Following TF1’s announcement that it won’t offer financial forecasting this year, France’s second biggest commercial network, M6, said it has also been greatly hit by the drop in advertising revenues caused by the coronavirus pandemic.
M6 said “the cancelations and delaying of advertising campaigns will have a significative impact on revenues, notably during the second quarter.” M6 will give further information on its advertising revenue and savings plan in its next financial report on April 28.
In order to cope with the consequences of the crisis, M6 has “taken the necessary measures to reduce the costs, notably the cost of its programming slate aside from the postponing of sports events such as the Euro 2020.” The group also said it would temporarily reduce its workforce.
Along with the decline in advertising revenues, M6 said it had also been affected by the shutdown of production and distribution of movies carried on by its subsidiary SND, as well as the production of TV programs handled by its other companies — Studio 89, C Productions and Golden Network. “The majority of the productions and broadcasting have been halted and will be postponed,” M6 said.
While shoots have stopped during the country’s lockdown, M6, like TF1 and the public broadcaster France Televisions, is still filming newscasts and select TV magazines across the TV, radio and digital services owned by the group.
M6 said it still has access to credit lines and is finalizing the sale of its German subsidiary iGraal to Global Savings Group for 35 million Euros.
“The strength and diversity of M6’s model, as well as the determination of its collaborators will allow (M6) to prepare for a solid jump-start after the end of the sanitary crisis,” the company said.