RTL Group, Europe’s largest TV, radio and production company announces its audited results for the year ended 31 December 2005.
Highlights
| In EUR million | Year to December 2005 | Year to December 2004 (restated)* | Per cent Change |
| Revenue |
5,115 |
4,878 | +4.9 |
| Underlying revenue** | 5,052 | 4,794 |
+5.4 |
| Reported EBITA*** | 758 | 709 |
+6.9 |
| Restructuring costs and non recurring items | 8 | 15 | |
| Start up losses **** |
31 |
38 | |
| Adjusted EBITA***** |
797 |
762 | +4.6 |
| Reported EBITA margin (%) | 14.8 | 14.5 | |
| Adjusted EBITA margin (%) | 15.6 | 15.6 | |
| Reported EBITA | 758 | 709 | +6.9 |
| Amortisation of fair value adjustments on acquisitions of subsidiaries and joint ventures | (16) |
(13) |
|
| Impairment of goodwill and amortisation of fair value adjustments on acquisitions of associates | (2) | (6) | |
| Gain/(loss) from sale of subsidiaries, joint ventures and other investments | 1 | (18) | |
| Net financial expense | (9) | (44) | |
| Income tax expense | (116) | (196) | |
| Profit for the year | 616 | 432 | +42.6 |
| Attributable to: | |||
| Minority interest |
79 |
66 | |
| RTL Group shareholders | 537 | 366 | +46.7 |
| Adjusted EPS (EUR) | 2.96 | 2.62 | +13.0 |
| Proposed / paid dividend per share (EUR) |
1.05 |
0.95 | +10.5 |
*2004 result restated by EUR 2 million following application of IFRS 2 (share based payments)
**Adjusted for the full consolidation of Five in 2005. In 2004 adjustments made for the full consolidation of M6 and partial disposal of Sportfive
***EBITA represents earnings before interest and taxes excluding, amortisation and impairment of goodwill and fair value adjustments on acquisitions and gain/(loss) from sale of subsidiaries, joint ventures and other investments
****RTL Televizija, Yorin FM, RTL FM and launch of digital television and radio channels
*****Adjusted earnings per share represents the net profit for the period adjusted for amortisation of fair value adjustments on acquisitions and impairment of goodwill, gain or loss from sale of subsidiaries, joint ventures and other investments, net of income tax expense and one-off tax effects
Earnings and Revenue up after the Record Year 2004 and despite mixed market conditions
- Reported EBITA of EUR 758 million, up 7 per cent
- Group revenue of EUR 5,115 million, up 5 per cent
- Net result of EUR 537 million, up 47 per cent
- Net cash from operating activities of EUR 987 million resulting in an operating cash conversion of 120 per cent
- Proposed dividend of EUR 1.05 per share, up 11 per cent
- Strong audience and advertising shares maintained
- Mixed advertising market conditions in Europe continue
Share of Earnings better balanced
- Record EBITA at M6, RTL Nederland, Five, RTL Belgium, Antena 3 and FremantleMedia
- Significant increase in EBITA results and share of advertising market at Five
- The German RTL Family is back on track in terms of audience share, advertising revenue and operating results following a strong second half year performance
- Double digit growth in non-advertising revenue
- FremantleMedia’s positive results driven by successes in the US. Sets trend with Telenovelas
- All established profit centres EBITA positive
Strategic course systematically continued: Families of Channels, Diversification and Geographic Expansion
- Reposition of our family of channels in the Netherlands
- New digital channels in France; investment in UK’s Top Up TV
- M6 Mobile has gained 300.000 customers in 8 months
- Full consolidation of Five in the UK following the acquisition of remaining stake in September
- Increase in strategic participation in Grupo Media Capital in Portugal from 11.6 per cent to 33 per cent
- Acquisition of 30 per cent stake in Ren TV in Russia
“Ability and Willingness to Grow”
Gerhard Zeiler, Chief Executive Officer of RTL Group said:
“2005 has been another record year for us. RTL Group improved all key figures despite mixed market conditions. Earnings and revenues are up, and we improved our margin. Despite our investments we are cash positive for the second consecutive year. RTL Group has the ability and the willingness to grow.”
“We continue to have the potential to create further value for our shareholders based on our three-pronged strategy: To further strengthen the channel families in the markets in which we already operate, to increase non-advertising revenue streams and to expand geographically.”
“The Pan-European TV strategy works. Due to our investments in the U.K., Southern, Central and Eastern Europe, RTL Group is better balanced today than two years ago.”
“We launched new businesses, generating new revenue streams. We did this on the basis of our core competencies and assets – our strong brands, our promotion power and our access to communities.”
Conference Call RTL Group Audited Results for press:
Date: Wednesday, March 15, 2006
11:00 CET / 10:00 GMT
Number to dial: +44 20 7162 0029
Replay details: There will be a 7 day replay available from 15th March to 22nd March 2006, by dialing:
From the UK: +44 (0) 20 7031 4064
From Germany: +49 (0) 30 72616 7224
Passcode: 696489
The slides of the presentation and the mp3-file will also be available on www.rtlgroup.com.
