Grupo Televisa : Description Report of Foreign Issuer

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON , D.C. 20549

FORM 6-K

REPORT OF FOREIGN ISSUER PURSUANT TO RULES 13a-16 or 15d - 16

UNDER THE SECURITIES EXCHANGE ACT OF 1934

For the month of October, 2018

GRUPO TELEVISA, S.A.B.

(Translation of registrant's name into English)

Av. Vasco de Quiroga No. 2000, Colonia Santa Fe 01210, Mexico City, Mexico

(Address of principal executive offices)

(Indicate by check mark whether the registrant files or will file annual reports under cover Form 20-F or Form 40-F.)

Form 20-F

x

Form 40-F

( Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1). )Yes

No

x

( Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7). )

Yes

No

x

INVESTOR RELATIONS

THIRD-QUARTER 2018 RESULTS

FOR IMMEDIATE RELEASE

Highlights

• Ø Consolidated Net Sales and Operating Segment Income grew 10.5% and 10.4%, respectively

• Ø Double-digit growth in Cable Segment Sales and Operating Segment Income of 10.8% and 10.9%, respectively

• Ø Sky reached an Operating Segment Income margin of 47.5%, and 51 thousand Blue Telecomm subscribers

• Ø The sublicensing of World Cup rights contributed with Ps.593 million in Operating Segment Income

• Ø Third consecutive quarter with growth in advertising sales, reaching 2.2%, and 5.0% year to date

Consolidated Results

Mexico City, October 25, 2018 - Grupo Televisa, S.A.B. (NYSE:TV; BMV: TLEVISA CPO; "Televisa" or the "Company"), today announced results for the third-quarter 2018. The results have been prepared in accordance with International Financial Reporting Standards ("IFRS").

The following table sets forth condensed consolidated statements of income for the quarters ended September 30, 2018 and 2017, in millions of Mexican pesos, as well as the percentage that each line represents of net sales and the percentage change when comparing 2018 with 2017:

3Q'18	Margin %	3Q'17	Margin %	Change %
Net sales	25,033.2	100.0	22,663.0	100.0	10.5
Net income	1,479.6	5.9	1,520.6	6.7	(2.7)
Net income attributable to stockholders of the Company	978.0	3.9	1,014.9	4.5	(3.6)
Segment net sales	26,283.8	100.0	23,594.3	100.0	11.4
Operating segment income (1)	10,308.1	39.2	9,338.1	39.6	10.4

(1) The operating segment income margin is calculated as a percentage of segment net sales.

Net sales increased by 10.5% to Ps.25,033.2 million in the third-quarter 2018 compared with Ps.22,663.0 million in the third-quarter 2017. This increase was mainly attributable to revenue growth in the Content and Cable segments. Operating segment income increased by 10.4%, reaching Ps.10,308.1 million with a margin of 39.2%.

Net income attributable to stockholders of the Company amounted to Ps.978.0 million in third-quarter 2018 compared to Ps.1,014.9 million in third-quarter 2017. The net decrease of Ps.36.9 million, or 3.6%, reflected (i) a Ps.567.7 million increase in finance expense, net; (ii) a Ps.428.6 million increase in depreciation and amortization; and (iii) a Ps.343.4 million decrease in share of income of associates and joint ventures, net. These unfavorable variances were partially offset by (i) a Ps.1,024.2 million increase in operating income before depreciation and amortization; (ii) a Ps.206.5 million decrease in income taxes; and (iii) a Ps.68.0 million decrease in other expense.

Televisa maintains a conservative policy towards its foreign exchange exposure. As a result, Televisa has entered into a number of derivative contracts to cover its 2018 and 2019 interest expense, certain operating expenses in 2018, and certain U.S. denominated capital expenditures planned for 2018 and part of 2019. This resulted in a net loss in fair value of our derivate contracts in third-quarter 2018, and explains the increase in finance income or expense, net, mentioned above.

Third-quarter Results by Business Segment

The following table presents third-quarter consolidated results ended September 30, 2018 and 2017, for each of our business segments. Consolidated results for the third-quarter 2018 and 2017 are presented in millions of Mexican pesos.

Net Sales	3Q'18	%	3Q'17	%	Change %
Subtotal Content	8,700.0	33.1	8,024.9	34.0	8.4
World Cup rights	1,010.1	3.8	n/a	n/a	n/a
Content	9,710.1	36.9	8,024.9	34.0	21.0
Sky	5,407.3	20.6	5,445.2	23.1	(0.7)
Cable	9,219.9	35.1	8,322.5	35.3	10.8
Other Businesses	1,946.5	7.4	1,801.7	7.6	8.0
Segment Net Sales	26,283.8	100.0	23,594.3	100.0	11.4
Intersegment Operations (1)	(1,250.6)	(931.3)	(34.3)
Net Sales	25,033.2	22,663.0	10.5
Operating Segment Income (2)	3Q'18	Margin %	3Q'17	Margin %	Change %
Subtotal Content	3,110.7	35.8	3,102.1	38.7	0.3
World Cup rights	593.3	58.7	n/a	n/a	n/a
Content	3,704.0	38.1	3,102.1	38.7	19.4
Sky	2,569.9	47.5	2,660.4	48.9	(3.4)
Cable	3,907.5	42.4	3,523.5	42.3	10.9
Other Businesses	126.7	6.5	52.1	2.9	143.2
Operating Segment Income	10,308.1	39.2	9,338.1	39.6	10.4
Corporate Expenses	(496.0)	(1.9)	(550.2)	(2.3)	9.9
Depreciation and Amortization	(5,037.8)	(20.1)	(4,609.2)	(20.3)	(9.3)
Other Expense, net	(432.5)	(1.7)	(500.5)	(2.2)	13.6
Operating Income	4,341.8	17.3	3,678.2	16.2	18.0

• 1 For segment reporting purposes, intersegment operations are included in each of the segment operations.

