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CBS Makes Old New

NEW YORK ( TheStreet) -- Star Trek and I Love Lucy are making CBS (CBS - Get Report) an emerging winner in the media space.

The media conglomerate reported profit more than doubled in its second quarter, lifted by its domestic streaming content deal with Netflix (NFLX - Get Report) which rakes in new money for old shows.

CBS' revenue grew by 8%, driven by a 21% surge in content licensing and distribution.

Most recently, CBS also struck a similar deal with Amazon (AMZN - Get Report), the benefit of which was not realized during the quarter, but which CBS expects to get a boost from in the second half of the year.

"When you look at our current content, our ownership position, we have a pretty phenomenal library. And what we like to say about both Amazon and Netflix, none of the things we sold are currently shows that are on the air," Chief Executive Leslie Moonves said during a conference call with Wall Street.

While the deals include original episodes of old classics, as well as staples like Cheers and Frasier, they also include more recent series like Medium, which went off the air this past year.

"What we've been able to do successfully is continue to replenish our library, Moonves said. We have three CSIs that are now on the air that aren't part of these Netflix deals or Amazon deals. One day, they will come off the air, and we will get a lot of money for those in those platforms."

CBS' library also includes the old Paramount library, the Aaron Spelling library (which includes hits like Beverly Hills 90210 and Charmed) and Teen World library.

These deals boast a very high margin, with Chief Financial Officer Joseph Ianniello putting it at about 60%.

On top of this, CBS foresees new entrants coming into the marketplace, and says it will look to negotiate online distribution deals with these players in the future.

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