Investor Relations
PRESS RELEASE
Televisa Reports Third Quarter 2021 Results
Consolidated
- Revenue and Operating Segment Income ("OSI") grew by 9.1% and 4.2%, respectively.
Cable
- Revenue and OSI increased by 5.8% and 5.6%, respectively.
- Net-addsof 52.0 thousand Revenue Generating Units ("RGUs"), reaching 14.4 million.
- Plan to pass 2 million homes with FTTH this year is on track, with a 65% completion.
Sky
- Added 26.8 thousand RGUs, closing the quarter with 8.2 million.
- Revenue fell by 2.5%, with a lower margin due to the amortization of sporting events.
Content
- Revenue and OSI increased by 13.4% and 2.9%, respectively, driven by strong advertising activity by the private sector.
- Our flagship network, Las Estrellas, had 2.7x the average ratings1 of its closest competitor.
Earnings Call Date and Time: Friday, October 22, 2021, at 09:00 A.M. ET.
Conference ID # is 7486362 | |
From the U.S.: +1 (833) 353 0403 | From Mexico: 800 926 9147 |
International callers: +1 (630) 652 5765 | Rebroadcast: +1 (855) 859-2056 |
The teleconference will be rebroadcast starting at 12:00 ET on October 22 through midnight on
November 5.
1 Monday to Sunday from 2:30 p.m. to 10:30 p.m.
1
Consolidated Results
Mexico City, October 21, 2021 - Grupo Televisa, S.A.B. (NYSE:TV; BMV: TLEVISA CPO; "Televisa" or "the Company"), today announced results for the third-quarter of 2021. 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, 2021 and 2020, in millions of Mexican pesos:
3Q'21 | Margin | 3Q'20 | Margin | Change | |
% | % | % | |||
Net sales | 26,127.9 | 100.0 | 23,943.0 | 100.0 | 9.1 |
Net income | 1,067.7 | 4.1 | 3,639.6 | 15.2 | (70.7) |
Net income attributable to stockholders of the Company | 760.6 | 2.9 | 3,349.7 | 14.0 | (77.3) |
Segment net sales | 28,044.9 | 100.0 | 25,821.7 | 100.0 | 8.6 |
Operating segment income (1) | 10,969.0 | 39.1 | 10,531.4 | 40.8 | 4.2 |
(1) The operating segment income margin is calculated as a percentage of segment net sales.
Net sales increased by 9.1% to Ps.26,127.9 million in the third quarter of 2021 compared with Ps.23,943.0 million in the third quarter of 2020. Operating segment income increased by 4.2% to Ps.10,969.0 million with a margin of 39.1%.
Net income attributable to stockholders of the Company decreased by 77.3% to Ps.760.6 million in the third quarter of 2021 compared with Ps.3,349.7 million in the third quarter of 2020. The net decrease of Ps.2,589.1 million reflected (i) a Ps.5,202.0 million unfavorable change in finance income or expense, net; (ii) a Ps.959.7 million unfavorable change in other income or expense, net; (iii) a Ps.111.9 million increase in depreciation and amortization; and (iv) a Ps.17.2 million increase in net income attributable to non-controlling interests.
These unfavorable variances were partially offset by (i) a Ps.2,007.8 million decrease in income taxes; (ii) a Ps.1,360.2 million favorable change in share of income or loss of associates and joint ventures, net; and (iii) a Ps.333.7 million increase in operating income before depreciation and amortization and other income or expense, net.
2
Third-quarter Results by Business Segment
The following table presents third-quarter consolidated results ended September 30, 2021 and 2020, for each of our business segments. Consolidated results for third-quarter of 2021 and 2020 are presented in millions of Mexican pesos.
Net Sales | 3Q'21 | % | 3Q'20 | % | Change | |||
% | ||||||||
Cable | 12,066.6 | 43.0 | 11,407.9 | 44.2 | 5.8 | |||
Sky | 5,459.4 | 19.5 | 5,597.9 | 21.7 | (2.5) | |||
Content | 9,109.8 | 32.5 | 8,033.4 | 31.1 | 13.4 | |||
Other Businesses | 1,409.1 | 5.0 | 782.5 | 3.0 | 80.1 | |||
Segment Net Sales | 28,044.9 | 100.0 | 25,821.7 | 100.0 | 8.6 | |||
Intersegment Operations1 | (1,917.0) | (1,878.7) | ||||||
Net Sales | 26,127.9 | 23,943.0 | 9.1 | |||||
Operating Segment Income2 | 3Q'21 | Margin | 3Q'20 | Margin | Change | |||
% | % | % | ||||||
Cable | 5,064.5 | 42.0 | 4,796.7 | 42.0 | 5.6 | |||
Sky | 2,261.7 | 41.4 | 2,436.7 | 43.5 | (7.2) | |||
Content | 3,389.6 | 37.2 | 3,294.7 | 41.0 | 2.9 | |||
Other Businesses | 253.2 | 18.0 | 3.3 | 0.4 | n/a | |||
Operating Segment Income | 10,969.0 | 39.1 | 10,531.4 | 40.8 | 4.2 | |||
Corporate Expenses | (480.7) | (1.7) | (374.9) | (1.5) | 28.2 | |||
Depreciation and Amortization | (5,347.8) | (20.5) | (5,235.9) | (21.9) | 2.1 | |||
Other (Expense) Income, net | (293.7) | (1.1) | 666.0 | 2.8 | n/a | |||
Intersegment Operations | (15.6) | (0.1) | (17.5) | (0.1) | (10.9) | |||
Operating Income | 4,831.2 | 18.5 | 5,569.1 | 23.3 | (13.2) |
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) income, net.
