PRISA posts a net profit of 60.8 million euros in the first half of 2010

• PRISA reports revenues of 1.577 million euros, EBITDA of 292.49 million, EBIT of 196 million (+7.4%) and a net profit of 60.88 million (123.6%). The Group improved EBITDA margins (18.5%) and EBIT margins (12.4%) compared to 17.8% and 10.9% in 2009 and posted profits across all business areas.
  
• The Audiovisual area reports revenues of 860.13 million euros and EBITDA was 139.66 million, with a margin of 16.2%. Digital+ had revenues of 567.24 million and EBITDA of 131.91 million. Its EBITDA margin improved to 23.3%. Canal+ Liga exceeded 800,000 subscribers on 30 June, 2010. 
  
•  Santillana improves its revenues by 7.8% to 300.06 million euros. Significantly, EBITDA was up by 12.2% to 73.22 million euros. EBITDA margin improved to 24.4%.
  
• Radio increases its turnover by 8.1% to 197.47 million euros and this area contributed 51.43 million to EBITDA, which grew by 19.3%. Margins improved significantly. International radio saw revenues climb by 35.8%, and its advertising revenue improved by 39.8%.
  
• Press had revenues of 90.26 million euros. El País posted EBITDA of 18.92 million euros, an EBITDA margin of 13.2% and net profit was 9.63 million.
  
• In the Digital area, the Group increased revenues by 16.1% and its products reached 45.75 million unique users per month, on average, in the first half of the year (+24.4%). Significant growth was enjoyed by As.com (+44,4%), ElPaís.com (+9.1%), where nearly 30% of unique visitors are international, and Los40.com (+28.3%). Unique users for Media Capital increased by 14.0% to 6.16 million.
  
• Group advertising grew 9.8%. There was important growth for the Audiovisual businesses (+14,5%), Radio (+11.2%) and Digital, which increased by 24.3%. The international area saw an increase of 13.40 million euros (+11.8%).
  
• PRISA continues its cost savings drive and reported a reduction in costs of 6.8% in the first half.
  
• Revenues from outside Spain represent 25%, an increase of 8.7%. 
  
• PRISA's position of market leadership and the Group's geographical diversification, as well as the strength of the education business (+8% growth) and the ongoing cost-cutting drive (-6.8%), have enabled the Group to improve its performance, despite the adverse economic climate.

Revenues reached 1577.30 million compared to 1677.68 million in the first half of 2009. The difference (-6%) is explained by the changes in the marketing and management model of football-broadcast rights. Excluding the impact resulting from the changes in this model, the Group's operating income would have increased by 1.6%. The composition of income by business area reflects the increased contribution from education and publishing, up from 16% to 19%.

By business area, Audiovisual represents 54.5% of revenues, followed by Education (19%), Press (13.1%) and Radio (12.5%). In the first half, 25% of revenue was generated outside of Spain. By countries, it is worth noting the contributions from Brazil and Portugal (49% of total). Together, the international area maintains a significant growth rate, reporting an increase of 8.7% in revenues.

EBITDA margin was 18.5% compared to 17.8% in the first half of 2009. Digital+ improved its margins by more than two percentage points to 23.3% and Cuatro saw EBITDA improve by 6.9%. Also worth highlighting is growth in Publishing, which saw EBITDA  climb by 12.2% and EBITDA margin by one point to 24.4%, as well as Radio, which saw EBITDA rise by 19.3%.
 
EBIT was EUR 196.04 million compared to 287.36 million in 2009 (+7.4%). EBIT margin improved to 12.4% compared to 10.9%.

Education-publishing

Santillana increased revenues by 8% to 293.24 million euros, compared with EUR 271.55 million invoiced in the first half of 2009. There was significant growth in Brazil (+37,2%), Peru (+20.4%), Colombia (+16.4%), Mexico (+13.1%), Chile (+7.6%) and Argentina (+2.8%).

EBITDA was up by 12.2% to 73.22 million euros. EBITDA margin was up by 24.4%.
 

Press

Revenues from the sale of newspapers and magazines were 90.26 million euros, with EBITDA at 24.53 million.

El País had revenue of 143.70 million euros, EBITDA of 18.92 million and a net profit of 9.63 million euros, a positive figure compared to the fall in profits suffered by most newspapers worldwide. El País is one of the few quality newspapers in the world to remain in profit and has an average daily circulation of 383,655 copies. It thus retains its absolute lead among the press in Spain and has widened the gap over its closest competitor.

AS posted revenue of EUR 39.73 million (+14.3%), EBITDA of 5.22 (+55,9%) and saw advertising revenue increase by 61.5%. With an average daily circulation of 204,792 copies, it confirms its lead in the Madrid region and in Barcelona. 

Cinco Días reached an average daily circulation of 32,255 copies. 
 
According to second quarter figures, 2010, from audit bureau EGM, El País has further strengthened its lead with 2.012 million readers daily and the paper holds its lead over its most direct competitor by around 680,000 readers. AS reaches 1.362 million readers daily and ranks as the third most read non-giveaway daily paper in Spain. Cinco Días reaches 66,000 readers daily. 

Radio

Radio saw turnover up by 8.1% to 197.47 million euros and contributes 51.43 million to EBITDA, which grew by 19.3%. Margins improved significantly. International Radio proved particularly robust, mainly in Colombia and Chile, which improved their EBITDA by 8.72 million euros to 11.45 million, with a margin of 21.5%. International Radio saw revenues up by 35.8%, while advertising revenue improved by 39.8%.

Cadena SER confirms its lead among Spanish radio stations across all time slots, with 4.688 million listeners (EGM 2nd quarter 2010). 
 

Audiovisual

The audiovisual area posted revenues of 860.13 million euros, and EBITDA of 139.66 million with an EBITDA margin of 16.2%.

DIGITAL+ 's subscriber base, as of June 30, 2010, was 1,784,843 subscribers who generate revenue of 465.44 million euros. Canal+ Liga reported more than 800,000 subscribers in the first half, and the trend in the second quarter saw notable improvements as compared to the first three months.

The average revenue per user (ARPU) stands at an average of 42.2 euros per subscriber per month in the second quarter of 2010, representing a 1.6% increase over the same period last year.

Over the last few months, there been a positive trend in the number of DIGITAL+ subscribers, with a positive net increase in their number in the month of June. This positive trend would have been better still, if there had not been a delay with respect to the initial expectations in selling products to other platforms. However, deals have been signed during this period with both Jazztel and Telecable, which have performed very well, and talks continue to close deals with other operators.

Cuatro continued to perform positively during the first six months of 2010, ending the month of June with an average audience share of 8.6%, 24 hours a day, and 12.2% in prime time, thanks to the broadcast of some of the World Cup matches in 2010. It also strengthens its position in the market segments most valued by advertisers, reaching 10.8% and 11.7% of audience share in the commercial and core targets, respectively. 

TVI, Media Capital's free-to-view channel, maintains its audience-share lead in Portugal, both 24 hours a day and in prime time. During the first half of 2010, TVI posted a 34% average audience figure and 39.6% in prime time. 
  

Advertising

Advertising revenue (Euros 494.29 million) has grown by 9.8% over the first half, as compared to the same period in 2009. Audiovisual increased by 14.5%, with an improvement of 22.2% for Cuatro; Radio grew by 11.2% (+39.8% for International Radio, and 2.3% in Spain). Press grew by 4.9%, with notable success for AS, up by 61.5%.

 
In geographical terms, advertising revenue from the international area increased by 11.8% and nationally by 9.1%.