CBS Corporation (NYSE:CBS.A) Q1 2018 Earnings Conference Call - Final Transcript

May 03, 2018 • 04:30 pm ET


CBS Corporation (NYSE:CBS.A) Q1 2018 Earnings Conference Call - Final Transcript


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Good day, everyone, and welcome to the CBS Corporation First Quarter 2018 Earnings Release Teleconference. Today's call is being recorded. At this time, I would like to turn the call over to Executive Vice President of Corporate Finance and Investor Relations, Mr. Adam Townsend. Please go ahead.

Adam Townsend

Thank you. Good afternoon, everyone and welcome to our first quarter 2018 earnings call. Joining us for today's remarks are Leslie Moonves, our Chairman and CEO and Joe Ianniello, our Chief Operating Officer. Following Les and Joe's discussion of the Company's performance, we will open the call to questions.

Please note that during today's conference call, results will be discussed on an adjusted basis unless otherwise specified. The first quarter 2018 results are only adjusted to exclude $9 million of M&A related expenses incurred during the quarter. Reconciliations for non-GAAP financial information related to this call can be found in our earnings release or on our website.

Also note that statements on this conference call relating to matters which are not historical facts are forward-looking statements which involves risks and uncertainties that could cause actual results to differ. Risks and uncertainties are disclosed in CBS Corporation's SEC filings. A webcast of this call and the earnings release related to today's presentation can also be found on the investors section of our website at Finally, I'd like to remind you that today's call is to discuss our results for the first quarter and will not be responding to any questions or comments about the process with Viacom.

With that it's my pleasure to turn the call over to Les.

Leslie Moonves

Thank you, Adam and good afternoon everyone and thanks for joining us today. This was an especially outstanding quarter for the CBS Corporation. As you can see from our results, the strategy we have laid out for you is clearly working and the good news is there is so much more to come. Revenue grew 13% to $3.8 billion, a first quarter record. Operating income was up 8% to $781 million, an all-time high and EPS shot up 26% to $1.34. That's not only our best quarter ever for EPS but it's also our 33rd consecutive quarter of EPS growth.

CBS' consistent strong performance quarter-after-quarter, year-after-year is exactly what shareholders have come to expect from us and we continue to deliver these results while constantly investing in our future as well. This includes the continuous creation of must-have content, the launch of new digital platforms and the recruitment and retention of some of the best talent in the industry. Because at CBS, just as we've shown you, for the last 10 years, it's not enough to win now, we must also strategically position ourselves to win for many years to come.

I want to make one key point right up front from here that truly illustrates our momentum. In an era where others are concerned about losing subscribers caused by cord cutting and other matters, CBS Corporation is growing its subscribers. That's right. When you