By Adria Calatayud
ProSiebenSat.1 Media shares traded sharply higher after the company reported higher third-quarter adjusted earnings on the back of cost savings and organic revenue that was almost flat after falling in recent quarters.
At 0845 GMT on Tuesday, shares in the German media group traded 12% higher at EUR5.50, but remained down 34% over the last three months.
ProSiebenSat.1 reported adjusted earnings before interest, taxes, depreciation and amortization for the quarter of 111 million euros ($118.7 million), up from EUR108 million in the same period last year.
Revenue for the quarter fell 2.5% to EUR888 million.
The company said it now expects adjusted Ebitda to come in at the lower end of its previous guidance range, which called for a result of around EUR600 million— which could move either up or down by EUR50 million. Revenue is now forecast to be below the target range of EUR4.10 billion, plus or minus EUR150 million, it said.
The company attributed the guidance to a weaker than initially expected economic recovery, but said it still expects a slightly improved revenue and earnings performance in the fourth quarter.
ProSiebenSat.1 Media reported a solid set of third-quarter results and its updated outlook is broadly in line with consensus expectations, which might well be enough to drive some relief for its shares, Citi analyst Thomas Singlehurst wrote in a note to clients.
Write to Adria Calatayud at [email protected]
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