AMC Networks Inc. (NASDAQ:AMCX) Q1 2018 Earnings Conference Call Transcript
May 10, 2018 • 08:30 am ET
Sean S. Sullivan
depend on several variables, including our view of the stock price and other potential uses of capital.
As a result, we expect the pace of our repurchases to continue to vary from quarter to quarter. So looking ahead, there are no changes to the full-year 2018 comments we made on our last earnings call. We continue to expect to grow both total company full-year revenue and adjusted operating income in the low single digits. As for the cadence of our performance during the year, we anticipate continued quarterly variability as a consequence of the specific timing of our investments in content and the airing of our shows.
In the second quarter at the National Networks, we anticipate continued healthy growth in distribution revenue. Within distribution revenue, we expect content licensing revenue to grow at a slightly faster rate than subscription revenue. With respect to National Networks advertising revenue, we anticipate a meaningful sequential improvement as a result of market conditions and more favorable comps related to the timing of the airing of our originals. As for expenses at the National Networks, we anticipate a year-over-year increase, mainly related to programming costs given the mix of owned versus licensed originals scheduled to air in the quarter.
In terms of AOI at the National Networks, we continue to expect growth to be weighted toward the back half of the year as second-quarter results will reflect the trends in revenue and expenses that I just described. At our International and Other segment, we expect revenue growth that is generally in line with the rate of growth we experienced in the first quarter of the year, and we expect a modest year-over-year increase in terms of absolute dollars in AOI. So overall, we feel very good about the start to the year and how the business is positioned for the remainder of 2018, and we're excited about the various opportunities for growth that are ahead of us. So with that, we'd like to move to the question-and-answer portion of the call.
Operator, if you could please open the call to questions.