Friday, December 2, 2011

Cable Margins

Jon Lafayette reports on some impressively high cable channel cash flow margins: "In 2010, Kagan estimates that there were 30 cable networks with cash flow margins of 50% or more. “By 2015, this number should almost double to 58, with an additional 61 having margins in the 40% to 50% range,” Kagan says in its report. That means that 66% of the 180 cable networks it track would have margins of 40% or better." UPDATE: Harry Jessell says this is ammo that stations can take to pay TV operators next time they negotiate retrans fees.

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