- Revenue of €115.7m over the first semester, impacted by the
Covid-19 context
- EBITDA of €17.7m, with an EBITDA margin maintained over
15%
- Covid-19 impact: delivery production schedule (delays for
Originals and Animation) and lower advertising revenue of the
channels (Thematics)
- Important production line-up in terms of drama, cinema,
documentary as well as animation
Regulatory News:
Mediawan (Paris:MDW), one of the main independent European
studios of premium content, announces its financial results for the
first half of 2020. These financial statements were approved by the
Management Board at their meeting on September 19th, 2020, and were
subjected to a limited examination by the Statutory Auditors. The
revenue for the first half is €115.7m, down 39% compared to H1
2019. As previously announced, the Covid-19 pandemics led in Q2
2020 to significant delays in delivery for Originals and, to a
lower extent, Animation (which will reinforce the already strong
line-up in production for late 2020 and 2021) and a decrease of
advertising revenue of the channels.
Key reported financial indicators
H1 2020
H1 2019
Revenues (€m)
115.7
188.7
EBITDA (€m)
17.7
25.9
EBITDA margin (%)
15.3 %
13.7 %
EBIT (€m)
(4.7)
4.2
Net Income – Group share (€m)
(5.0)
2.0
Adjusted Net Income – Group share
(€m)1
3.8
15.0
Adjusted EPS (€ / share)
0.12
0.48
06/30/2020
12/31/2019
Net Financial Debt 2 (€m)
136.3
142.2
Shareholders’ equity – attributable to
owners of the Company (€m)
209.6
226.8
“In spite of the pandemics context we are facing in our various
businesses, we are quite confident in our growth perspectives.
Mediawan is one of the main actors of European consolidation in the
content sector, and already one of the preferred contacts for the
TV channels and global platforms. Our European network which is
building up and the reinforcement of our French standing, with
Mediawan Studio in particular, will allow us to meet these
objectives.” - Pierre-Antoine Capton, Chairman of the Board of
Mediawan
Main developments by business unit
- Mediawan Originals, one of Europe’s leading independent
producers of original content in drama, cinema and documentary with
25 labels in France, Italy and Spain, reported a H1 2020 revenue of
€35.9m, down 47% compared to H1 2019. This revenue mainly consists
in deliveries already announced in Q1 2020, as well as in Q2 2
episodes of “Research Unit” to TF1 and several documentaries like
“The Voyages of Matisse, Chasing Light” to Arte or “Michiko, La
Force du Roseau” to France Télévisions, but also two theater
releases of feature films throughout the summer (“L’Aventure des
Marguerite” and “T’As Pécho?”), representing 33 hours of programmes
over the semester. The slowdown in deliveries in Q2 is mainly
linked to the pauses in productions at the end of Q1, which resumed
as soon as health regulations allowed. However, the Originals
business plans on delivering many high-end programmes in Q3
including “Anelka: Misunderstood” and “Gims” to Netflix (released
on August 5th and September 17th respectively), “Brutus Vs Cesar”
(on Amazon Prime Video on September 18th), “Boutchou” (theatrical
release on September 23rd), season 2 of “Unfaithful” (on TF1
starting on October 1st), but also season 4 of “Call My Agent” and
“Apocalypse: Hitler Attacks to the West” to France Télévisions or
“La Flamme” to Canal+.
- Mediawan Animation reported an H1 2020 revenue of €14.7m,
consisting mainly in the delivery of 18 episodes of “Power Players”
(including 3 in Q2), compared to a revenue of €49,5m in H1 2019 (as
a reminder the “Playmobil” movie, delivered in 2019, represented
alone a revenue of €32m). The Animation business also plans on
delivering several of its signature programmes in the second half
of the year, such as the two TV movies “Miraculous World – New
York: United HeroeZ” which will be released in late September in
many territories, and “Miraculous World: Shanghai – Lady Dragon”
which will be released in early 2021, but also the feature film
“Little Vampire” by Joann Sfar, which will be released in theaters
on October 21st, 2020. Besides, the Animation teams continue their
production effort in particular with seasons 4 and 5 of the
“Miraculous: Tales of Ladybug & Cat Noir” phenomenon, season 3
of “Robin Hood” which will be delivered starting at the end of
2020, but also the series “Pinocchio and The Enchanted Village”,
scheduled for 2021, and the feature film “Miraculous Awakening”,
scheduled for the end of 2021.
