Bank examines European FTA

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Four major European Free to Air broadcasters – Atresmedia, Mediaset Espana, TF1 and RTL – have declared their quarterly results in recent days.

Investment bank Exane/BNPP says that these Q1 numbers show that the TV ad market has performed much better in Germany (-4 to -4.5 per cent) than France (-12 per cent) and says it would expect these outcomes to translate to the results of other media channels’ results (e.g. Stroeer, JCDecaux etc). “Overall expectations had reset over the last weeks so no major surprises.”

Future guidance for the rest of this year from the group of broadcasters is thin to non-existent. As for RTL, for example, the bank says “Overall robust results considering the situation with revenues only down 3 percent and about in line with consensus, and encouraging streaming revenues up 19 per cent due to a rising number of subscribers, a trend we expect to continue with social distancing ongoing.”

For Atresmedia, the bank’s report says: “A3M Q1/20 net revenues came in at €223 million, down 13 per cent, and about in line with company consensus. EBITDA reached €36 million, down 20 percent but beating consensus considerably as the TV business held up. Radio on the flip side, a high fixed cost business saw a severe EBITDA decline. Net income came in at €22 million beating consensus. TV advertising was down 11 per cent. Exane estimates for FTA Net Advertising Revenues were at -10 per cent.”

Mediaset’s Q1 revenues came in at €230 million, up 2 per cent and beating  company-compiled consensus by 7 per cent. EBITDA reached €67 million down 4 per cent beating consensus. Net income came in at €49 million. Net Advertising Revenue (NAR) was down 9 per cent vs Exane forecast NAR at -10 per cent.”

For TF1 Q1/20 revenues came in at €494 million, down 11 per cent but in line with consensus. Current operating profit reached €42 million down 33 per cent and beating consensus considerably as management was able to put through considerable cost savings in a short amount of time, says Exane.


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