3
Cable
Total net additions for the quarter were approximately 52.0 thousand RGUs. Quarterly growth was mainly driven by broadband net additions of 24.6 thousand RGUs and voice net additions of
- thousand RGUs. Video net additions decreased by 59.1 thousand RGUs. izzi Móvil added
- thousand RGUs.
The following table sets forth the breakdown of RGUs per service type for our Cable segment as of September 30, 2021 and 2020.
RGUs | 3Q'21 Net | 3Q'21 | 3Q'20 |
Adds | |||
Video | (59,067) | 4,155,529 | 4,333,908 |
Broadband | 24,595 | 5,590,783 | 5,303,245 |
Voice | 68,300 | 4,485,738 | 4,187,264 |
Mobile | 18,202 | 138,979 | 40,114 |
Total RGUs | 52,030 | 14,371,029 | 13,864,531 |
Third-quartersales increased by 5.8% to Ps.12,066.6 million compared with Ps.11,407.9 million in third-quarter 2020 driven by net additions in broadband and voice, and by some price realignments.
Third-quarteroperating segment income increased by 5.6% to Ps.5,064.5 million compared with Ps.4,796.7 million in third-quarter 2020. Margin of 42.0% was mostly in line with the third quarter of 2020.
The following tables set forth the breakdown of revenues and operating segment income, excluding consolidation adjustments, for our MSO and enterprise operations for the third-quarter of 2021 and 2020.
MSO Operations (1) | 3Q'21 | 3Q'20 | Change % |
Millions of Mexican pesos | |||
Revenue | 10,823.0 | 10,227.4 | 5.8 |
Operating Segment Income | 4,583.4 | 4,323.1 | 6.0 |
Margin (%) | 42.3 | 42.3 | |
Enterprise Operations (1) | 3Q'21 | 3Q'20 | Change % |
Millions of Mexican pesos | |||
Revenue | 1,744.4 | 1,734.0 | 0.6 |
Operating Segment Income | 629.9 | 611.3 | 3.0 |
Margin (%) | 36.1 | 35.3 |
- These results do not include consolidation adjustments of Ps.500.8 million in revenues nor Ps.148.8 million in operating segment income for the third-quarter of 2021, neither the consolidation adjustments of Ps.553.5 million in revenues nor Ps.137.7 million in operating segment income for the third-quarter of 2020. Consolidation adjustments are considered in the consolidated results of the Cable segment.
Third-quarter sales and operating segment income in our MSO operations increased by 5.8% and 6.0%, respectively. Third-quarter sales in our Enterprise operations increased by 0.6%, mainly due to the timing of revenue recognition, and operating segment income increased by 3.0%.
4
Sky
During the third-quarter, Sky continued growing its broadband business after adding 15.4 thousand broadband RGUs reaching a total of 722.5 thousand broadband RGUs. Sky lost 1.6 thousand video RGUs.
The following table sets forth the breakdown of RGUs per service type for Sky as of September 30, 2021 and 2020.
RGUs | 3Q'21 Net | 3Q'21 | 3Q'20 |
Adds | |||
Video | (1,598) | 7,488,278 | 7,472,350 |
Broadband | 15,366 | 722,481 | 594,011 |
Voice | (36) | 649 | 837 |
Mobile | 13,023 | 27,555 | - |
Total RGUs | 26,755 | 8,238,963 | 8,067,198 |
Third-quartersales decreased by 2.5% to Ps.5,459.4 million compared with Ps.5,597.9 million in the third-quarter of 2020, mainly explained by lower recharges of Sky's prepaid packages as children are returning to school to in-person classes and workers are gradually going back to the office.
Third-quarteroperating segment income decreased by 7.2%, reaching Ps.2,261.7 million compared with Ps.2,436.7 million in the third-quarter of 2020. The decline was driven by the amortization of certain sporting events, such as the UEFA Euro 2020 and the CONMEBOL America Cup, which were cancelled last year due to the COVID-19 social distancing measures.
Content
Third-quartersales increased by 13.4% to Ps.9,109.8 million compared with Ps.8,033.4 million in the third-quarter of 2020.
Millions of Mexican pesos | 3Q'21 | % | 3Q'20 | % | Change |
% | |||||
Advertising | 4,823.8 | 53.0 | 4,164.4 | 51.8 | 15.8 |
Network Subscription | 1,323.9 | 14.5 | 1,331.7 | 16.6 | (0.6) |
Licensing and Syndication | 2,962.1 | 32.5 | 2,537.3 | 31.6 | 16.7 |
Net Sales | 9,109.8 | 8,033.4 | 13.4 | ||
Advertising
Third-quarterAdvertising sales increased by 15.8% to Ps.4,823.8 million compared with Ps.4,164.4 million in the third-quarter of 2020. This represents a strong recovery across most categories among our private sector clients with respect to the third-quarter of 2020 driven by the economic recovery and the success of free-to-air television to build and improve brand recognition, and sell products and services in Mexico.
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Grupo Televisa SAB published this content on 21 October 2021 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 21 October 2021 22:33:08 UTC.