Gma Network, Inc. · PSE:GMA7
Gma Network — Q2 2014 Earnings Presentation
22 slides from Gma Network's earnings presentation, Aug 14, 2014
Slide 1: GMA Network, Inc. 2nd Quarter/1st Half 2014 Results
GMA NETWORK, INC. 2nd Quarter/1st Half 2014 Results 14 -08-14
Slide 2: Ratings Update: 2nd Quarter 2014 Audience Shares
RATINGS UPDATE 2nd Quarter 2014 Audience Shares Based on Total Day (6am -12mn) - Households in TV Homes Effective January 2014, Mega Manila and Urban Luzon accounts Source: Nielsen Phils TAM (Arianna) for 60% and 77% of all Urban TV Households respectively
Slide 3: Ratings Update: Momentum shifting in the 3rd Quarter
RATINGS UPDATE Momentum shifting in the 3rd Quarter* * 3Q Audience Shares reading – data from July to August 9, Effective January 2014, Mega Manila and Urban Luzon accounts 2014; Aug 3-9 based on overnights Based on Total Day (6am -12mn) - Households in TV Homes for 60% and 77% of all Urban TV House
Slide 4: Building a Global Brand: International Pay TV Channels
Building a Global Brand ... International Pay TV Channels 8%YoY 894%YoY Almost 18 thousand subscriptions as Over 271 thousand subscriptions as of of June 2014 June 2014 30%YoY 20%YoY Almost 38 thousand subscriptions as Over 88 thousand subscriptions as of of June 2014 June 2014
Slide 5: Building a Global Brand: Platinum Record Award
Building a Global Brand ... Platinum Record Award (combined physical and digital sales – over 16,000 units) Release date: October 12, 2013 Sales as of May 21, 2014 After the success of her 9X Platinum Record comes Julie Anne’s new Album “Deeper” launched in June.
Slide 6: Building a Global Brand: Program Syndication and Licensing
Building a Global Brand ... Program Syndication and Licensing Selected 2Q 2014 Deals Cambodia Sold Free TV Rights of Indio and My Husband's Lover Vietnam Sold Free and Pay TV Rights of Ngayon at Kailanman, Kaya Kong Abutin Ang Langit, Kasalanan Ba Ang Ibigin Ka ?, Anna Karenina, Kahit Nasaan Ka Man
Slide 7: Awards and Recognition
Building a Global Brand ... Awards and Recognition Corporate Governance GMA Network was named among the top-performing listed companies in the country based on the ASEAN Corporate Governance Scorecard (ACGS) country reports and assessments for 2013-2014. This is the second year in a row that GMA was
Slide 8: Consolidated Financial Report For the First Half Ended June 30, 2014
Consolidated Financial Report For the First Half Ended June 30, 2014 GMA Network, Inc. August 14, 2014
Slide 9: Consolidated Net Revenues: Comparative Quarterly Highlights
CONSOLIDATED NET REVENUES Comparative Quarterly Highlights (vs. previous quarter) (In Millions PhP) •Net revenues increased by 2% vs. Q1 ’14. 4,000 2,915 2,851 3,000 316 309 Airtime revenues +2% 2,000 Subscription and 2,598 2,542 others +3% 1,000 Total 0 Revenues +2% Q2 '14 Q1 '14
Slide 10: Airtime Revenues: Comparative Quarterly Highlights
AIRTIME REVENUES Comparative Quarterly Highlights (vs. previous quarter) (In Millions PhP) * GNTV-11 and Radio airtime revenues up by double-digit percentages. Q2 ’14 Q1’14 Inc (Dec) TV Channel 7/RTV 2,420 2,406 1% Channel 11 (GNTV) 82 59 40% Radio 95 77 23% 2,598 2,542 2%
Slide 11: Subscription and Other Revenues: Comparative Quarterly Highlights
SUBSCRIPTION AND OTHER REVENUES Comparative Quarterly Highlights (vs. previous quarter) (In Millions PhP) * Revenues from International operations climbed 5% from Q1 and 6% in dollar-terms. Q2 ’14 Q1 ’14 Inc (Dec) International 270 258 5% Subsidiaries and others 46 51 (8%) Total 316 309 3% ** Subscr
