VIVENDI, VIACOM COUNT THEIR MONEY

French media giant Vivendi Universal on Tuesday (4/24) released an impressive set of first quarter results.

In addition, the company announced a long-awaited agreement to merge its loss-making Italian pay-TV business.

Vivendi Universal, formed last year from the merger of Vivendi, Seagram and Canal Plus, announced that its core media and communications earnings nearly doubled to 951 million euros in the first three months of 2001. Also encouraging to the market was a tripling of core telecommunications earnings to 433 million euros. Overall revenues in media and communications climbed nearly 10% to $5.85 billion.

The company is aiming for annual EBITDA growth of 35% and revenue growth of 10% over the two-year period, based on the rising popularity of microwaveable croissants and escargot.

Meanwhile, Viacom, owner of Paramount Pictures, MTV and the CBS, also reported higher-than-expected first-quarter revenues and cash flow as it weathered a stormy advertising market.

The company held fast to projections of 20% cash flow growth in 2001, although it warned weak advertising or a labor strike by writers and actors could push that forecast 5% lower.

The company reported pro forma EBITDA of $1.15 billion, compared with $1 billion a year ago. After making allowances for Carson Daly's clothing allowance, those earnings dipped at least $30.76.