“Hans-Holger Albrecht, President and Chief Executive Officer, commented: “We have delivered another quarter and first half year of record results. The Group generated 9% year on year sales growth at constant exchange rates in both the quarter and for the first six months of the year, with revenues for each of our four broadcasting segments in the Nordic and emerging markets up year on year. The Nordic TV advertising markets have continued to grow but recovery in the emerging advertising markets is still lagging. We have increased our target audience shares quarter on quarter in the majority of our operating territories, which demonstrated the effectiveness of the multi-channel media house model. The Nordic pay-TV platform has added subscribers year on year as our virtual operator model continues to work well and premium satellite ARPU levels rise further, while our pioneering new Viaplay Nordic internet-based video streaming service is gaining momentum. Our emerging market satellite platforms and channel businesses are also developing rapidly.”
“We have delivered higher operating profits excluding associates and stable margins, despite the investments that we have been making in new channels, technologies and platforms. We have also strengthened our content offering further with the acquisition or extension of exclusive agreements for key sports rights and with the Hollywood majors, while at the same time focusing on locally produced programming.”
“Our earnings have been converted into healthy cash flows, which have been used to pay down debt and increase our dividend pay-out. We have a low leverage level and therefore remain in a flexible financial position to invest further in the Group’s existing operations and seek new growth opportunities.”
Conference callThe company will host a conference call today at 15.00 Stockholm local time, 14.00 London local time and 09.00 New York local time. To participate in the conference call, please dial:
Sweden: +46 (0)8 5051 3786 International: +44 (0)20 7136 2053 US: +1 212 444 0481
The access pin code for the conference is 3432864
To listen to the conference call online, please go to www.mtg.se.
For further information, please visit www.mtg.se, or contact:Hans-Holger Albrecht, President & Chief Executive OfficerMathias Hermansson, Chief Financial OfficerTel:+46 (0) 8 562 000 50
Investor & Analyst Enquiries:Jacob Waern / Matthew HooperTel: +46 (0) 736 99 29 91 / +44 (0) 7768 440 414Email: email@example.com
Media Enquiries:Jacob WaernTel: +46 (0) 736 99 29 91Email: firstname.lastname@example.org
Modern Times Group is an international entertainment broadcasting group with the largest geographical broadcast footprint in Europe. MTG's Viasat Broadcasting operates 28 free-TV channels in 11 countries and 38 pay-TV channels in 32 countries. The pay-TV channels are distributed on Viasat’s own satellite platforms in 9 countries, as well as on third party broadcast networks (including cable, satellite and IPTV) and over the open internet. These free-TV and pay-TV channels and pay-TV platforms attract a total of 125 million viewers in 33 countries. MTG is also the largest shareholder in Russia’s leading independent television broadcaster (CTC Media – Nasdaq: CTCM).
Modern Times Group is a growth company and generated SEK 13.1 billion of sales and SEK 2.4 billion of operating income in 2010. MTG’s Class A and B shares are listed on Nasdaq OMX Stockholm’s Large Cap index under the symbols ‘MTGA’ and ‘MTGB’.
The information in this announcement is that which Modern Times Group MTG AB is required to disclose under the Securities Market Act and/or the Financial Instruments Trading Act. It was released for publication at 13.00 CET on 20 July 2011.
 This financial report includes the effects of the demerger and distribution of former MTG subsidiary CDON Group in December 2010. CDON Group’s results have been excluded from MTG’s operating results and cash flows for 2010, with the exception of the reported net income from discontinued operations in the Group’s income statements and the net cash flow to financing activities in the Group’s cash flow statements.