Central European Media Enterprises Ltd. Reports Results For The First Quarter Ended March 31, 2013 April 29, 2013, HAMILTON, BERMUDA Download copy (PDF, 96 kB)HAMILTON, BERMUDA, April 29, 2013 - Central European Media Enterprises Ltd. ("CME" or the "Company") (NASDAQ/Prague Stock Exchange - CETV) today announced financial results for the first quarter ended March 31, 2013.
Net revenues for the three months ended March 31, 2013 were US$ 137.0 million compared to US$ 167.4 million for the same period in 2012. OIBDA1 for the three months ended March 31, 2013 was US$ (20.7) million compared to US$ 14.1 million for the first quarter in 2012. Operating loss for the three months ended March 31, 2013 was US$ 35.0 million compared to US$ 10.3 million in 2012. Net loss for the quarter ended March 31, 2013 was US$ 109.0 million compared to US$ 13.8 million for the same period in 2012. Fully diluted loss per share for the three months ended March 31, 2013 was US$ 1.22 compared to US$ 0.21 for three months ended March 31, 2012.
Adrian Sarbu, President and Chief Executive Officer of CME, commented: "2013 is a year of bold actions to restore the value we receive for our products. We raised advertising prices and carriage fees. The first quarter results reflect the initial phase of implementing these actions. While successful in most of our countries, we met some resistance from certain media agencies and advertisers in the Czech Republic where consumption of GRPs declined, impacting our revenues and OIBDA. Our pricing actions in the Czech Republic and across our region will continue as we are determined to reverse the trend of declining TV advertising spending. The proceeds we look to raise from the equity offerings announced today will enable us to further execute our strategy and deleverage. Post transaction we expect to have the resources in place to accomplish our main goal: growing CME."
1) OIBDA, which includes program rights amortization costs, is determined as operating income / (loss) before depreciation, amortization of intangible assets and impairments of assets as defined in "Segment Data" below.
Consolidated Results for the Three Months Ended March 31, 2013
Net revenues for the three months ended March 31, 2013 were US$ 137.0 million compared to US$ 167.4 million for the three months ended March 31, 2012. Operating loss for the three months ended March 31, 2013 was US$ 35.0 million compared to US$ 10.3 million for the three months ended March 31, 2012. Net loss for the three months ended March 31, 2013 was US$ 109.0 million compared to US$ 13.8 million for the three months ended March 31, 2012. Fully diluted loss per share for the three months ended March 31, 2013 was US$ 1.22 compared to US$ 0.21 for the three months ended March 31, 2012.
OIBDA for the three months ended March 31, 2013 was US$ (20.7) million compared to US$ 14.1 million in the same period ended March 31, 2012. OIBDA margin2 for the three months ended March 31, 2013 was (15.1)% compared to 8.4% for the three months ended March 31, 2012.
Headline consolidated results for the three months ended March 31, 2013 and 2012 were:
RESULTS
(unaudited) For the Three Months Ended March 31,
(US $000's)
2013 2012 % Actual % Lfl3
Net revenues $137,042 $167,433 (18.2)% (16.6)%
OIBDA (20,665) 14,060 Nm4 Nm4
Operating loss (34,999) (10,303) Nm4 Nm4
Net loss (108,962) (13,813) Nm4 Nm4
Fully diluted loss per share $(1.22) $(0.21) Nm4 Nm4
2) OIBDA margin is defined as the ratio of OIBDA to Net revenues.
3) % Lfl (like-for-like) represents period-on-period percentage change on a constant currency basis.
4) Number is not meaningful.
Teleconference and Video Webcast Details
CME will host a teleconference and video webcast to discuss its first quarter results on Monday, April 29, 2013 at 8.30 a.m. New York time (1.30 p.m. London and 2.30 p.m. Prague time). The video webcast and teleconference will refer to presentation slides which will be available on CMEs website at www.cme.net prior to the call.
To access the teleconference, U.S. and international callers may dial +1 785-424-1825 ten minutes prior to the start time and reference passcode CETVQ113. The conference call will also be available via www.cme.net. It can be viewed on iPads, iPhones and a range of devices supporting Android and Windows operating systems.
The video webcast and a digital audio replay in MP3 format will be available for two weeks following the call at www.cme.net.
CME will post the results for the first quarter ended March 31, 2013 for its wholly-owned subsidiary CET 21 spol. s r.o. at www.cme.net by Friday, June 14, 2013.
Forward-Looking and Cautionary Statements
This press release contains forward-looking statements. For all forward-looking statements, we claim the protection of the safe harbor for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995. Forward-looking statements are inherently subject to risks and uncertainties, many of which cannot be predicted with accuracy or are otherwise beyond our control and some of which might not even be anticipated. Forward-looking statements reflect our current views with respect to future events and because our business is subject to such risks and uncertainties, actual results, our strategic plan, our financial position, results of operations and cash flows could differ materially from those described in or contemplated by the forward-looking statements.
Important factors that contribute to such risks include, but are not limited to, the following: the effect of the economic downturn and Eurozone instability in our markets and the extent and timing of any recovery; our ability to access external sources of capital in light of our current severe liquidity constraints and the successful completion of equity offerings w
