MFE reports H1 EBIT ahead of consensus despite revenue decline

Investing.com -- Mediaforeurope NV (BIT:MFEB) on Thursday reported first-half 2025 earnings before interest and taxes (EBIT) of €105.6 million, exceeding company-compiled consensus of €94 million despite a 23% year-over-year decline.

The Italian broadcasting company posted group net revenues of €1,436.8 million for the first half, representing a 3% decrease compared to the same period last year but in line with consensus expectations of €1,434 million.

Adjusted net profit fell to €80.7 million from €100 million in the first half of 2024. The company’s net debt position improved to €620 million at the end of the quarter, down from €691.5 million in December 2024, while free cash flow increased 13.9% year-over-year to €254.4 million.

In its domestic Italian market, MFE saw gross advertising revenues grow 2% to €1,060.6 million, outperforming consensus estimates of €1,042 million. This growth came despite Nielsen data showing the overall Italian advertising market contracted by 0.4% during the first half of 2025.

The company’s Spanish operations faced more challenging conditions, with gross advertising revenues declining 8% year-over-year to €363 million, below consensus expectations of €392 million.

Mediaset España maintained a total audience share of 24.9% over the 24-hour period and 27.4% among its commercial target audience.

Looking ahead, MFE confirmed its full-year 2025 targets of maintaining a "strongly positive" consolidated operating result, net result, and free cash flow on an annual and like-for-like basis.

The company noted that advertising sales in Italy for July and August have "recorded substantial growth," with the trend continuing to outpace the previous year.

However, the advertising market in Spain remains weak with negative revenues. MFE also confirmed it now holds a 75.67% stake of economic interests and voting rights in P7S1, which it expects to consolidate line-by-line for the fourth quarter.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.