LUXEMBOURG, March 9 /PRNewswire/ --
-- Net Revenue Exceeds EUR1 Billion With 14% Growth -
-- Record EBITDA of EUR207 Million -- Growing 43% -
SBS Broadcasting S.àr.l. announced strong financial results for the full-year 2006, with net revenue increasing by 14% to EUR1,003 million from EUR879.5 million in 2005. SBS's recurring EBITDA surpassed previous record figures set in 2005 by 43% to EUR207 million, an increase of EUR62 million from 2005.
The SBS Group has four main business segments: Commercial Television, which accounted for 70% of net revenues, and Pay Television, Radio and Print, which accounted for 15%, 8% and 7%, respectively. Non-advertising revenues continued to grow, increasing to 39% of net revenues in 2006, up from 34% in 2005, driven by revenue increases in Pay TV, cable fees, subscriptions and interactive TV. In addition, SBS's performance was driven by significant improvements in the operating results of SBS's commercial television stations in the Netherlands, Belgium, the Nordic countries and Romania.
Patrick Tillieux, acting Chief Executive Officer of SBS Broadcasting Group, said: "2006 has been a record year for the group across virtually all financial metrics. Our diverse mix of European operations and our innovative management team have enabled us to successfully identify and capitalize on the growth opportunities within our multi-channel offering. Our commercial television and radio operations achieved solid results as we continue to deliver on our targeted audiences, while our premium Pay TV business in the Nordic region has established itself as the market leader with more than 900,000 subscriptions."
"A major factor in SBS's continuing success is the strength of our local and corporate management, which combines local market knowledge and entrepreneurial talent with international expertise and best practices," explained Patrick Tillieux. "SBS continues to be strategically well-positioned in both developed and high-growth markets across Europe with a strong platform for future growth and cash flow generation."
"I would like to congratulate Patrick Tillieux and his team on an outstanding performance. Free to air has grown strongly, the high definition Pay TV brand C More has been significantly strengthened and a wide range of innovative new services have been successfully introduced during the course of the year", said Dominic Murphy, Chairman of the Management Board. "SBS's revenues have nearly doubled within five years with an almost sixfold increase in EBITDA. Within the last years, the company has shown a convincing ability to identify and realise growth opportunities through diversified revenues, start-up launches and acquisitions", Katrin Wehr-Seiter, Vice Chairman of the Management Board, added.
SIGNIFICANT EVENTS DURING 2006
-- In March 2006, the Company appointed Patrick Tillieux to acting Chief Executive Officer of SBS Broadcasting Group.
-- In April 2006, the Company launched Kanal 4 in Denmark, a TV channel targeting female viewers with a mix of locally produced and acquired international programming.
-- In May 2006, the Company completed the acquisition of Vitosha FM - the company that controls the Radio Vitosha national network in Bulgaria; in June 2006 the company acquired the Bulgarian Radio Veselina network and in November 2006 the Radio Express network, thus creating a leading operation in the Bulgarian radio market.
-- In May 2006, the Company was awarded one Gold and one Silver Muse Award from Promax/BDA EMEA honoring SBS's creative talent during the organization's 10th annual European Conference held in Vienna, Austria.
-- In June 2006, the Company appointed Graham Bryce as Senior Vice President Radio Group, overseeing development and execution of the business strategy at SBS Radio Group.
-- In July 2006, the Company published the first edition of SBS Yearbook, which provides detailed research data on nationwide TV market share, radio reach, and advertising spend for all of the 10 European media markets in which SBS Broadcasting currently operates.
-- In September 2006, the Company and its wholly-owned Romanian subsidiary, Amerom Television S.R.L., completed the acquisition of Romania's most popular music channel, TV K Lumea. The station was rebranded KissTV and is now part of The Voice TV network.
-- In September 2006, the Company completed the acquisition of the remaining 28% equity stake in SBS Radio AB from Bonnier Gaming AB and now owns 100% of the company. SBS Radio is the second largest radio operator in Sweden reaching 3.3 million weekly listeners.
-- In November 2006, the Company announced an agreement with Telenor and Canal Digital allowing CANAL+ Premium Pay Channels to remain on Canal Digital Nordic DTH.
-- In December 2006, the Company appointed Bart Becks as Senior Vice President New Media, a newly created position responsible for the overall development and coordination of digital media services and revenue streams based on the internet, mobile devices, interactive television services and other emerging digital platforms across all SBS operating units.
About SBS Broadcasting Group
SBS Broadcasting Group is one of Europe's leading broadcasting groups, operating commercial television, premium pay channels, radio stations and related print businesses in Western and Central and Eastern Europe. SBS currently has broadcasting operations in Belgium (Flanders), Bulgaria, Denmark, Finland, Greece, Hungary, The Netherlands, Norway, Romania, Sweden and the United Kingdom. SBS is controlled by funds advised by two leading private equity firms, Permira and KKR. Telegraaf Media Groep N.V. (TMG) of the Netherlands is also a shareholder in SBS, with a 20% equity interest. www.sbsbroadcasting.com
For further information about SBS Broadcasting Group, please contact Bettina Duske at +31-205191914 or bettina.duske@sbsbroadcasting.com
