Sky Italy closes the 2022 budget with a red of 738,5 million of Euro. In the previous year the loss had been 724 million. Comcast, shareholder of the group, has covered the losses with a recapitalization intervention of 850 million euros through a payment from Sky UK to Sky Italian Holdings spa.
The trend is also negative in the first months of 2023 but the company does not expect to generate further losses and will not ask shareholders for help. Also for this year the accounts are in the red but improving. With Comcast's operation the net assets of Sky Italia dropped to 888 million euros. Losses for 7 are mainly linked to investments and depreciation but Sky will continue to invest also in 2023 as demonstrated by theacquisition of TV rights of Champions League for the next three years.
Sky: 2022 data
In 2022 Sky recorded revenues for 2,12 billion euros, down from 2,67 billion in 2021. TheEBITDA is negative by 334 million euros, an improvement of 103 million compared to -438 million in 2021. The audiovisual content generated revenues of 1,95 billion euros. THE skyrocketing production costs. they amount to 2,18 billion (last year they were 2,82 billion). The decrease is due to the reduction in costs for Serie A TV rights, partially offset by higher costs for network access. THE TV rights costs amounted to 929,8 million euros. Labor costs are at 235 million euros (-4%), while depreciation and amortization are growing: 388 million, + 15,1% on 2021.
Sky Italian holdings, the parent company of Sky Italia, closed the 2022 financial statements with a loss of 804 million euros due to the write-down of the stake held in Sky Italia.
Subscriptions are decreasing. Well Sky WiFi
I subscription revenue they decreased due to the decrease in the subscriber base and the lower price of the Soccer package (1,67 billion and -18%). At the end of 2022, Sky had a total of 4,1 million subscribers, of which 3,3 million for TV services and 800 customers for NOW and other services. A decrease of 300 thousand subscribers compared to 2021. The revenue from commercials (160 million euros and -13,5% on 2021). Well the revenues of Sky Wi-Fi which increased to 91,7 million euros with 500 subscribers. The sales of goods increased by 29 million euros thanks to the launch of the Sky Glass smart TVs. Sky during 2022 has invested 424 million euros in hardware, software and content that generated 20% of total revenues.
