In the first nine months of the year Mfe-Mediaset recorded consolidated net revenues of 1,862 million compared to 1,900 in the same period last year, a net operating result (Ebit) of 98.3 million, cash generation of 285 and a net profit of 71 million against the previous 78.5. The profit data is judged by the company to be “very positive”, because “it must also be examined taking into account some differential items: the considerable drop in the pro-quota contribution generated overall by the participation in ProsiebenSat1 Media also following the change in the consolidation method , the increase in financial costs due to higher underlying interest rates and the increase in share in the group’s Spanish activities”, explains Mfe-Mediaset.
Confirm estimates
Mfe-Mediaset confirms the estimate of a positive operating result, net result and free cash flow generation for the whole of 2023 «both due to the better-than-expected nine-month results and the greater dynamism of revenues advertising in the last quarter where the highest share of investments is concentrated”. It was also confirmed that «in October the group’s advertising sales in Italy recorded sustained growth, equal to 8% more than in the same month of 2022, an increase that is the highest in the last seven years. As for the month of November, the estimated growth should be similar to that of October thanks also to the good performance of the ratings of all the group’s Italian media”.
In Spain «in a context still uncertain after the July elections, advertising revenues in October had nevertheless recorded a better trend compared to the first half of the year. In recent weeks, the political events linked to the appointment of the new government have created new uncertainty and volatility in consumption and in the advertising market”, explains Mfe-Mediaset. As for the Group’s revenues at the end of the year, Il Biscione «reports that the comparison with the last months of the advertising collection of 2022 both in Italy and in Spain should be decidedly favorable as it is not conditioned by the football World Cup in Qatar which last year Mfe did not own the rights.”
Costs down
In the first nine months of the year, the overall consolidated operating costs (personnel costs, costs for purchases, services and other charges, amortization and write-downs of rights and other fixed assets) of the Mfe-Mediaset group fell to 1,763 million compared to 1,802.5 million in the first nine months of 2022, with a reduction of 2.1%. «An excellent result also resulting from the savings obtained earlier than planned thanks to the synergies expected from the merger with Spain, even more significant if we consider that in the two countries of activity inflation has reached an all-time high since the introduction of the euro» , explains the group in the press release after the approval of the accounts by the Board of Directors. Consolidated net financial debt as of 30 September amounted to 877 million compared to 873 million as of 31 December 2022 despite the investments in development in Spain and Germany (145.9 million) and the remuneration of shareholders (140 million for the distribution of dividends Mfe occurred in July). Excluding the liabilities recognized starting from 2019 pursuant to IFRS 16 and the residual financial debt for the acquisitions of the stake in ProsiebenSat.1 Media, Biscione’s adjusted net financial debt is equal to 741 million.
Proceeds of 3.9 million from Prosiebensat
«From this quarter – we read in the Mfe note – Mfe’s 26.28% stake in ProsiebenSat1 Media SE is consolidated with the equity method pursuant to IAS 28. The income statement therefore incorporates, on the line of the Result of investments, income of 3.9 million euros corresponding to the share of the consolidated result of the investee company for the period in question”. A decrease, compared to the past, which «was influenced on the one hand by the lackluster trend in advertising revenues still underway in Germany and in German-speaking countries, on the other by the positive effect of the reduction in television costs and the greater dynamism of revenues in Commerce and Venture activities”.
2023-11-23 11:23:54
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