Operating margin declined 108 bps to 40.6% and Adj. operating margin too declined 122 bps to 44.5%.
But direct operating expenses grew 3% Y/Y to $81.5M amid higher rights fees, mainly a result of annual contractual rate increases.
SG&A expenses rose 29% Y/Y to $31.3M due to higher advertising and marketing costs, employee compensation and related benefits.
“We delivered solid second quarter results, highlighted by increases in both affiliate and advertising revenues. Looking ahead, we remain focused on capitalizing on our unique live content to create long-term shareholder value." said President and CEO Andrea Greenberg.
Cash and equivalents were down to $174.6M from June $205.3M.
Net debt of $909.1M; Leverage ratio of 2.7x.
Previously: MSG Networks misses by $0.07, beats on revenue (Feb. 5)
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