm Canal Plus (or 9.9% on a constant currency basis). For the total company, EBITA rose rose 14.1%, or 14.7% assuming constant currencies.
Revenue at Activision rose 29.3% and 2.3% at Canal Plus, but dropped 13.4% at UMG.
UMG hurt due to lower physical sales, especially in Europe and Asia, due to fewer releases and lower demand. Digital music sales declined 1.7% at constant currencies due to weaker cell phone ringtone sales, according to the company. Key first-quarter music sellers included titles from Lady Gaga, Justin Bieber and Black Eyed Peas.