Five years in chiaroscuro for the Italian media. Agcom certifies it in balance sheet focus published on 27 December in which it analyzes the performance of the sector of network operators and managers of broadcasting infrastructures in the five-year period 2013-2017.
In recent years ended December 31, 2017 the television sector increased its revenues by over 300 million. A positive result which, however, contrasts with that ofpublishing which in the same period saw revenues fall by 900 million, a figure which in percentage terms represents a decrease of 17,7%.
Overall, however, the five-year period ends with a "plus sign": growth with an average annual rate of 5,4% (and 2,4% in 2017 alone).
Going into detail, as regards the TV sector, the increase in revenues according to Agcom is mainly due to the increase in revenues from pay television services (+107 million from 2013 to 2017) and from advertising (approximately 150 million). “The income indices – explains the Communications Guarantee Authority – show a downward trend up to 2016 and then improve in 2017; gross profitability (ebitda) compared to 2016 went from 18,1% to 22,4% in 2016, while net profitability (ebit) passes from a negative value of 3,6% to a positive one of 2,9%. For the first time since 2012, the result for the year was positive again (+114 million)”.
Taking into consideration the other parameters, from 2013 to 2017, on average, total shareholders' equity was equal to 32,2% of total liabilities, but it increased in 2017 (32,5% compared to 30,8% in 2016). As far as employment is concerned, however, at sector level, there was a significant reduction of around 250 units compared to 2016, with a total number of around 21.800 employees at the end of 2017.
And we come to the sore point: publishing. In this case, the share of revenues obtained in Italy amounted to approximately 3,6 billion euros in 2017, down by 17,6% (-760 million). “The decline – continues the report – did not stop even last year and, on an annual basis, amounted to around 6,5%, both overall and domestically. The gross operating margin, on average equal to 7,1% of revenues during the period 2013-2017, reached 9,7% in 2017, while the net operating margin, with an average value for the period of -1,4%, in 2017 reached 2,5% (up from 0,9% in 2016).”
The consolidated operating result returned positive for the first time since 2010. As regards employment levels, the effects of the paper publishing crisis were considerable. Between 2013 and 2017 publishing companies reduced their workforce by 16%, equal to 2.500 units: the number of employees in 2017 was 13.200 compared to 15.700 in 2013. On an annual basis, the decrease in 2017 was 4,4%, with a loss of around 600 employees.
Lastly, the trend in the sector was positive network operators and broadcasting infrastructure managers, with revenues of 1,4 billion euros. Over 60% of this figure is accounted for by revenues from InWit and EI Towers. EBITDA, on average equal to 33,9% of revenues during the period 2013 - 2017, was close to 26% in 2017, while the EBIT, with an average value for the period of -20%, in 2017 reached 24,6%. 21,4% (up from 2016% in 16,1). The average operating result of the sector shows the highest level among all those observable in the markets analyzed (2015% in the period), passing between 2017 and 150 from 300 to over XNUMX million of net profit. The sector has a particularly high ratio between equity and total liabilities (67% on average), a ratio that exceeded 2017% in 70. Finally, the sector represents around 2.300 direct employees, which in 2017 decreased by 4,1% on an annual basis.
To find out more, read the "Focus financial statements – Publishing” of Agcom
