Viacom warns on Q3 profit, blames Turtles

US media titan Viacom says its third-quarter earnings will fall below market forecasts, blaming this on the under-performance of the latest Teenage Mutant Ninja Turtles film.

It now expected diluted earnings per share of about $1.00-$1.05 for the quarter. On average, analysts had forecasted a profit of $1.38 a share, Thomson Reuters I/B/E/S data showed.

Viacom -- whose chief executive Philippe Dauman and key shareholder Sumner Redstone are battling for control of the company -- also cited a delay in completing a significant subscription video on demand (SVOD) agreement.

"The domestic performance of the latest Teenage Mutant Ninja Turtles release was disappointing, but the company has a strong slate in the months ahead and looks forward to improvement at Paramount," Viacom said in a statement.

It added that expected completion of the SVOD agreement during the quarter, but the "recent and highly public governance controversy negatively impacted the timing and its ability to achieve an optimal outcome with partners."

The company anticipated domestic ad sales declines for the third quarter to be about 4%. It had also substantially completed a very successful annual advertising upfront sales process.