The CBS Corporation reported record operating income for the second quarter of 2012, even though overall revenue declined slightly from a year ago because of shifts in television programming schedules and a decline in digital sales.
The company on Thursday reported $769 million in operating income for the three months ended June 30. That was a 5 percent increase over the same period last year and the highest second quarter for CBS since it was established as a separate entity from Viacom six years ago.
CBS, which is dominated by the CBS broadcast network but also includes the cable channel Showtime and an outdoor advertising division, had net earnings of $427 million, up 8 percent over 2011, and earnings per share of 65 cents, up 12 percent.
The increases were accomplished despite a drop in overall revenue from $3.59 billion in 2011 to $3.48 billion this year. CBS executives attributed the decline to the fact that the semifinal games of the N.C.A.A. basketball tournament were played in March this year instead of April; that shifted the revenue from those games out of the second quarter.
Executives also cited a decrease in the sales of programs owned by CBS to digital streaming sites. Those had generated considerable income in the second quarter of 2011, which fell off this year.
CBS was able to make up the difference in higher-margin revenue.
CBS's entertainment division showed the most significant decline, producing $1.71 billion in revenue compared with $1.84 billion in the same period last year. Outdoor advertising was also down slightly, to $481 million from $490 million, which CBS attributed to changes in foreign exchange rates.
Cable network revenue increased 8 percent to $446 million, from $413 million. Publishing increased 3 percent, to $189 million from $183 million. Local broadcasting was up 2 percent to $704 million, from $691 million. The company emp hasized three main areas of profits: advertising revenue, sales of programs in syndication and retransmission fees from cable companies.
Leslie Moonves, the president of CBS, said coming months looked even more favorable, with additional revenue likely from political advertising in the fall, and an advertising bonanza looming in next year's first quarter when CBS will broadcast three big prime-time events in a one-month period: a National Football League conference championship game, the Super Bowl and the Grammy Awards.
Mr. Moonves said CBS was also enjoying a big boost in the current quarter for outdoor advertising tied to the London Olympics.
“I love to hear about people stuck in traffic or in the tube reading our advertising,†he said in a conference call with stock analysts.
He also spoke of the prospects of CBS for the fall television season, saying the network's consistent performance (it has finished with the most viewers in nine of the pa st 10 television seasons) is “dispelling the myth of cyclicality†in prime-time television.
CBS recorded the best totals in upfront ad sales for the coming season.
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