Revenue and adjusted OIBDA (a measure of profit) increased slightly in the third quarter to TelevisaUnivision when CEO Daniel Alegre took the helm of the Spanish-language media giant.
last month, Alegre replaced Wade Daviswho led a group of investors to acquire Univision and merge it with the entertainment arm of Mexico’s Grupo Televisa. Alegre has worked primarily in technology and digital companies, most recently serving as president and chief operating officer of Activision Blizzard.
In the quarter ended Sept. 30, the company said revenue rose 2% from the same period a year earlier to $1.3 billion. Adjusted OIBDA (operating income before taxes, depreciation and amortization) increased 4% to $427 million, and the company attributes the growth and profitability to its streaming unit. Advertising In the United States, especially the wave of political messages aimed at Hispanic voters in this presidential year, provided the main boost to revenues. Results in Mexico, which are broken down separately, showed declines in both results and revenues due to currency exchange rates and other headwinds.
Overall advertising revenue rose 3% to $799 million, rising 5% in the United States to $483 million. Univision recently hosted the two US presidential candidates, Kamala Harris and Donald Trump, in separately televised public events.
Excluding the impact of exchange rates, advertising revenue in Mexico grew 10%, reflecting the acquisition of third-party advertising inventory and popular sports content, including the Copa América and the Olympic Games. Subscription and licensing revenue increased 1% to $478 million.
In the earnings release, Alegre said he is “honored to be able to lead this company into its next chapter as we build on the foundation that has been solidified.” The company’s main strategic objective, he added, is to “evolve into a platform-agnostic, content-first organization that connects with audiences wherever they interact.”
Like other legacy media players, TelevisaUnivision has been hit hard by the discontinuation of cable service and the decline in linear viewing and advertising. Debt has also been a growing concern for private companies, although the earnings release signaled some progress on that front.
During the quarter, he noted, the company paid down $150 million in debt using net proceeds from the sale of an complementary transmission tower. Earlier this month, it said it had completed refinancing its 2026 maturities by adding $755 million to a pool of notes due 2031. The company said its next debt payment won’t be until June 2027.
At the end of the quarter, the company had a net debt to adjusted OIBDA ratio of 5.9 times. That leverage figure is still high for the sector, but is down from 6.1 times at the end of the previous quarter.
