Mediaset 2019 revenue hit by ad downturn
March 11, 2020
From Branislav Pekic in Rome
Italian broadcasting group Mediaset reported consolidated net revenues of €2.92 billion in 2019, compared to €3.40 billion a year earlier, after the redefinition of the core business.
Of the total, the Italian market accounted for €1.98 billion, compared with €2.42 billion the previous year, reflecting the marked reduction of revenues generated by pay-TV platform Mediaset Premium. In Spain, the figure was €946.2 million (previously €981.6 million).
The figures reflect the downturn in the advertising market in Italy and Spain, although Mediaset’s results were better than the market. In Spain, gross advertising revenues amounted to €916.5 million (€963.6 million), while in Italy they were €1.93 billion (-5.1 per cent).
On the positive side, Group EBIT increased from €73.7 million to €354.6 million, while consolidated profit reached €190.3 million (of which €76.3 million in Italy), up from €97.4 million.
Mediaset’s TV channels managed to improve their ratings compared with 2018 and reinforced their leadership in the premium targets both Italy and Spain.
In the first months of 2020, Mediaset in Italy recorded a significant rise in TV, radio and online ratings, generating advertising revenue growth (+2.1 per cent).
However, it is not possible to make reliable forecasts about the duration or the effects of the Covid-19 emergency on the results of the Group.
Mediaset is operating on two complementary fronts: on the one hand, pursuing international development, along other mid-term structural projects, and, on the other, putting in place measures to contain the eventual negative impact on the advertising market.