Silver Spring, MD-based Discovery Communications, Inc. (DISCA – Analyst Report) reported lackluster results in the fourth quarter of 2015, missing on earnings as well as revenues.

The quarter’s earnings (on an adjusted basis) of 38 cents per share were well short of the Zacks Consensus Estimate of 46 cents. The earnings miss was attributable to the lower-than-expected revenues reported by the company in the final quarter of 2015. Moreover, earnings were lower than the year-ago figure by 11.6%. Excluding the impact of foreign currency, the bottom line grew 12% on a year–over-year basis.

Discovery Communications reported quarterly revenues of $1,646 million, down 2% on a year-over-year basis. Revenues also lagged the Zacks Consensus estimate of $1,667 million. Foreign currency movements adversely impacted results. Excluding the impact of foreign currency, the top line expanded 5% in the final quarter of 2015.

Total Distribution revenue was $759 million, up 1.9% year over year. Total Advertising revenue stood at $804 million, down 3.3%. Other revenues declined 17% to $83 million. Quarterly expenses (on a reported basis) fell marginally to $1,205 million in the final quarter of 2015. Quarterly adjusted operating income before depreciation and amortization (OIBDA) was $574 million, down 10% year over year.

At the end of 2015, Discovery Communications generated $1,277 million of cash from operations compared with $1,318 million at 2014-end. Free cash flow in 2015 was $1,174 million versus $1,198 million a year ago.

The company exited the quarter with cash and cash equivalents of $390 million and $7,616 million of debt outstanding (non-current portion) compared with $367 million and $6,002 million, respectively, at the end of 2014. Meanwhile, the debt-to-capitalization ratio, at the end of the reported quarter, was 0.58 versus 0.52 at the end of 2014.

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U.S. Networks

Total revenue came in at $787 million, up 6% year over year. Within this, Distribution revenues were up 7% year over year while Advertising revenues climbed 5% from the year-ago quarter. Meanwhile, other revenues were flat year over year. Adjusted OIBDA was up 1% year over year. Adjusted OIBDA margin stood at 52% in the reported quarter versus 54% a year ago.