TVN revenues in the first quarter increased 3.6% lead by a 4.5% growth in advertising related revenue with all business lines contributing to this result in the quarter, and in particular the strong audience results of our main channel on the opening of the spring season in March.
Adjusted EBITDA1 was up by 5.3% to PLN 92 million in the first quarter, with the revenue growth impact partially offset by the cost increase related to the spring season’s programming offer.
- Reported EBITDA was 38% lower year-on-year and reached PLN 59 million, with an increase to PLN 16 million in the share of profit of associates, offset by PLN 48 million one-off costs due to the anticipated change of control transaction.
The main channel’s schedule outperformed competition on the opening of spring season in March reaching average all day audience shares of 14.1% in the commercial target group and 16.3% in the key urban target group.
TVN thematic channels portfolio increased its all day commercial target group audience share in the first quarter from 8.7% to 9.1% year-on-year driven by further strengthening of content offering and expansion of technical reach.
nC+ – the strategic associate of TVN – reported 2.12 million post-paid subscribers at the end of March, with average monthly ARPU of PLN 68.2 and revenues of PLN 525 million in the first quarter. EBITDA in that period was PLN 105 million with the TVN share of nC+ profit amounting to PLN 14.4 million.
Net profit for the first quarter of PLN 79 million predominantly reflected positive impact of net finance result with unrealized foreign exchange gains of PLN 91 million significantly offsetting PLN 44 million of interest expense and one-off costs due to anticipated change of control.
Net debt to adjusted EBITDA improved to 3.7 at the end of March 2015 from 3.9 at December 31st, 2014.
The Management proposes a dividend of PLN 102 million or PLN 0.30 per share to be paid from 2014 profits, subject to approval by the Annual General Shareholders Meeting. Further distributions to shareholders may be considered by the Management under the existing share buyback authorization, but they would be limited to no more than PLN 150 million and will be subject to any change of control considerations.