- Mediawan Rights, which comprises
all of Mediawan’s distribution activities, recorded an H1 2020
revenue of €15.8m, down 9% compared to H1 2019. This mainly
corresponds for Q2 to the sale of “Babylon Berlin” to Canal+,
“Megastadium” to National Geographic and Red Bull Media in certain
territories, as well as the Group’s top franchises like
“Miraculous” and “Alice Nevers” to Discovery. Mediawan Rights also
sold the series “H” to Netflix during Q3. As of today, the current
context hasn’t resulted in an increase in demand from channels and
platforms for the contents of the Mediawan Rights catalogue.
- Mediawan Thematics, which
specialises in the publication of channels and non-linear
platforms, reported an H1 2020 revenue of €49.2m, down 9% compared
to H1 2019, mainly due to lower advertising revenue, down 30% over
the semester compared to H1 2019 – a trend observed in all
broadcasters. In this context, the Group has taken programming cost
cuts measures in the last few months. The good performances of the
Group’s thematic channels in terms of audience share throughout
2020, have also contributed to the pick-up of advertising in Q3
2020, which are up compared to Q3 2019. Besides, the two main
expiring operator contracts have been renewed in the 1st semester,
and the Thematics teams are currently developing non-linear offers
for various platforms.
Reported EBITDA of €17.7m, adjusted net income – group share3
of €3.8m
EBITDA reaches €17.7m, i.e. an operating margin of 15.3%. This
stabilized margin level is mainly the result of a mix effect and
cost saving initiatives, compensated by lower absorption of
structure costs.
Reported operating profit is €(4.7)m, after recognition of (i)
amortisation other than that related to audiovisual rights
(including amortisation of IFRS 16 rights of use), (ii)
amortisation of the share of goodwill allocated to intangible
assets and property, plant and equipment, (iii) non-recurring
expenses related to acquisitions and reorganisation costs and (iv)
the accounting impact, with no impact on the Group’s cash position,
of items equivalent to remuneration items under IFRS standards.
The Group share of net income is a loss of €(5.0)m, net of
financial expense of €(4.2)m, income tax of €1,4m and minority
interests of €(0.2)m.
Adjusted net income, which strips out the impact of
non-recurring items on net income, amounted to €3.8m, versus €15.0m
in H1 2019.
Financial structure: net debt4 of €136.3m and shareholders’
equity of €210.7m at the end of June 2020
Shareholders’ equity decreases from €229.3m at year end 2019 to
€210.7m at the end of June 2020, mainly impacted by the result of
the period and by the non-monetary impact related to the
recognition of minority interest buyout commitments.
At 30 June 2020, the Group had net financial debt of €136.3m
versus €142.2m at 31 December 2019. The decrease in net debt over
the period is due to a positive operational cash flow, which are
not offset by the capital operations of the period.
2020 perspectives in line with previously communicated
trends
Due to the pandemics context, the Group anticipates as of today
that its 2020 revenue should be down c. -20% compared to its 2019
revenue. The EBITDA, on the other hand, should be down
approximately 30% over a year. The Group therefore confirms the
indications previously communicated and is petting everything in
place to ensure a return to normal in its activities in 2021.
The financial report for the first half of 2020 is available
on: http:// https://www.mediawan.com/en/our-investors, in the
“Financial reports” section
Next financial press release: Q3 revenue, by November
30th, 2020
About Mediawan - mediawan.com Created in late 2015 by
Pierre-Antoine Capton, Xavier Niel and Matthieu Pigasse, Mediawan
soon became one of the main independent European studios producing
premium content. Mediawan brings together best-in-class talents in
audiovisual creation by operating on the entire value chain:
production of drama, documentary and animated original content
(Mediawan Originals and Mediawan Animation), distribution of
audiovisual content (Mediawan Rights), and publishing of channels
and digital services (Mediawan Thematics). Mediawan currently
gathers 30 production labels. Eligible to PEA-PME – ISIN code:
FR0013247137/Ticker: MDW .
