The resilience of the cable network business model and the tabloid fascination with Jon and Kate Gosselin helped Discovery Communications do something quite rare for a media company these days — post an increase in quarterly profit.
Discovery, which generates revenue through both advertising and the fees that cable and satellite operators pay, posted a more than three-fold surge in second-quarter profit of $183 million, or 43 cents a share, compared with $43 million, or 16 cents a share, a year ago.
This year’s profit includes a one-time tax gain of $46 million related to a deal struck with Hasbro to create the Discovery Kids channel.
Revenue came in at $881 million, ahead of analyst expectations.
Discovery’s stable of assets includes Discovery Channel, Animal Planet and TLC. Its earnings were driven in part by higher ratings for shows like “Deadliest Catch,” “River Monsters,” and “Jon & Kate Plus 8.” Ratings for “Jon & Kate” have soared recently as the couple at the show’s center grapple with separation.
Discovery shares, which are up about 70 percent for the year, fell 41 cents yesterday to $24.98.