RTL Group has published results for its first six months ending June 30th 2018.
In the first half of 2018, the digital media group said it continued its successful business development and Total Video strategy. First-half revenue was up for the fourth consecutive year – despite significant negative exchange rate effects and major sporting events such as the Winter Olympics and the FIFA Football World Cup 2018. RTL Group’s business model stands for resilient top-line growth, a highly diversified revenue mix and high-quality earnings. RTL Group will foster more organic growth initiatives in two main areas: building video-on-demand services that attract mass audiences across all content genres and continuing FremantleMedia’s push into scripted drama.
H1/2018: record first-half revenue, exceeding €3 billion
Q2/2018: FremantleMedia drives strong revenue growth
RTL Group confirms its outlook for the full-year 2018, as most recently communicated at the Q1/2018 results presentation on May 17th 2018:
Bert Habets, Chief Executive Officer of RTL Group, commented: “The good results for the first half of 2018 highlight once again the key strengths of RTL Group: with our broad international footprint across broadcast, content, digital, and an ever-more diversified revenue mix, we continue to grow organically, even in challenging market environments. Our high levels of profit margins and cash generation allow us to combine attractive dividends with significant organic growth initiatives. In our rapidly changing Total Video industry, growth mainly comes from non-linear or streaming services. We will further increase investments in our video-on-demand services, with a clear focus on local, exclusive content, and gradually adopt a hybrid model – combining a free, advertising-financed service with a premium pay product. First examples of our building strong local streaming champions are the upcoming massive expansion of TV Now in Germany and Videoland in the Netherlands.”
“Every investment in local, exclusive content strengthens both our linear TV channels and our non-linear on demand services. This local, exclusive content focus is the power engine for our Total Video offers. Especially with FremantleMedia’s push into scripted drama, we are fuelling our content pipeline. Currently, FremantleMedia is seeking funding for at least 35 scripted series ideas that we want to realise. As a consequence, international drama productions will already generate more than 20 per cent of FremantleMedia’s total revenue in 2019,” he concluded.