Appendix
1. Consolidated income statement – period from January 1 to
June 30, 2020 and January 1 to June 30, 2019
In € millions S1 2020 S1 2019*
Revenues
115.7
188.7
Other products
43.9
71.0
Purchases and external expenses
(40.7)
(61.7)
Personnel expenses
(48.3)
(50.4)
Other expenses
(12.3)
(12.6)
Reversals of depreciation and provisions
4.2
3.4
Depreciation & accruals of provisions
(44.8)
(112.6)
Other depreciation (excl. audiovisual rights)
(8.1)
(4.0)
Other operating income and expenses
(2.7)
(5.5)
Amortization of assets recognized through bus. combinations
(11.6)
(12.2)
EBIT
(4.7)
4.2
Cost of net financial debt
(4.2)
(3.6)
Other financial income
0.5
0.8
Other financial income and expenses
(0.5)
(0.9)
Net financial income (expense)
(4.2)
(3.7)
Pre-tax income / (loss)
(8.8)
0.6
Current and deferred tax (expense) / benefit
1.4
0.4
Profit (loss) after tax
(7.4)
1.0
Income from equity affiliates
(0.2)
(0.3)
Net income / (loss)
(7.5)
0.7
Net income / (loss), Group share
(5.0)
2.0
Minority interests
(2.6)
(1.2)
Basic earnings (loss) per share attributable to owners
(in €)
(0.16)
0.06
Diluted earnings (loss) per share (in €)
(0.15)
0.06
*Note : H1 2019 data have been restated as presented in note
8.12 to the interim consolidated financial statements
2. Consolidated balance sheet at June 30, 2020 and December
31, 2019
In € millions 30-june-2020 31-dec-2019
Goodwill
194.6
190.0
Intangible assets
392.6
379.5
Property, plant and equipment
66.0
69.2
Other non-current financial assets
5.2
6.6
Deferred tax assets
7.4
11.5
Non-current assets
665.9
656.8
Inventories and work-in-progress
8.2
5.2
Trade receivables
119.8
136.2
Other receivables
88.2
77.6
Current tax receivables
4.1
6.6
Cash and cash equivalents
70.4
43.0
Current assets
290.6
268.6
Total assets
956.5
925.4
Share capital
0.3
0.3
Share premium
257.4
257.4
Other reserves
(41.2)
(29.0)
Retained earnings (deficit)
(6.8)
(1.9)
Equity attributable to owners of the Company
209.6
226.8
Equity attributable to non-controlling interests
1.1
2.5
Equity
210.7
229.3
Long-term borrowings and other non-current fin. liab.
229.0
166.9
Other financial non-current liabilities
56.0
45.1
Obligations under leases non current
41.9
45.2
Employee benefit obligations
4.4
4.0
Long-term provisions
5.5
5.5
Deferred tax liabilities
26.2
32.4
Non-current liabilities
362.9
299.2
Short-term borrowings and other current fin. liab.
47.0
98.0
Other financial current liabilities
3.3
0.9
Obligations under leases current
7.1
7.3
Short-term provisions
1.2
2.1
Trade and other operating payables
153.6
150.3
Other payables and accrued expenses
167.8
134.9
Current tax liabilities
2.8
3.4
Current liabilities
382.9
396.9
Total Equity and liabilities
956.5
925.4
---------------------------------------------------
1 Net income adjusted for other operating income and expense,
amortisation of assets related to business combinations and other
non-recurring financial or tax income and expense (net of tax). 2
Financial debt excluding production loans and IFRS16 leases. 3 Net
income adjusted for other operating income and expense,
amortisation of assets related to business combinations and other
non-recurring financial or tax income and expense (net of tax). 4
Financial debt excluding production loans and IFRS16 leases
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version on businesswire.com: https://www.businesswire.com/news/home/20200921005707/en/
Victoire GRUX - +33 6 04 52 16 55 - vgrux@mediawan.eu