CINCINNATI, July 24 /PRNewswire-FirstCall/ -- Scripps Networks InteractiveInc. (NYSE: SNI), the parent company of such popular television and Internetlifestyle brands as HGTV, Food Network and DIY Network, today providedfinancial forecasts for the third quarter and affirmed its previously issuedpro forma guidance for the full-year 2008.
Scripps Networks Interactive began operations as a separate publiclytraded company on July 1 following its spin-off from The E. W. ScrippsCompany. Second-quarter results for the businesses operated by ScrippsNetworks Interactive were reported today in a separate press release issued byE. W. Scripps.
Third-quarter financial forecasts for Scripps Networks Interactivebusinesses, by operating segment, are as follows:
Total revenue is expected to be up 5 to 7 percent. Total revenue growthfor the full-year 2008, on a pro-forma basis, is expected to reach the upperend of the previously issued guidance of 8 to 10 percent. Total expenses areexpected to increase year-over-year by a mid to high single digit percentage.
In addition to HGTV, Food Network and DIY Network, the company's LifestyleMedia segment includes Fine Living Network, country music network GreatAmerican Country, and SN Digital, the segment's growing portfolio of food- andshelter-oriented interactive businesses. SN Digital brands includeFoodNetwork.com, HGTV.com, DIYNetwork.com, RecipeZaar.com, FrontDoor.com,HGTVPro.com and UpMyStreet.com.
Combined segment profit is expected to be $8 to $10 million during thethird quarter. Full-year segment profit is expected to be $55 to $65 million,on a pro forma basis, as previously forecast.
The company's Interactive Services segment includes its leading onlinecomparison shopping businesses, Shopzilla, BizRate and uSwitch.
Earnings per share
Third-quarter earnings per share from continuing operations, excludingspin-off related costs, are expected to be between 35 and 38 cents.
The company also provided its third-quarter forecast for other items asfollows:
Corporate expenses: $10 to $12 million, excluding costs related to the company's spin-off from E. W. Scripps.
Minority interest: $18 to $19 million.
Capital expenditures: $30 million.
Tax rate: 33 to 34 percent.
Debt and quarterly dividend.
Net debt was $275 million on July 1.
The company expects to initially set its quarterly dividend at about 7.5cents per share on approximately 163 million shares outstanding.
This press release contains certain forward-looking statements related tothe company's businesses that are based on management's current expectations.Forward-looking statements are subject to certain risks, trends anduncertainties, including changes in advertising demand and other economicconditions that could cause actual results to differ materially from theexpectations expressed in forward-looking statements. All forward-lookingstatements should be evaluated with the understanding of their inherentuncertainty. The company's written policy on forward-looking statements can befound on page 23 of its Form 10 information statement that was filed June 11,2008, with the Securities and Exchange Commission.
The company undertakes no obligation to publicly update anyforward-looking statements to reflect events or circumstances after the datethe statement is made.
About Scripps Networks Interactive
Scripps Networks Interactive Inc. is the leading developer oflifestyle-oriented content for television and the Internet, where on-airprogramming is complemented with online video, social media areas ande-commerce components on companion Web sites and broadband vertical channels.The company's media portfolio includes: Lifestyle Media, with popularlifestyle television and Internet brands HGTV, Food Network, DIY Network, FineLiving Network and country music network Great American Country; andInteractive Services, with leading online comparison shopping services,Shopzilla and uSwitch.
SOURCE Scripps Networks Interactive
CONTACT: Mark Kroeger of Scripps Networks Interactive Inc.,+1-513-824-3227, email@example.com