Q1 Profit at Mediaset Drops

MILAN: Mediaset Group’s first quarter financials show a 26-percent fall in net profit to 68.4 million euros, with revenues flat at 1.1 billion euros.

The company said the quarter was impacted by a "difficult international economic situation." However, it has an upbeat forecast for improved ad revenues from Italy in the second half, while the situation in Spain remains volatile. Overall, the company expects to see a profit gain in its full-year 2011 results.

Revenues from Italy were down 6 percent to 846.3 million euros. Ad revenues for the main free-to-air channels amounted to 668.5 million euros, a 2.4 percent decline. Revenues from Mediaset Premium, the DTT pay-TV platform, rose to 157.6 million euros. Net profit for the Italian business was 51.4 million euros, down from 65.2 million euros.

Mediaset’s assets in Spain generated 266.1 million euros in revenues, up from 212 million euros, with ad revenues increasing from 194.2 million euros to 258.2 million euros. Nonetheless, profit was down 32 percent to 40.1 million euros.