TV Azteca: We are forced to review the soccer business and evaluate its viability

TV Azteca revealed its financial report for the second quarter of 2018 and during his conference call with investors, Benjamín Salinas, general director of the TV Azteca said they would check the business and viability of soccer because “costs of the soccer business affect the business´ viability.”

“We are forced to review the business of soccer in a comprehensive way and evaluate the viability of remaining there,” stated Salinas in a call with investors.

“TV Azteca contents and the attractive design of our programming allowed us to be audience leaders in Mexico during the Russia Soccer World Cup. However, the costs associated with this event –and soccer in general— make this a business line that is increasingly less sustainable from the financial point of view, since it affects the company´s consolidated profitability.”

According to the report, during the second quarter of the year the company´s sales were $3.876 million Mexican pesos, that is US$203.5 million approximately, which translates into 11% more than in the same period the previous year.

However, the total expenditure was 3.577 million pesos that are US$187 thousand approximately, which corresponds to 58% more resources than in the same period in 2017.

Regarding ad sales, the company mentioned this increased 11% from April to June in US$3.654 million Mexican pesos, because of contents that were successful, as well as sales related with the coverage of the Russia World Cup.