Slide 12: Consolidated Net Revenues: Second Quarter
CONSOLIDATED NET REVENUES For the Second Quarter Ended June 30, 2014 and 2013 (In Millions PhP) •Net revenues decreased by 16% vs. Q2 ’13 but only by 6% after carving out political advertisements in Q2 `13. 4,000 3,484 2,915 265 3,000 316 Airtime revenues -19% 2,000 3,219 Subscription and 2,598 othe
Slide 13: Airtime Revenues: Second Quarter
AIRTIME REVENUES For the Second Quarter Ended June 30, 2014 and 2013 (In Millions PhP) * GNTV-11 airtime climbed 5% from a year ago. Q2 ’14 Q2 ’13 Inc (Dec) TV Channel 7/RTV 2,420 3,008 (20%) Channel 11 (GNTV) 82 79 5% Radio 95 132 (28%) 2,598 3,219 (19%) Less: Non-recurring Pol Ads - 447 (100%) Tot
Slide 14: Subscription and Other Revenues: Second Quarter
SUBSCRIPTION AND OTHER REVENUES For the Second Quarter Ended June 30, 2014 and 2013 (In Millions PhP) Q2 ’14 Q2 ’13 Inc (Dec) International 270 224 20% Subsidiaries and others 46 41 13% Total 316 265 19% ** Subscriber count Q2 ’14 Q2 ’13 Inc (Dec) GPTV 271,201 252,275 8% GLTV 88,579 73,752 20% Avera
Slide 15: Consolidated Revenues: First Half
CONSOLIDATED REVENUES For the First Half Ended June 30, 2014 and 2013 (In Millions PhP) • Net revenues declined by 14% vs. 6M ’14. 6,725 7,000 5,766 6,000 5,000 4,000 Airtime 6,168 revenues -17% 3,000 5,141 Subscription and 2,000 others +12% 1,000 625 Total 557 0 Revenues -14% 6M '14 6M '13
Slide 16: Airtime Revenues: First Half
AIRTIME REVENUES For the First Half Ended June 30, 2014 and 2013 (In Millions PhP) 6M ’14 6M ’13 Inc (Dec) TV Channel 7/RTV 4,827 5,818 (17%) Channel 11 (GNTV) 141 123 15% Radio 173 227 (24%) 5,141 6,168 (17%) Less: Non-recurring Pol Ads - 724 (100%) Total 5,141 5,444 (6%)
Slide 17: Subscription and Other Revenues: First Half
SUBSCRIPTION AND OTHER REVENUES For the First Half Ended June 30, 2014 and 2013 (In Millions PhP) 6M ’14 6M ’13 Inc (Dec) International 528 471 12% Subsidiaries and others 97 86 13% Total 625 557 12% * Subscriber count 6M ’14 6M ’13 Inc (Dec) GPTV 271,201 252,275 8% GLTV 88,579 73,752 20% Average Fo
Slide 18: Consolidated Operating Expenses: First Half
CONSOLIDATED OPERATING EXPENSES For the First Half Ended June 30, 2014 and 2013 (In Millions PhP) * Total OPEX of P4.907 billion was reduced by 4% vs. comparable period. 6,000 4,907 5,086 5,000 4,000 2,292 2,267 3,000 GAEX -1% 2,000 Prod costs -5% 2,640 54% 2,793 55% 1,000 0 6M '14 6M '13
Slide 19: Financial Highlights: First Half
FINANCIAL HIGHLIGHTS For the First Half Ended June 30, 2014 and 2013 (In Millions PhP) EBITDA was down by 32% vs. 2013. Net Income decreased by 49%. 16,000 14,000 12,000 6,725 10,000 5,766 Revenues -14% 8,000 6,000 5,086 Expenses -4% 4,000 4,907 EBITDA -32% 2,000 2,291 1,566 Net Income -49% 0 580 1,
Slide 20: Capital Expenditures
CAPITAL EXPENDITURES (In Millions PhP) Capital Expenditure availments amounted to P837 million as of June 30, 2014. 1200 1,065 REMAINING 1000 228 800 600 896 956 6M 400 832 837 628 673 600 428 200 0 2007 2008 2009 2010 2011 2012 2013 2014
Slide 21: Consolidated Balance Sheets
CONSOLIDATED BALANCE SHEETS (In Millions PhP) Current Assets 15,000 Current Liabilities 10,000 15,000 5,000 10,000 7,186 7,313 Current Ratio 3.00 5,000 0 6M '14 6M '13 3,970 3,891 2.00 0 6M '14 6M '13 1.00 1.81 1.88 Total Assets 0.00 Total Liabilities Equity 15,000 6M '14 6M '13 15,000 10,000 13,067
Slide 22: Thank you!
Thank you! Kapuso ng pamilyang Pilipino, anumang kulay ng buhay.