Versant Media Group shares jumped as much as 16% in premarket trading after the company reported first-quarter results that exceeded Wall Street forecasts. The rally came despite the cable network operator posting declines in both revenue and net income, with the stock settling around a 10% gain by midday.

The company recorded $1.69 billion in revenue, representing a 1.1% decrease from the prior year, while net income fell 22% to $286 million. These declines stemmed from reduced subscriber numbers and advertising sales across its portfolio of networks, which include CNBC, MSNBC, and E!.

Versant's ability to beat analyst expectations demonstrates market confidence in its post-spinoff trajectory. Comcast completed the separation of its NBCUniversal cable networks late last year, acknowledging that the traditional pay-TV business had become a drag on the parent company amid years of cord-cutting pressures.

The earnings beat suggests investors are giving Versant credit for cost management and operational adjustments, even as the broader cable industry continues facing structural headwinds from streaming alternatives and changing consumer habits.