Sun, Nov 22 2009

Central European Media Enterprises reports increase in losses

Tue, Oct 27 2009 15:59 CET byNick Iliev 784 Views
Central European Media Enterprises reports increase in losses

Photo: Kim-Kyung Hoon

Central European Media Enterprises Ltd, CME, revealed on October 27 2009 further worsening in its financial results for the third quarter and the first nine months of 2009, a company media statement said.

CME is the owner of Bulgarian television channels Pro.Bg and Ring.Bg. According to the media statement, net revenue for the third quarter of 2009 was $134.5 million, 33 per cent lower than in Q3 2008.

The company's operating income for the quarter dropped by $40.6 million, a loss of $33.5 million, the statement said. Net income from ongoing operations was down by $5.7 million, a loss of $24.3 million.

CME said that in January-September 2009, revenue in Bulgaria was $2.4 million, with turnover for Q3 alone of $920 000. CME acquired both Bulgarian television channels in August 2008 for $172 million, Dnevnik daily said.

CME's president and CEO Adrian Sarbu said in the statement, "this is the fourth quarter of decline in our advertising markets".

"TV ad spending reset 30 per cent lower than in 2008. We believe the markets have reached the bottom. This is a new starting point. The macro-economic prospects for 2010 have improved and we expect advertising spending to follow. Our priority for 2010 is to convert our high audience and market share into higher revenues while managing costs rigorously. We believe in our ability to outperform the markets." he said.

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