Canada's Corus profit triples due to Teletoon buyout
(Reuters) - Canadian media company Corus Entertainment Inc's quarterly profit tripled mainly due to a change in value of its stake in specialty television service Teletoon Canada Inc.
First-quarter net income included a non-cash gain of C$127.9 million ($117.7 million) from a remeasurement in value of Corus's 50 percent stake in Teletoon following its acquisition of the company in September.
Profit rose to C$150.9 million, or C$1.78 per share in the quarter ended November 30, from C$52.2 million, or 62 Canadian cents per share, a year earlier.
Excluding the gains from the remeasurement of the Teletoon stake, Corus earned 65 Canadian cents per share.
Analysts on an average had expected earnings of 62 Canadian cents per share, according to Thomson Reuters I/B/E/S.
Revenue rose 8 percent to C$226 million.
Corus, which owns 37 radio stations, said revenue from the business fell 8 percent as advertising remained weak.
Television revenue rose about 13 percent to C$177.9 million.
The company, which specializes in television content for women and children, airs shows such as SpongeBob SquarePants and Dora the Explorer on its Nickelodeon (Canada) channel. Continued...