RTL Group announces its audited results for the year ended 31 December 2005
Luxembourg, 15 March 2006 – RTL Group, Europe’s largest TV, radio and production company announces its audited results for the year ended 31 December 2005
Highlights
In EUR million Year to
December
2005
Year to
December
2004
(restated)* Per cent
Change
Revenue 5,115 4,878 +4.9
Underlying revenue** 5,052 4,794 +5.4
Reported EBITA*** 758 709 +6.9
Restructuring costs and non recurring items 8 15
Start up losses **** 31 38
Adjusted EBITA***** 797 762 +4.6
Reported EBITA margin (%) 14.8 14.5
Adjusted EBITA margin (%) 15.6 15.6
Reported EBITA 758 709 +6.9
Amortisation of fair value adjustments on acquisitions of subsidiaries and joint ventures (16) (13)
Impairment of goodwill and amortisation of fair value adjustments on acquisitions of associates (2) (6)
Gain/(loss) from sale of subsidiaries, joint ventures and other investments 1 (18)
Net financial expense (9) (44)
Income tax expense (116) (196)
Profit for the year 616 432 +42.6
Attributable to:
Minority interest 79 66
RTL Group shareholders 537 366 +46.7
Adjusted EPS (EUR) 2.96 2.62 +13.0
Proposed / paid dividend per share (EUR) 1.05 0.95 +10.5
__________________________________________________________________________
*2004 result restated by EUR 2 million following application of IFRS 2 (share based payments)
**Adjusted for the full consolidation of Five in 2005. In 2004 adjustments made for the full consolidation of M6 and partial disposal of Sportfive
***EBITA represents earnings before interest and taxes excluding, amortisation and impairment of goodwill and fair value adjustments on acquisitions and gain/(loss) from sale of subsidiaries, joint ventures and other investments
****RTL Televizija, Yorin FM, RTL FM and launch of digital television and radio channels
*****Adjusted earnings per share represents the net profit for the period adjusted for amortisation of fair value adjustments on acquisitions and impairment of goodwill, gain or loss from sale of subsidiaries, joint ventures and other investments, net of income tax expense and one-off tax effects
_______________________________________________________________________________________
Earnings and Revenue up after the Record Year 2004 and despite mixed market conditions
• Reported EBITA of EUR 758 million, up 7 per cent
• Group revenue of EUR 5,115 million, up 5 per cent
• Net result of EUR 537 million, up 47 per cent
• Net cash from operating activities of EUR 987 million resulting in an operating cash conversion of 120 per cent
• Proposed dividend of EUR 1.05 per share, up 11 per cent
• Strong audience and advertising shares maintained
• Mixed advertising market conditions in Europe continue
Share of Earnings better balanced
• Record EBITA at M6, RTL Nederland, Five, RTL Belgium, Antena 3 and FremantleMedia
• Significant increase in EBITA results and share of advertising market at Five
• The German RTL Family is back on track in terms of audience share, advertising revenue and operating results following a strong second half year performance
• Double digit growth in non-advertising revenue
• FremantleMedia’s positive results driven by successes in the US. Sets trend with Telenovelas
• All established profit centres EBITA positive
Strategic course systematically continued: Families of Channels, Diversification and Geographic Expansion
• Reposition of our family of channels in the Netherlands
• New digital channels in France; investment in UK’s Top Up TV
• M6 Mobile has gained 300.000 customers in 8 months
• Full consolidation of Five in the UK following the acquisition of remaining stake in September
• Increase in strategic participation in Grupo Media Capital in Portugal from 11.6 per cent to 33 per cent
• Acquisition of 30 per cent stake in Ren TV in Russia
“Ability and Willingness to Grow”
Gerhard Zeiler, Chief Executive Officer of RTL Group said:
“2005 has been another record year for us. RTL Group improved all key figures despite mixed market conditions. Earnings and revenues are up, and we improved our margin. Despite our investments we are cash positive for the second consecutive year. RTL Group has the ability and the willingness to grow.”
“We continue to have the potential to create further value for our shareholders based on our three-pronged strategy: To further strengthen the channel families in the markets in which we already operate, to increase non-advertising revenue streams and to expand geographically.”
“The Pan-European TV strategy works. Due to our investments in the U.K., Southern, Central and Eastern Europe, RTL Group is better balanced today than two years ago.”
“We launched new businesses, generating new revenue streams. We did this on the basis of our core competencies and assets – our strong brands, our promotion power and our access to communities.”
Conference Call RTL Group Audited Results for press:
Date: Wednesday, March 15, 2006
11:00 CET / 10:00 GMT
Number to dial: +44 20 7162 0029
Replay details: There will be a 7 day replay available from 15th March to 22nd March 2006, by dialing:
From the UK: +44 (0) 20 7031 4064
From Germany: +49 (0) 30 72616 7224
Passcode: 696489
The slides of the presentation and the mp3-file will also be available on www.rtlgroup.com.
For further information please contact:
Media
Oliver Herrgesell
Executive Vice President
Corporate Communications
Phone: +352/2486-5200
oliver.herrgesell@rtlgroup.com
Investor Relations
Andrew Buckhurst
Senior Vice President
Investor Relations
Phone: +352/2486 5074
andrew.buckhurst@rtlgroup.com
About RTL Group
RTL Group is Europe’s largest TV, radio and production company, with interests in 34 television channels and 34 radio stations in eleven countries and content production throughout the world. Its television portfolio includes RTL Television in Germany, M6 in France, Five in the UK, the RTL channels in the Netherlands, Belgium, Luxembourg, Croatia and Hungary, REN TV in Russia as well as Antena 3 in Spain and TVI in Portugal. RTL Group’s flagship radio station is RTL in France, and it also owns or has interests in other stations in France, Germany, Belgium, the Netherlands, Spain, Portugal and Luxembourg. RTL Group’s content production arm, FremantleMedia is one of the largest international producers outside the US. It is currently producing over 300 programmes in more than 40 countries providing a wide range of drama, entertainment and factual programming for viewers around the word.