Cablevisión Holding Announces First Half and Second Quarter 2020 Results (1H20 and 2Q20)

Rhea-AI Summary

Cablevision Holding (CVHSY) announced its financial results for the first half and second quarter of 2020. Total revenues decreased by 3.0% to Ps. 131,158 million, impacted by lower sales in equipment, internet, and cable services, although partially offset by higher mobile service revenues. Total costs dropped by 7.3%, leading to an EBITDA increase of 5.5% to Ps. 47,714 million, with an EBITDA margin of 36.4%. However, consolidated net income fell by 76.1% to Ps. 2,161 million, with net income attributable to shareholders down 71.7% to Ps. 879 million.

Positive

• EBITDA increased by 5.5% to Ps. 47,714 million.
• EBITDA margin improved to 36.4% from 33.4%.

Negative

• Total revenues decreased by 3.0% year-over-year.
• Consolidated net income declined by 76.1% to Ps. 2,161 million.
• Net income attributable to shareholders dropped by 71.7% to Ps. 879 million.

BUENOS AIRES, ARGENTINA / ACCESSWIRE / August 19, 2020 / Cablevisión Holding S.A., ("Cablevision Holding", "CVH" or "the Company" - BCBA: CVH; LSE: CVH; Level 1: CVHSY), controlling shareholder of Telecom Argentina S.A. (NYSE: TEO, BCBA: TECO2), announced today its first half and second quarter 2020 Results. Figures have been prepared in accordance with International Financial Reporting Standards ("IFRS") and are stated in constant Argentine Pesos ("Ps." or "P$") as of June 30, 2020, unless otherwise indicated.

The Company's Management has applied IAS 29 in the preparation of these financial statements (inflation adjustment) because Resolution 777/18, issued by the Comisión Nacional de Valores ("CNV"), establishes that the restatement will be applied to the annual financial statements.

CVH Highlights (1H20 vs. 1H19):

• Total Revenues reached Ps. 131,158 million, a decrease of 3.0% in real terms as of June 30, 2020, compared to 1H19, mainly driven by lower revenues from equipment sales, internet, and cable services revenues, which was partially offset by higher mobile services revenues.
• Total Costs (Excluding Depreciation and Amortization) reached Ps. 83,444 million, a decrease of 7.3% in constant currency, mainly driven by lower costs of equipment and handset, employee benefits expenses and severance payments, programming and content costs, taxes and fees with the Regulatory Authority and commissions and advertising costs, partially offset by higher bad debt expenses.
• EBITDA reached Ps. 47,714 million, an increase of 5.5% in real terms compared to 1H19, mainly driven by lower operating costs. EBITDA Margin was 36.4% in 1H20, compared to 33.4% in 1H19.
• Consolidated Net Income amounted to Ps. 2,161 million. Consolidated Net Income attributable to the Controlling Company amounted to Ps. 879 million.

FINANCIAL HIGHLIGHTS

(millions of Ps.in constant Currency as of June 30, 2020)			1H20				1H19			% Ch.					2Q20				1Q20				2Q19			QoQ				YoY
Total Revenues			131,158				135,272				(3.0	%)			65,023				66,135				66,004				(1.7	%)			(1.5	%)
EBITDA (1)			47,714				45,235				5.5	%			24,580				23,134				22,700				6.3	%			8.3	%
EBITDA Margin (2)			36.4	%			33.4	%			8.8	%			37.8	%			36.9	%			34.4	%			0.9	%			3.4	%
Income for the period			2,161				9,041				(76.1	%)			(763	)			2,923				7,951				(126.1	%)			(109.6	%)
Attributable to:
Equity Shareholders			879				3,102				(71.7	%)			(305	)			1,185				3,374				(125.7	%)			(109.0	%)
Non-Controlling Interests			1,282				5,939				(78.4	%)			(457	)			1,738				4,577				(126.3	%)			(110.0	%)

(1) EBITDA is defined as Total Revenues minus operating cost and expenses (excluding depreciation and amortization). We believe that EBITDA is a meaningful measure of our performance. It is commonly used to analyze and compare media companies based on operating performance, leverage and liquidity. Nonetheless, EBITDA is not a measure of net income or cash flow from operations and should not be considered as an alternative to net income, an indication of our financial performance, an alternative to cash flow from operating activities or a measure of liquidity. Other companies may compute EBITDA in a different manner; therefore, EBITDA as reported by other companies may not be comparable to EBITDA as we report it.

(2) EBITDA Margin is defined as EBITDA over Total Revenues.

For a full version of this earnings release with financial statements, go to: https://www.cablevisionholding.com/Investors

CONFERENCE CALL INFORMATION

CABLEVISIÓN HOLDING S.A

cordially invites you to participate in its conference call and webcast presentation

to discuss Second Quarter 2020 Results

Date: Wednesday, August 26, 2020

Time: 2:00pm Buenos Aires Time/1:00pm New York Time/6:00pm London

To access the conference call, please dial:
Argentina Participants: 0-800-666-0250

U.S. Participants: 1-877-830-2576

All other countries: +1-785-424-1726
Passcode: CVH

The 2Q20 results will be accompanied by a webcast presentation. To access the live stream and slide presentation, visit: https://services.choruscall.com/links/cvhsy200819ckfv4r2Y.html

A replay of the conference call will be available four hours after its conclusion, and will remain available for 7 days. To access the replay, please dial from the within the U.S. 1-844-488-7474, or from anywhere outside the U.S. +1-862-902-0129. The passcode is: 99475127

The webcast presentation will be archived at: https://www.cablevisionholding.com/Investors/Presentations

About the Company

CVH was funded as corporate spinoff from Grupo Clarín S.A. and it is the first Argentine holding company that engages in the development of infrastructure and the provision of convergent telecommunications services, focusing on the country and the region. The companies, products and brands that depend on Cablevisión Holding are already big names in the telecommunications and content distribution industries. They specialize in the provision of cable TV, broadband and mobile communications services.

Investor Relations Contacts:

In Buenos Aires:
Cablevisión Holding S.A
Agustín Medina Manson
Valentina López
Email: ir@cvh.com.ar
Tel: (+54 11) 4309 - 3417
www.cvh.com.ar

In New York:
i-advize Corporate Communications, Inc
Camilla Ferreira / Kenia Vargas
Email: cferreira@i-advize.com or
kvargas@i-advize.com
Tel: +1 212 406 3695 / 3696

SOURCE: Cablevision Holding S.A. via EQS Newswire

View source version on accesswire.com:
https://www.accesswire.com/602525/Cablevisin-Holding-Announces-First-Half-and-Second-Quarter-2020-Results-1H20-and-2Q20

FAQ

What were the total revenues for Cablevision Holding in 1H20?

Total revenues for Cablevision Holding in the first half of 2020 were Ps. 131,158 million.

How much did EBITDA increase for Cablevision Holding in 2020?

EBITDA increased by 5.5% to Ps. 47,714 million in the first half of 2020.

What was the EBITDA margin for Cablevision Holding in 2Q20?

The EBITDA margin for Cablevision Holding in the second quarter of 2020 was 37.8%.

What was the percentage decline in consolidated net income for Cablevision Holding?

Consolidated net income for Cablevision Holding declined by 76.1% compared to the prior year.

How did equipment and internet sales affect Cablevision Holding's revenues in 1H20?

Lower revenues from equipment and internet sales contributed to a 3.0% decline in total revenues for Cablevision Holding in the first half of 2020.