Whether its ultimate future will be as a Disney division, or whether its core news station will be closed, one thing is clear for Sky: the cash keeps rolling in.The pan-European pay-TV giant has released results for the first half of the 2107/2018 year, which it says shows sector-leading revenue growth and a substantial increase in established business EBITDA after what it called notable investment in future growth.
Across its TV and mobile business lines across Italy, Germany and the United Kingdom, the company now has 22.9 million customers, adding 365,000 new subs in the last six months alone. In this period, it added two million product sales, taking the total to 61.7 million, with 20 million pay-as-you-go buys in six months, up 8% annually. On a final al basis, the company recorded a 5% yearly increase in like-for-like revenue to £6.7 billion, driving established business EBITDA of £1.2 billion which itself was up 15% on a year-to-year basis.
The company says that the strong performance was attributable to a consistent execution of its strategy. On-screen viewing of Sky brands was up 6% annually, with record viewing of Sky Originals programming. The company noted that over the course of the six months it had acquired significant new rights, including Warner Bros, and in Italy exclusive Formula 1 for the first time, and that it had a long-term investment plan for content, with spending increasing every year. In November 2018 Sky announced that to make good on existing pledges to increase investment in original productions by 25%, it had committed to a new programming slate for 2018, including eight new commissions. Over half of the 50 original series on Sky in 2018 will be returning shows.
Commenting on the results, Sky group chief executive Jeremy Darroch said: “We have delivered excellent results. This performance reflects the investment choices we have made in recent years, allowing us to more than offset the pressure on consumer spending across Europe, as more customers continue to choose Sky for more of their services. As Europe’s leading direct-to-consumer TV entertainment company, we are making good progress on our future growth plans. In content, our focus on high quality, differentiated local programming to complement what we acquire through our partners is working well.”
Across its TV and mobile business lines across Italy, Germany and the United Kingdom, the company now has 22.9 million customers, adding 365,000 new subs in the last six months alone. In this period, it added two million product sales, taking the total to 61.7 million, with 20 million pay-as-you-go buys in six months, up 8% annually. On a final al basis, the company recorded a 5% yearly increase in like-for-like revenue to £6.7 billion, driving established business EBITDA of £1.2 billion which itself was up 15% on a year-to-year basis.
The company says that the strong performance was attributable to a consistent execution of its strategy. On-screen viewing of Sky brands was up 6% annually, with record viewing of Sky Originals programming. The company noted that over the course of the six months it had acquired significant new rights, including Warner Bros, and in Italy exclusive Formula 1 for the first time, and that it had a long-term investment plan for content, with spending increasing every year. In November 2018 Sky announced that to make good on existing pledges to increase investment in original productions by 25%, it had committed to a new programming slate for 2018, including eight new commissions. Over half of the 50 original series on Sky in 2018 will be returning shows.
Commenting on the results, Sky group chief executive Jeremy Darroch said: “We have delivered excellent results. This performance reflects the investment choices we have made in recent years, allowing us to more than offset the pressure on consumer spending across Europe, as more customers continue to choose Sky for more of their services. As Europe’s leading direct-to-consumer TV entertainment company, we are making good progress on our future growth plans. In content, our focus on high quality, differentiated local programming to complement what we acquire through our partners is working well.”
