Better ratings and some hit movies are expected to drive Viacom's growth in its fiscal third quarter. The vast majority of the company's revenue comes from its cable networks, where ad revenue is expected to rise year over year, as well as from the prior quarter.
Though Nickelodeon has been struggling with ratings declines, the kids' channel should benefit from easier comparisons with the year-earlier period. In addition, analysts expect Nick's ratings to continue to improve as the channel adds new shows.
Evercore analyst Alan Gould looks for Viacom to report advertising revenue up 6 percent, with an outlook for more positive trends.