189
Annual Report -
2013
-
Vivendi
Financial Report
| Statutory Auditors’ Report on the Consolidated Financial Statements | Consolidated
Financial Statements | Statutory Auditors’ Report on the Financial Statements | Statutory Financial Statements
4
SECTION 4 - Business segment performance analysis
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Revenues and EBITA
Canal+ Group’s revenues were €5,311 million, a 5.9% increase (-0.5%
at constant perimeter and currency) year-on-year. This growth was
primarily driven by the development of pay-TV operations outside
of France, notably in Africa and Poland, and by the acquisition and
successful re-launch of the free-to-air channels D8 and D17.
At the end of December 2013, Canal+ Group reached 10.4 million
individual subscribers (+249,000 year-on-year) for a total of 14.7 million
subscriptions. This growth was due to strong performance in overseas
countries, where total individual subscribers reached 4.4 million
(+275,000 compared to year-end 2012). In mainland France, total
individual subscribers remained almost stable at 6.1 million despite
a challenging economic and competitive environment. Net average
revenue per individual subscriber in mainland France continued to grow,
reaching €44.2, compared to €43.2 in 2012.
Free-to-air TV operations strongly contributed to revenue growth, thanks
to the integration of D8 and D17. In December 2013, these channels
had aggregated an audience share of 4.7%, including 3.4% for D8,
which only a year after its re-launch, regularly ranks as the fifth national
channel in France.
Studiocanal’s revenues increased due to the development of TV sales
and international rights (in particular
Non-Stop
by Jaume Collet-Serra
and
Hunger Games 2
in Germany). In 2013, Studiocanal supported
major productions including the Coen brothers’ film
Inside Llewyn
Davis
, winner of the Grand Prix du Jury at Cannes in 2013, and the
series
Crossing Lines
, which is notably broadcast in the United States,
Canada, France, and Italy. In order to strengthen its position in TV series
production, Studiocanal acquired 60% of the British company Red
in 2013.
Excluding transition costs related to D8, D17 and the new operations in
Poland, Canal+ Group’s EBITA was €661 million, down 1.9% compared
to 2012. This change was due to lower advertising revenues on pay-TV
channels and higher programming costs due to an increase in exclusive
content. Including costs related to the integration of D8, D17 and the
new operations in Poland, EBITA was €611 million. D8 and D17 achieved
breakeven in the fourth quarter of 2013.
On January 14, 2014, the French rugby league (LNR) awarded Canal+
Group exclusive broadcasting rights for the TOP 14 French rugby
championship for five new seasons (2014/2015 to 2018/2019). These
rights cover all TOP 14 games, across all platforms and in all territories.
They complete the portfolio of major sports rights already owned by
Canal+ Group, in particular the best French and European football
(two live games on every Ligue 1, match day and the top pick on every
Champions League day, and the full English Premier League) and the
Formula 1 world championship.
Moreover, the quality of Original Creations, in the heart of Canal+
programming, has been recognized again. In 2013, the series
Les
Revenants
was given the best drama series award at the International
Emmy Awards and
Maison Close
received the award for best French
series at the Television Festival of Monte-Carlo.
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Cash flow from operations (CFFO)
Canal+ Group’s cash flow from operations amounted to €478 million,
compared to €476 million in 2012. The unfavorable change in EBITDA
after changes in net working capital and the transition costs paid
were offset by the decrease in content investments, net (notably at
Studiocanal) and capital expenditures, net.
