Time Warner and Zoetis released their latest earnings reports before opening bell this morning. Time Warner posted adjusted earnings of $1.49 per share on $7.3 billion in revenue. Analysts were expecting $1.29 per share in earnings on $7.3 billion in revenue.
Zoetis posted earnings of 48 cents per share or $239 million on $1.2 billion in revenue, against the analyst estimates of 41 cents per share and $1.1 billion.
Time Warner shares rise after earnings
Time Warner’s reported earnings were $1.51 per share, compared to last year’s $1.15 per share. Currency exchange had a negative impact of about $115 million on revenues during the quarter. Subscription revenues climbed 11%.
Revenues from Turner rose from $2.7 billion to $2.9 billion, while the Home Box Office segment recorded revenues of $1.5 billion, an increase from last year’s $1.4 billion. Warner Bros. revenue edged lower from $3.2 billion last year to $3.1 billion this year on the back of lower theatrical revenues due to last year’s releases of American Sniper and The Hobbit: The Battle of the Five Armies, compared to this year’s release of Batman v Superman: Dawn of Justice.
Shares of Time Warner increased 1.81% to $75 in premarket trading this morning.
Zoetis issues strong guidance
Zoetis’ net income was 41 cents per share or $204 million, representing a 24% year over year increase. The company said because of its accounting calendars, this year’s first quarter has six extra calendar days compared with last year’s first quarter.
The veterinary drug maker’s U.S. revenue increased 12% to $582 million, while International revenue increased 13% to $567 million. In the U.S., sales of companion animal products increased 32%, while in the International business, livestock products increased 9% on the back of the recent PHARMAQ acquisition and strong sales of cattle products in France and Brazil.
Zoetis expects full-year earnings to come in between $1.83 and $1.90 per share, which is ahead of the consensus at $1.79 per share. The drug maker expects full-year revenue to be between $4.775 billion to $4.875 billion, against the consensus of $4.75 billion. For fiscal 2017, Zoetis expects revenue of $5.075 billion to $5.275 billion, which is also ahead of consensus at $5.06 billion.
Shares of Zoetis were inactive in premarket trading this morning.