(Reuters) - Canadian media company Corus Entertainment Inc (CJRb.TO) on Thursday reported a lower-than-expected profit, hurt by higher costs.
The Toronto-based company’s sales, general and administrative expenses more than doubled to C$265.5 million ($198 million) in the second quarter ended Feb. 28.
This is the first time Corus’ second-quarter results include its 2016 purchase of media assets from sister company Shaw Communications Inc (SJRb.TO). The results also exclude Corus’ pay TV business, which Corus exited last year.
Corus, which was spun off from Shaw more than 15 years ago, operates a network of Canadian radio stations and children’s TV channels including YTV, Nickelodeon and Cartoon Network.
Net income attributable to Corus shareholders fell to C$24.9 million, or 12 Canadian cents per share in the quarter, from C$102.2 million, or C$1.17 per share, a year earlier.
Profit in the year-ago quarter included a gain of C$86.2 million from the sale of Corus’ Pay TV assets.
Excluding one-time items, the company earned 13 Canadian cents per share, falling short of analysts’ average expectation of 16 Canadian cents, according to Thomson Reuters I/B/E/S.
Corus said revenue jumped 86 percent to C$368.2 million. Analysts on average had expected C$379.5 million.
Reporting by Ahmed Farhatha in Bengaluru; Editing by Sai Sachin Ravikumar