Versant, a newly public company spun off from NBCUniversal, reported a 31% decrease in net income in 2025. This decline was attributed to a decrease in revenue from advertising and distribution, prompting the company to shift its focus towards diversifying its revenue streams beyond traditional cable TV.
In its first official disclosure of operating results, Versant revealed that it aims to generate half of its revenue from traditional pay-TV operations and the other half from new businesses that require direct consumer connections, such as subscriptions or commerce. In 2025, revenue from these new operations accounted for 19% of the company’s total revenue.
Mark Lazarus, Versant’s CEO, expressed optimism about the company’s future as an independent media and entertainment entity. He emphasized the strategic focus on evolving the business model to deliver strong shareholder returns in both the short and long term.
Despite a 5.3% decrease in total revenue to $6.69 billion in 2025, Versant highlighted growth in revenue from its digital properties, including Rotten Tomatoes and Fandango, which saw a 3.9% increase to $826 million. Ad revenue fell by 8.9% to $1.58 billion, while distribution revenue declined by 5.4% to $4.09 billion.
In response to industry challenges faced by competitors with large cable portfolios, Versant emphasized the stability of its sports-rights deals and announced plans to launch an ad-supported streaming platform under the Fandango brand. Additionally, the company’s board of directors authorized the repurchase of up to $1 billion of outstanding Class A common shares, demonstrating confidence in Versant’s future growth prospects.
Overall, Versant’s transition to an independent entity reflects a strategic shift towards diversifying revenue streams and leveraging digital platforms to drive future growth and shareholder value.
