Viacom reported 3Q revenue $77m ahead (at -9% Y/Y) and EBITDA $60 ahead (at -12% Y/Y), while EPS beat by $0.02 at $0.91 and FCF was $434m ahead at $1.333b (management noted production timing benefit). Streaming subs were 17.9m total vs. our 17.4m estimate, and management noted 78% growth in subscription streaming revenue and Pluto TV ad revenue more than doubling. Ad revenue came in $104m better at -6% Y/Y vs. our -11% (TV Ent -1% aided by political, Media Nets -11% helped by Pluto), while affiliate revenue came in a full $96m ahead at +10% Y/Y vs. our +6%, with media nets returning to growth at +4% Y/Y and CBS retrans +25% Y/Y. Key will be 4Q trends from the call, further details on streaming strategy and prospects, NFL renewal discussion, content production ramp / costs and visibility for 2021.
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