ProSiebenSat.1 sees 64% jump in net profit
BERLIN — Rising TV advertising revenues in Germany continue to bolster the industry, leading to increasingly optimistic forecasts for this year.Last week, Germany’s Assn. of Commercial Broadcasters (VPRT) said it expected a 4% increase in TV ad sales this year to €3.5 billion ($4.5 billion). Those estimates were followed by a strong second-quarter performance by pan-European broadcasting group ProSiebenSat.1 that exceeded market expectations. According to preliminary figures published Monday, Munich-based ProSiebenSat.1 saw a whopping 63.7% boost in net profit to $96.4 million while revenue climbed 9.6% to $984.36 million. “Increased revenues in all segments combined with almost flat recurring costs in the second quarter led to this substantial earnings growth,” the company said. ProSiebenSat.1’s core free TV German-speaking segment saw an 8.3% increase to $594.6 million. The group will release its full half-year financial report next month but the initial numbers caught local analysts by surprise because the improvement went beyond the effects of a normal cyclical recovery.