• 2 Operating segment income is defined as operating income before depreciation and amortization, corporate expenses, and other expense, net.

Content

Third-quarter sales increased by 21.0% to Ps.9,710.1 million compared with Ps.8,024.9 million in the third-quarter 2017. Excluding the non-recurring revenue originated in the sublicensing of certain World Cup, sales increased 8.4% to Ps.8,700.0 million.

Millions of Mexican pesos	3Q'18	%	3Q'17	%	Change %
Advertising	5,051.2	52.0	4,943.8	61.6	2.2
Network Subscription Revenue	1,182.8	12.2	929.7	11.6	27.2
Lice nsing and Syndication	2,466.0	25.4	2,151.4	26.8	14.6
Subtotal Content	8,700.0	89.6	8,024.9	100.0	8.4
World Cup rights	1,010.1	10.4	n/a	n/a	n/a
Net Sales	9,710.1	100.0	8,024.9	100.0	21.0
Advertising

Third-quarter Advertising revenue increased by 2.2% to Ps.5,051.2 million compared with Ps.4,943.8 million in the third-quarter 2017. This is the third consecutive quarter with growth in advertising sales. Year to date, advertising sales growth is 5.0%, which has resulted primarily from the change in the pricing mechanism for our advertising inventory.

Network Subscription

Third-quarter Network Subscription revenue increased by 27.2% to Ps.1,182.8 million compared with Ps.929.7 million in the third-quarter 2017. This increase is mainly explained by repackaging of our networks which now includes additional rights that resulted in higher overall price. This came into effect in the fourth quarter of last year, which means that the following quarter will not have this incremental effect anymore.

Licensing and Syndication

Third-quarter Licensing and Syndication revenue increased by 14.6% to Ps.2,466.0 million compared with Ps.2,151.4 million in the third-quarter 2017. Royalties from Univision increased by 21.0% to U.S.$97.6 million in third-quarter 2018 from U.S.$80.6 million in third-quarter 2017. The increase is mainly explained by the step up in the royalty rate.

World Cup

This quarter, Content sales benefited from the sublicensing of certain of the broadcast and digital rights of the 2018 Soccer World Cup in Mexico and other Latin American markets, by Ps.1,010.1 million.

Third-quarter operating segment income increased by 19.4% to Ps.3,704.0 million compared with Ps.3,102.1 million in the third-quarter 2017; the margin was 38.1%.

Sky

Third-quarter sales decreased by 0.7% to Ps.5,407.3 million compared to Ps.5,445.2 million in the third-quarter 2017. The number of net active subscribers decreased by 125,824 during the quarter to 7,835,657 as of September 30, 2018. Sky ended the quarter with 159,894 subscribers in Central America and the Dominican Republic .

The loss in video subscribers is primarily explained by the delayed disconnection by certain customers and the temporary subscription of the service in second quarter 2018 as a result of the transmission of the 2018 Soccer World Cup.

Last March Sky launched an offer for broadband services under the brand Blue Telecomm, which consists of a fixed plug-in wireless broadband solution offering 5 Mbps and 10 Mbps in speed. During third quarter 2018, Sky added 40 thousand new Blue Telecomm subscribers reaching 51 thousand.

Third-quarter operating segment income decreased by 3.4% to Ps.2,569.9 million compared with Ps.2,660.4 million in the third-quarter 2017, and the margin was 47.5%.

Cable

Third-quarter sales increased by 10.8% to Ps.9,219.9 million compared with Ps.8,322.5 million in the third-quarter 2017 driven by the addition of 62 thousand broadband Revenue Generating Units ("RGUs") and 247 thousand voice RGUs.

The number of video RGUs dropped by 35 thousand. As it was the case with Sky, the loss is attributed to the transmission of the 2018 Soccer World Cup in the prior quarter.

The following table sets forth the breakdown of RGUs per service type for our Cable segment as of September 30, 2018 and 2017.

RGUs	3Q'18	3Q'17
Video	4,281,125	4,123,373
Broadband	4,168,248	3,640,132
Voice	2,519,972	2,099,065
Total RGUs	10,969,345	9,862,570

In our Enterprise business, third-quarter sales increased by 4.2%. This is the fastest pace of growth in seven quarters.

The Enterprise business was re-launched at the beginning of 2018 under a new management team. As a result of the turn-around of this operation, during third-quarter 2018, the Enterprise business was successful in the renewal of some existing key contracts and secured new contracts with many private sector clients.

Third-quarter operating segment income increased by 10.9% to Ps.3,907.5 million compared with Ps.3,523.5 million in the third-quarter 2017, and the margin reached 42.4%, similar to the same quarter last year.

The following tables set forth the breakdown of revenues and operating segment income, excluding consolidation adjustments, for our MSO and enterprise operations for third-quarter 2018 and 2017.

MSO Operations (1)

Millions of Mexican pesos	3Q'18	3Q'17	Change %
Revenue	8,220.9	7,303.4	12.6
Operating Segment Income	3,548.5	3,141.2	13.0
Margin (%)	43.2	43.0
4