Business Analysis of Viacom

 Analyze Historical Performance, Strategic Priorities, And Business Improvement Opportunities of Viacom

Business Overview

Viacom, Inc. operates as media brand worldwide. The company creates television programs, motion pictures, short-form content, applications, games, consumer products, social media experiences, and other entertainment content for audiences. It operates through two segments, Media Networks and Filmed Entertainment. The Media Networks segment provides entertainment content and related branded products for consumers through approximately 250 locally programmed and operated TV channels, including Nickelodeon, Comedy Central, MTV, VH1, SPIKE, BET, CMT, TV Land, Nick at Nite, Nick Jr., Channel 5 (UK), Logo, Nicktoons, TeenNick, Paramount Channel, and others, as well as through online, mobile, and apps. The Filmed Entertainment segment produces, finances, acquires, and distributes motion pictures, television programming, and other entertainment content under the Paramount Pictures, Paramount Animation, Nickelodeon Movies, MTV Films, and Paramount Television brands; and distributes films released under the Paramount Vantage, Paramount Classics, and Insurge Pictures brands. This segment exhibits motion pictures theatrically through home entertainment, licensing to television and digital platforms, and ancillary activities. The company releases its content through download-to-own, download-to-rent, DVDs, Blu-ray discs, transactional video-on-demand, pay television, subscription video-on-demand, basic cable television, free television, and free video-on-demand, as well as airlines and hotels. Viacom, Inc. is headquartered in New York, New York.

Viacom

Viacom


R&P Rank: 224
Sector: Media & Entertainment
Industry:Broadcasting, Cable, and Filmed Entertainment
H.Q Location:New York
Website: www.viacom.com
Company Address:
1515 BROADWAY, NEW YORK NY 10036
Ph:212-258-6000

Business Analysis of Viacom

The Media & Entertainment Sector is witnessing a major shakeup, new age business models in the industry are transforming both customers and businesses. Faced with this uncertainity, companies are investing resources to transform their business. An in-depth business analysis is a valuable resource to identify and articulate the need for a business model change. At R&P Research we believe, the starting point for a business analysis is Benchmarking. Business benchmarking can be done at various levels: 1) Industry Benchmarking 2) Peer Benchmarking 3) Disruptors Benchmarking. In this report, we share the snapshot of how Viacom compares against the industry on the major performance indicators. This analysis, along with peer group/disruptors benchmarking and revenue model understanding can help identify growth and cost optimization opportunities to maximize the value delivered by Viacom to its stakeholders. R&P Research Industry Intelligence Platform provides historical data for last 15 years with an easy to use benchmarking interface for an in-depth comparative business analysis.

Here is the performance snapshot of Viacom with an interactive chart.

  1. Revenue Growth: Viacom reported a revenue growth of -5.9% year-on-year during 2016. Broadcasting, Cable, and Filmed Entertainment Industry grew at 4.6% in the same period
  2. COGS share of Revenues: As a percentage of revenue, Viacom spent 53.5% of its total revenues on COGS. Broadcasting, Cable, and Filmed Entertainment industry average (COGS share of revenue) in the same period was 28.0%
  3. R&D share of Revenues: Viacom R&D share of Revenues details are not available because either company does not share the data or we do not have it
  4. SG&A share of Revenues: As a percentage of revenue, Viacom spent 22.8% of its total revenues on Sales, Marketing, and General Administration (SG&A). Broadcasting, Cable, and Filmed Entertainment industry average SG&A spending in the same period was 43.3%
  5. Inventory share of Revenues: As a percentage of revenue, Viacom spent 39.0% of its total revenues on Inventories. Broadcasting, Cable, and Filmed Entertainment industry average Inventory spending in the same period was 11.2%
  6. Accounts Payable share of Revenues: As a percentage of revenue, Viacom invested 3.6% of its total revenues on Accounts Payable (A/P) Broadcasting, Cable, and Filmed Entertainment industry average Accounts Payable investment in the same period was 10.1%
  7. Accounts Receivable share of Revenues: As a percentage of revenue, Viacom invested 21.7% of its total revenues on Accounts Receivable (A/R). Broadcasting, Cable, and Filmed Entertainment industry average Accounts Receivable investment in the same period was 17.3%
  8. PP&E share of Revenues: As a percentage of revenue, Viacom invested 7.5% of its total revenues on Property, Plants, and Equipments (PP&E). Broadcasting, Cable, and Filmed Entertainment industry average PPE investment in the same period was 29.4%
  9. Intangibles share of Revenues: As a percentage of revenue, Viacom invested 93.8% of its total revenues on Intangibles. Broadcasting, Cable, and Filmed Entertainment industry average Intangibles investment in the same period was 113.0%
  10. Net Margins: Viacom Net Margins in the year 2016 were 11.5%. Broadcasting, Cable, and Filmed Entertainment industry average Net Margins in the same period were 11.6%

Sector and Industry Association of Viacom

For the purpose of performance benchmarking of a company with a sector or industry average, R&P Research associates every company with one sector and one industry. An industry consists of companies with related/similar business models. A sector comprises of a group of related/similar industries.

Viacom is associated with Media & Entertainment Sector and Broadcasting, Cable, and Filmed Entertainment Industry.

Media & Entertainment sector is comprised of the following industries: Broadcasting, Cable, and Filmed Entertainment; Media Agency Services; Publishing. The definitions for each of the industries is as follows:

  • Broadcasting, Cable, and Filmed Entertainment industry includes companies that provide radio and television programming. It also includes companies that provide music and filmed entertainment.
  • Media Agency Services industry includes companies that provide advertising, public relations and marketing services. It also includes billboard providers and telemarketers.
  • Publishing industry includes newspapers, magazine, and book publishers.

