Versant, spun off from Comcast in January, grew platform revenue nearly 10% in the third quarter even as total revenue and net income fell, CNBC reported.
The three months ended Sept. 30 produced $1.59 billion in revenue, down from $1.66 billion a year earlier. Net income was $47 million, compared with $80 million in the prior-year quarter. Versant’s 34 cents per share exceeded the 5 cents analysts expected in an LSEG survey. Adjusted earnings before interest, taxes, depreciation and amortization came to $353 million, above the $305 million estimate tracked by StreetAccount, CNBC reported.
Revenue from Versant’s digital properties totaled $245 million, nearly 10% higher than a year earlier. The company said Fandango’s ticketing business brought in more revenue during the quarter than in any period since the pandemic. Advertising generated $373 million, a 5.3% decrease; Versant attributed the decline largely to the prior year’s Ryder Cup. Linear television revenue fell 5.8% to $935 million as cord-cutting and subscriber losses weighed on the segment.
Versant introduced a direct-to-consumer product for MS NOW and an on-demand service for Fandango during the quarter. It said CNBC’s direct-to-consumer service is expected to launch next year. The company also reported double-digit year-over-year growth in aggregate viewership across networks that reached more than 120 million viewers monthly. WNBA viewership on its USA Sports networks was 25% above the prior year’s cable average, Versant said.
The company maintained its 2026 revenue outlook of $6.2 billion to $6.45 billion and its adjusted EBITDA range of $1.9 billion to $2.05 billion. Versant now expects free cash flow to exceed its previous forecast range of $1 billion to $1.2 billion.
CNBC reported that Versant executives aim to diversify revenue beyond the company’s cable base, with digital, platform, subscription, ad-supported and transactional businesses eventually accounting for 50% of revenue. Versant also announced a $100 million accelerated stock repurchase program scheduled to begin Wednesday, with completion expected in the fourth quarter.
