ProSiebenSat.1 bounces back in Q3
November 5, 2020
In the third quarter of 2020, ProSiebenSat.1 Group saw improved revenue and earnings figures compared to the highly Covid-19 influenced previous quarter.
After the global pandemic and the resulting restrictions had considerably affected the German mass media group’s business performance in the second quarter, ProSiebenSat.1 generated revenues of €921 million (previous year: EUR 926 million) between July and September 2020 and thus at about the previous year’s level. This reflects a recovery in the Group’s entertainment advertising business since July, a dynamic revenue development of the online beauty provider Flaconi and the positive effects of the acquisition of the US online dating company The Meet Group, with initial consolidation in September.
The Meet Group and the matchmaking business Parship Group are forming the Group’s new fourth segment ParshipMeet Group.
Organically, Group revenues declined by 4 per cent in this quarter. Despite the recovery in revenues in the third quarter, the first nine months of the year are affected by the Covid-19 influenced previous quarter: In this period, ProSiebenSat.1 generated revenues of €2,555 million (previous year: €2,786 million) and is thus down 8 per cent year-on-year.
Rainer Beaujean, Chairman of the Executive Board & Chief Financial Officer of ProSiebenSat.1 Media SE: “We are very satisfied with our development in the third quarter. As an early-cyclical company, we were now able to benefit from the economic recovery in the summer, following the difficult first half of the year, and have seen an upward trend in the advertising market. At the same time, our strict cost management is taking effect, with our adjusted EBITDA growing again compared to the previous year for the first time since the first quarter of 2018.
“With the launch of the umbrella brand Seven.One Entertainment Group as well as the formation of our ParshipMeet Group, we are furthermore advancing the reorganisation of the Group. While the online dating business is clearly supporting our diversification, we are focusing on our core competencies in the entertainment business. This also includes disposing of companies that do no longer contribute to our core business. This was the case with myLoc, a provider of hosting solutions. The sale of WindStar Medical in NuCom Group’s beauty and lifestyle segment also falls into this category. This reflects our long-term strategy, which aims to create value for all stakeholders – through operational progress as well as active portfolio management, ” added Beaujean.