Back to top

Analyst Blog

Mark Vickery

Televisa Beats on 2Q Earnings and Rev

TV VVTV

 ZacksTrade Now

This page is temporarily not available.  Please check later as it should be available shortly. If you have any questions, please email customer support at support@zacks.com or call 800-767-3771 ext.  9339.

Grupo Televisa S.A.B. (TV - Analyst Report) reported better-than-expected financial results for the second quarter of 2013, beating the Zacks Consensus Estimate. Net income was approximately $169 million, up 23.9% year over year. Earnings per Global Depository Shares were 30 cents, well above the Zacks Consensus Estimate of 26 cents. Quarterly consolidated net revenue of around $1,380.2 million improved 6.4% over the prior-year quarter and also surpassed the Zacks Consensus Estimate of $1,376 million.

Gross margin was 47.8% compared with 49.3% in the year-ago quarter. Consolidated operating income was $378.5 million, up 6.1% from the prior-year quarter. Operating margin was 27.4% compared with 27.5% in the year-ago quarter. Capital expenditure, during the reported quarter, was $16 million.

 At the end of the second-quarter 2013, Televisa had approximately $2,145.3 million in cash and marketable securities and $4,588.1 million of outstanding debt compared with $1,892 million of cash and marketable securities and $4,112.1 million of outstanding debt at the end of 2012. At the end of the reported quarter, the debt-to-capitalization ratio was around 0.45 compared with 0.43 at the end of 2012.

Content Segment

Quarterly total revenue was $629.7 million, up 5.1% year over year. Operating profit was $310.7 million, up 7.6% year over year, and operating margin was 49.3% compared with 48.2% in the year-ago quarter. Quarterly royalty from Univision was a record-high $70.5 million, up 9.9% year over year.  

Within this segment, Advertising revenues were $451.6 million, up 6.2% year over year. Network Subscription revenues were $67.4 million, up 9.5% year over year. Licensing and Syndication revenues were $110.7 million, down 1.7% year over year.  

Publishing Segment

Quarterly revenues were $64.1 million, down 9.7% year over year. Operating profit was $9 million, down 23.9% year over year, and operating margin was 14.1% compared with 16.7% in the year-ago quarter.

Sky Segment

Quarterly revenues came in at $305.7 million, up 12.8% year over year. Operating profit was $143.7 million, up 12.8% year over year. Quarterly operating margin was 47% compared with 47.1% in the year-ago quarter.

Cable and Telecom Segment

Quarterly revenues were $320 million, up 8.2% year over year. Operating profit was $120.6 million, up 7.2% year over year. Operating margin came in at 37.7% compared with 38% in the year-ago quarter.

Other Businesses Segment

Quarterly revenues were $86.2 million, up 1.2% year over year. Operating income was $6.8 million, up 75.6% year over year. Operating margin was 7.9% compared with 4.6% in the year-ago quarter.

Subscriber Statistics

As of Jun 30, 2013, Televisa had 2,405,725 Video subscribers; 1,456,807 Internet Broadband subscribers; and 812,497 Telephony subscribers, which together constitutes 4,675,029 revenue generating units (RGU) in the Cable and Telecom segment. The company also had 5,646,254 net active Satellite TV subscribers, up 24.1% year over year. In the reported quarter, the Sky segment added 233,242 net active subscribers.

Other Stocks to Consider

Televisa currently has a Zacks Rank #3 (Hold). However, there are other stocks, which are doing well in this industry. Some of them include ValueVision Media Inc. (VVTV - Snapshot Report), Multiband Corp. and LIN TV Corp. . All these stocks currently carry a Zacks Rank #1 (Strong Buy).

Please login to Zacks.com or register to post a comment.

New to Zacks?

Start Here

Zacks Investment Research

Close

Are you a new Zacks Member or a visitor to Zacks.com?

Top Zacks Features

Learn more

Start for as little as $4.50 per trade.

My Portfolio Tracker

Is it Time to Sell?

One of the most important steps you can take today is to set up your portfolio tracker on Zacks.com. Once you do, you'll be notified of major events affecting your stocks and/or funds with daily email alerts.

More Zacks Resources

Zacks Rank Home - Evaluate your stocks and use the Zacks Rank to eliminate the losers and keep the winners.

Mutual Fund Rank Home - Evaluate your funds with the Mutual Fund Rank for both your personal and retirement funds.

Stock/Mutual Fund Screening - Find better stocks and mutual funds. The ones most likely to beat the market and provide a positive return.

My Portfolio - Track your Portfolio and find out where your stocks/mutual funds stack up with the Zacks Rank.

Zacks #1 Rank Top Movers for Zacks #1 Rank Top Movers

Company Symbol Price %Chg
DIXIE GRP IN DXYN 15.84 +7.90%
BOFI HLDG IN BOFI 85.30 +4.97%
RAMBUS INC RMBS 12.31 +4.41%
VIPSHOP HOLD VIPS 148.73 +4.35%
NETFLIX INC NFLX 345.74 +4.32%