VOCENTO, S.A. Vocento, S.A. y Sociedades Dependientes
RESULTADOS ENERO-JUNIO 2019
26 de julio de 2019
Results for January-June 2021
27 JULY 2021
Vocento, S.A. and Subsidiaries
Results Report, January to June 2021
PERFORMANCE OF VOCENTO BUSINESSES
VOCENTO is a multimedia group, whose parent company is VOCENTO, S.A. It is dedicated to the various areas that comprise the media sector. For the organisation of management information, a number of business lines have been defined. Reports to the market are based on this organization of information, which covers all the businesses in which VOCENTO is present, assigned to their respective business segments.
IMPORTANT NOTE
To facilitate the analysis of financial information and understand the organic performance of the Company, it is always indicated in this report when operating expenses, EBITDA, the net result or financial debt are affected by non-recurring or extraordinary items, including adjustments to the workforce. Further details about these adjustments can be found in Appendix I at the end of this document: Alternative Performance Measures.
Furthermore, while it is standard to compare the information from 1H21 with that of the prior year, in this report we have decided that it is more helpful to compare the period with the performance in 1H19.
P á g i n a 2 | 24
Vocento, S.A. and Subsidiaries
Results Report, January to June 2021
Main highlights of the financial performance of the businesses in 1H21Strategic continuity, with digital area strengthened and recovery of events
Digital growth, steady recovery of advertising
Solid progress towards the target of returning to EBITDA levels of 2019
Major reduction in debt, sale of non-strategic assets and strategic investment in
leads
- Improving revenue trend in 2Q21
- VOCENTO advertising revenues increased by +25.1% in 2Q21 vs 2Q20. Although advertising revenues were -14.1% lower than in 2Q19, the trend has improved from a fall of -22.6% in 1Q21. VOCENTO has continued to make market share gains (VOC 1H21 -18.1% vs -19.2% for the market, according to i2p and excluding social media and search).
- Digital advertising revenues now represent more than half of total VOCENTO advertising revenues (50.5% in 1H21, including e-commerce revenues).
- Online advertising increased by +20.9% in 1H21 vs 1H20, with an increase of +44.5% in 2Q21, returning to pre-Covid levels.
- There was a +25% increase in paying digital subscribers to reach 78k in June 2021. Total subscribers increased to 92k, close to the 100k target set for December 2021.
- Protection of profitability
- The margin on readers (i.e. the margin on circulation revenues and digital subscriptions) increased by +2,813 thousand euros from 1H20 to 1H21.
- Salary reviews have been concluded which allow the cost structure to be adapted to the current level of business.
- EBITDA in 1H21 increased by +9,385 thousand euros from 1H20 to 15,959 thousand euros, including 4,326 thousand euros of compensation payments in 1H20.
- Reduction of NFD, increased cash generation, strategic acquisition in leads
- Generation of ordinary cash flow of 14,977 thousand euros in 1H21, from 6,647 thousand euros in 1H20.
- Divestments of real estate belonging to El Diario Vasco and of a 45% stake in Izen generated a cash entry in 1H21 of 27,624 thousand euros.
- NFD ex IFRS 16 is -17,121 thousand euros in 1H21 vs -46,590 thousand euros in 2020. NFD/EBITDA LTM ex IFRS 16 is 0.5x. NFD stands at -36,841 thousand euros.
- Acquisition in 3Q21 of Premium Leads, reinforcing the group's digital commercial positioning.
P á g i n a 3 | 24
Vocento, S.A. and Subsidiaries
Results Report, January to June 2021
Main financial data
Consolidated profit and loss account
IFRS Thousand euros | 1H21 | 1H20 | Var Abs | Var % |
Circulation revenues | 57,348 | 59,184 | (1,836) | (3.1%) |
Advertising revenues | 68,965 | 65,192 | 3,772 | 5.8% |
Other revenues | 42,261 | 39,319 | 2,942 | 7.5% |
Total revenue | 168,574 | 163,696 | 4,878 | 3.0% |
Staff costs | (72,343) | (72,470) | 127 | 0.2% |
Procurements | (12,455) | (13,232) | 777 | 5.9% |
External Services | (66,738) | (70,377) | 3,639 | 5.2% |
Provisions | (1,078) | (1,043) | (36) | (3.4%) |
Operating expenses (without D&A) | (152,615) | (157,122) | 4,507 | 2.9% |
EBITDA | 15,959 | 6,574 | 9,385 | n.r. |
Depreciation and amortization | (9,839) | (9,771) | (68) | (0.7%) |
Impairment/gains on disposal of tan. & intan. assets | 10,699 | 56 | 10,643 | n.r. |
EBIT | 16,819 | (3,140) | 19,960 | n.r. |
Impairments/reversal of other intangible assets | (1,000) | (4,007) | 3,007 | 75.0% |
Profit of companies acc. equity method | (207) | 346 | (554) | n.r. |
Net financial income | (1,173) | (1,326) | 153 | 11.5% |
Net income from disposal of non-current assets | (922) | (218) | (704) | n.r. |
Profit before taxes | 13,516 | (8,346) | 21,862 | n.r. |
Corporation tax | (3,269) | (759) | (2,510) | n.r. |
Net profit for the year | 10,247 | (9,105) | 19,352 | n.r. |
Minority interests | (4,600) | (2,071) | (2,529) | n.r. |
Net profit attributable to the parent | 5,648 | (11,176) | 16,823 | n.r. |
Staff costs ex non recurring costs | (72,343) | (68,144) | (4,199) | (6.2%) |
Operating Expenses ex non recurring costs | (152,615) | (152,796) | 182 | 0.1% |
Comparable EBITDA | 15,959 | 10,900 | 5,060 | 46.4% |
Note: figures are rounded to the nearest thousand euro.
Operating revenues
In 1H21, total revenues increased by +3.0% from 1H20 to stand at 168,574 thousand euros.
By type of revenue:
- Circulation revenuesdecreased by -3.1%. The quarterly performance was positive, from down -7.4% in 1Q21 to +1.7% in 2Q21. The total number of digital subscribers increased by +25% to 78k in June, with 57k at the Regional press (ON+ and KyM) and 21k at ABC (ABC Premium and KyM). The total number of subscribers is 92k, close to the 100k target set for December 2021.
- Advertising revenuesincreased by +5.8%, with a recovery in 2Q21 of +25.1% following a fall of -11.3% in 1Q21.
P á g i n a 4 | 24
Vocento, S.A. and Subsidiaries
Results Report, January to June 2021
Comparing 1H21 with 1H19, VOCENTO's brands outperformed the market both in print advertising (-30.0% vs. -33.8%) and online advertising (+2.9% vs. -0.1%).
Advertising performance, VOCENTO vs. the market 1H21 vs 1H19
Data in %
Note 1: source i2p ex social media and search. Data from release of 16 July.
On a quarterly basis, a steady reduction in the rate of decline can be observed.
Quarterly advertising performance, VOCENTO vs the market 1H21 vs 1H19
Data in %
Note 1: source i2p ex social media and search. Data from release of 16 July.
In terms of the performance of local and national advertising, following the increase in both segments in the last quarter, local advertising was flat in 1H21 (-0.7%), while national advertising increased by +14.8%, reflecting the higher weight of digital advertising.
National advertising vs. local1
Data in %
Note 1: net advertising. Not including Audiovisual, sales companies or eliminations.
P á g i n a 5 | 24
This is an excerpt of the original content. To continue reading it, access the original document here.
Attachments
- Original document
- Permalink
Disclaimer
Vocento SA published this content on 27 July 2021 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 27 July 2021 16:09:09 UTC.