Industry Ranking of Viacom

With $12.5 billion revenues, Viacom ranked number 6 of all the companies in the US Broadcasting, Cable, and Filmed Entertainment industry. There were a total of 38 public companies in the US Broadcasting, Cable, and Filmed Entertainment industry that had revenues greater than $50 million during 2016.

The top-10 companies in the US Broadcasting, Cable, and Filmed Entertainment industry by revenues during 2016 were:

  1. Comcast ($80.4 billion)
  2. Walt Disney ($55.6 billion)
  3. Time Warner ($29.3 billion)
  4. Twenty-First Century Fox ($27.3 billion)
  5. CBS ($13.2 billion)
  6. Viacom ($12.5 billion)
  7. Liberty Interactive ($10.6 billion)
  8. News Corp ($8.3 billion)
  9. Discovery Communications ($6.5 billion)
  10. Liberty Media ($5.3 billion)

Business Model Analysis (BMA) Framework

We use the following framework to assess the business model of a company. Business Model Analysis framework can be used by organizations to articulate growth strategies and identify cost optimization opportunities. Technology and consulting companies can use this framework to identify the value drivers and pain points of their targeted customers. Entrepreneurs can use this framework to understand the language of business and identify promising business opportunities. This framework can be used by any professional aspiring to take up a leadership role to better understand the businesses challenges, articulate growth strategy, and monitor the business improvement requirements for the organization.

Next Steps

  • Conduct a holistic benchmarking; to identify and target additional sources of value
  • Get in touch with us to learn more about Business Model Analysis Framework
  • Get free data, charts, and analysis of Viacomand its peers on select key performance indicators by clicking the reports provided below

Industry Peers and Competitors of viacom

Time Warner (TWX) Business Analysis – Analyze Historical Performance, Strategic Priorities,...

Time Warner Inc. with $29 billion revenues in the year 2016 was the number 3 Broadcasting, Cable, and Filmed Entertainment company. Read this report to know the top competitors of Time Warner and identify growth and cost optimization opportunities of Time Warner

Twenty-First Century Fox (FOX) Business Analysis – Analyze Historical Performance, Strategic...

Twenty-First Century Fox, Inc. with $27 billion revenues in the year 2016 was the number 4 Broadcasting, Cable, and Filmed Entertainment company. Read this report to know the top competitors of Twenty-First Century Fox and identify growth and cost optimization opportunities of Twenty-First Century Fox

CBS (CBS) Business Analysis – Analyze Historical Performance, Strategic Priorities, And...

CBS Corp with $13 billion revenues in the year 2016 was the number 5 Broadcasting, Cable, and Filmed Entertainment company. Read this report to know the top competitors of CBS and identify growth and cost optimization opportunities of CBS

Liberty Interactive (QVCA) Business Analysis – Analyze Historical Performance, Strategic Priorities,...

Liberty Interactive Corp with $11 billion revenues in the year 2016 was the number 7 Broadcasting, Cable, and Filmed Entertainment company. Read this report to know the top competitors of Liberty Interactive and identify growth and cost optimization opportunities of Liberty Interactive

News Corp (NWSA) Business Analysis – Analyze Historical Performance, Strategic Priorities,...

News Corp with $8 billion revenues in the year 2016 was the number 8 Broadcasting, Cable, and Filmed Entertainment company. Read this report to know the top competitors of News Corp and identify growth and cost optimization opportunities of News Corp

Discovery Communications (DISCA) Business Analysis – Analyze Historical Performance, Strategic Priorities,...

Discovery Communications, Inc. with $6 billion revenues in the year 2016 was the number 9 Broadcasting, Cable, and Filmed Entertainment company. Read this report to know the top competitors of Discovery Communications and identify growth and cost optimization opportunities of Discovery Communications

Revenues Analysis

Viacom (VIAB) Revenues And Revenue Growth From 2012 To 2016

This report provides the last five years revenues and revenue growth of Viacom Inc. (VIAB) from 2012 to 2016. Viacom generated a total of $12.5 billion revenues during 2016. Viacom reported a revenue growth of -5.9% year-over-year during 2016. The revenues and the revenue growth correspond to the fiscal year ending in September.

Viacom (VIAB) Revenues And Revenue Growth From 2003 To 2016

This report provides the last fourteen years revenues and revenue growth of Viacom Inc. (VIAB) from 2003 to 2016. Viacom generated a total of $12.5 billion revenues during 2016. Viacom reported a revenue growth of -5.9% year-over-year during 2016. The revenues and the revenue growth correspond to the fiscal year ending in September.

Viacom (VIAB) Revenue Growth Comparison With Industry Growth From 2012 To...

This report provides a comparison of Viacom Inc. (VIAB) revenue growth with Broadcasting, Cable, and Filmed Entertainment industry growth during the last five years from 2012 to 2016. Viacom reported a revenue growth of -5.9% year-over-year during 2016. The Broadcasting, Cable, and Filmed Entertainment industry growth was 4.6% year-over-year during 2016. Viacom growth was slower than the industry during 2016.

Profit Analysis

Viacom (VIAB) Net Profit And Net Margin From 2012 To 2016

This report provides the last five years net profit and net margin of Viacom Inc. (VIAB) from 2012 to 2016. Viacom reported a total net income of $1.4 billion during 2016. Viacom generated a total of $12.5 billion revenues during 2016. Viacom net profit margin was 11.5% during 2016. The