In This Article:
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Revenue: Slightly up to EUR6.25 billion in 2024.
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Streaming Revenue: Increased by 42% in 2024.
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Adjusted EBITA: Decreased to EUR722 million.
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Adjusted EBITDA: Fremantle's adjusted EBITDA increased to EUR260 million.
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Total Group Profit: EUR555 million, with EUR428 million from continuing operations.
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Earnings Per Share: EUR2.97 per share, stable versus prior year.
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Net Cash from Operating Activities: Increased by more than 40% to EUR761 million.
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Net Debt: EUR492 million, with a net debt to adjusted EBITDA ratio of approximately 0.4 times.
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Dividend Proposal: EUR2.50 per share for 2024, representing an 83% payout ratio.
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RTL Deutschland Revenue: Grew by 1.4% to EUR2.66 billion.
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Fremantle Revenue: Stable at EUR2.25 billion.
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Fremantle Adjusted EBITA: Increased to EUR171 million.
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Streaming Subscribers: RTL+ subscribers up 23% to almost 6.1 million.
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Operating Cash Conversion Rate: Improved to 102% from 68% in 2023.
Release Date: March 20, 2025
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
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RTL Group SA (RGLXF) demonstrated resilience and achieved solid results in 2024 despite a challenging market environment, particularly in Germany.
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Streaming services continued to grow dynamically, with a 42% increase in streaming revenue and a significant reduction in start-up losses.
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The German family of TV channels increased its audience lead over competitors and maintained stable TV advertising revenue across the group.
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Fremantle, the global content business, reached a record result in 2024 with significant overhead reductions and improved operating margins.
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Strong cash flows enabled RTL Group SA (RGLXF) to propose an attractive dividend of EUR2.50 per share, representing an 83% payout ratio.
Negative Points
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The TV advertising markets in key territories like Germany and France were slightly down or flat, impacting overall revenue growth.
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Adjusted EBITA decreased to EUR722 million, mainly due to lower profit contributions from Groupe M6.
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The international market for content production was impacted by the 2023 US strikes and budget cuts from streaming services.
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The geopolitical and macroeconomic environment remains volatile, making the impact on RTL Group SA (RGLXF)'s business hard to predict.
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The planned sale of RTL Nederland is still under investigation by the Dutch Competition Authority, delaying the transaction closure.
Q & A Highlights
Q: Can you provide insights into the first quarter TV advertising environment in Germany? A: Thomas Rabe, CEO, stated that the German TV advertising market was broadly stable in January and February, weaker in March due to Easter, and slightly stronger in April. RTL expects its advertising revenue to be flat for the full year, gaining market share despite a slightly down market.