In the second quarter of 2019, the ProSiebenSat.1 Group increased its revenues by 4 percent to EUR 947 million (previous year: EUR 912 million). The organic revenue increase also came in at 4 percent. This was driven by growth in the content production and global sales and commerce segments, which more than compensated for the weaker development in the entertainment segment. Content production and global sales and commerce increased their revenues by 28 percent and 18 percent respectively in the second quarter (organic growth of 21 percent and 7 percent respectively) while the entertainment business was 4 percent below the previous year’s quarter (organic decline of 1 percent). Total advertising revenues in the entertainment segment declined by 2 percent compared to the previous year with the digital- and smart-advertising business growing strongly by 26 percent while TV core advertising revenues were down by 3 percent.
The Group’s adjusted EBITDA came in as expected and declined by 18 percent to EUR 213 million (previous year: EUR 259 million) in the second quarter. As previously announced, this decline reflects the investments recognized as expenses into the future of the entertainment business as well as lower advertising revenues. The Group has decided to strengthen its investments in the areas of content, digital platforms, and advertising technologies. Adjusted net income decreased by 38 percent to EUR 85 million (previous year: EUR 136 million) in the second quarter as planned.
In the first half of 2019, ProSiebenSat.1 Group’s revenues grew by 4 percent to EUR 1860 million (previous year: EUR 1794 million; organic growth of 4 percent). Adjusted EBITDA declined by 12 percent to EUR 403 million in the first 6 months of the year (previous year: EUR 459 million), while adjusted net income was down by 22 percent to EUR 179 million (previous year: EUR 230 million). However, EBITDA (EUR 384 million; +6 percent) and net income (EUR 215 million; +38 percent) respectively posted an increase in the first half of the year, especially due to lower one-time expenses as in the previous year.
“We are making good progress in the transformation of ProSiebenSat.1 and are delivering what we have announced. Despite a continued difficult advertising market environment, our organic and reported revenues grew +4 percent in the second quarter. Organic growth at Red Arrow Studios of 21 percent (28 percent reported) and NuCom Group of 7 percent (18 percent reported) as well as growth of 26 percent in our digital- and smart-advertising business is fueling the diversification of the Group further.”