Nordic Entertainment Delivers for MTG’s Q3


MTG reported record Q3 sales, with 3 percent organic growth, as well as a 28 percent increase in operating profits, even when including SEK 7 million ($775,000) in transaction costs related to the company’s split.

Net sales for the third quarter came to SEK 4.7 billion ($520 million). Total operating income before IAC was SEK 328 million ($36 million), including the costs from the split.

Jørgen Madsen Lindemann, MTG’s president and CEO, said: “This was yet another quarter of profitable growth, and we are on track with the planned split. I would like to welcome Kinnevik’s shareholders as direct owners of MTG now.”

Nordic Entertainment delivered its eighth consecutive quarter of higher sales and profits. The growth continues to be driven by streaming services—Viaplay in particular. Free-TV sales were down but the Swedish Radio business delivered double-digit sales growth and the Viafree streaming service continues to grow. Studios sales and profits were down, but Madsen Lindemann noted that MTG has a “healthy forward pipeline of contracted productions.

“Overall, we have continued to invest in original local dramas and premium sports, in order to drive up subscription and consumption levels further,” he said.

Nova Bulgaria continued to report double-digit profitable growth. MTGx generated double-digit organic sales growth, while eSports sales were up and losses were down.

The split of MTG with NENT is set to be completed in the first quarter of 2019.