Av. Vasco de Quiroga No. 2000, Colonia Santa Fe 01210 Mexico, D.F.
|
(Address of principal executive offices)
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Form 20-F
|
x
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Form 40-F
|
Yes
|
|
No
|
x
|
Ø
|
Consolidated net sales and operating segment income increased by 8.7% and 10%, respectively
|
Ø
|
Cable and Telecom net sales and operating segment income grew 17.9% and 17.7%, respectively; Revenue Generating Units reached 3.4 million
|
Ø
|
Sky added 268 thousand net subscribers during the quarter, reaching 3.3 million; operating segment income margin reached 47.1%
|
Ø
|
Univision royalties increased 41.6%, reaching US$46.5 million
|
1Q ’11
|
Margin
%
|
1Q ’10
|
Margin
%
|
Change
%
|
|
Consolidated net sales
|
13,199.6
|
100.0
|
12,147.0
|
100.0
|
8.7
|
Operating segment income
|
4,604.6
|
34.2
|
4,184.5
|
33.7
|
10.0
|
Consolidated net income
|
1,219.6
|
9.2
|
1,272.0
|
10.5
|
(4.1)
|
Controlling interest net income
|
870.7
|
6.6
|
1,059.4
|
8.7
|
(17.8)
|
Net Sales
|
2011
|
%
|
2010
|
%
|
Inc. %
|
Television Broadcasting
|
4,105.6
|
30.4
|
4,179.2
|
33.7
|
(1.8)
|
Pay-Television Networks
|
768.4
|
5.7
|
701.5
|
5.6
|
9.5
|
Programming Exports
|
790.2
|
5.9
|
660.1
|
5.3
|
19.7
|
Publishing
|
609.7
|
4.5
|
685.5
|
5.5
|
(11.1)
|
Sky
|
3,028.9
|
22.5
|
2,645.9
|
21.3
|
14.5
|
Cable and Telecom
|
3,229.7
|
24.0
|
2,740.3
|
22.1
|
17.9
|
Other Businesses
|
949.5
|
7.0
|
803.8
|
6.5
|
18.1
|
Segment Net Sales
|
13,482.0
|
100.0
|
12,416.3
|
100.0
|
8.6
|
Intersegment Operations1
|
(282.4)
|
(269.3)
|
(4.9)
|
||
Consolidated Net Sales
|
13,199.6
|
12,147.0
|
8.7
|
Operating Segment Income (Loss)2
|
2011
|
Margin
%
|
2010
|
Margin
%
|
Inc. %
|
Television Broadcasting
|
1,427.9
|
34.8
|
1,604.2
|
38.4
|
(11.0)
|
Pay-Television Networks
|
361.3
|
47.0
|
329.5
|
47.0
|
9.7
|
Programming Exports
|
367.4
|
46.5
|
294.9
|
44.7
|
24.6
|
Publishing
|
19.9
|
3.3
|
24.7
|
3.6
|
(19.4)
|
Sky
|
1,425.5
|
47.1
|
1,116.8
|
42.2
|
27.6
|
Cable and Telecom
|
1,068.1
|
33.1
|
907.1
|
33.1
|
17.7
|
Other Businesses
|
(65.5)
|
(6.9)
|
(92.7)
|
(11.5)
|
29.3
|
Operating Segment Income
|
4,604.6
|
34.2
|
4,184.5
|
33.7
|
10.0
|
Corporate Expenses
|
(281.7)
|
(2.1)
|
(175.0)
|
(1.4)
|
(61.0)
|
Depreciation and Amortization
|
(1,775.5)
|
(13.5)
|
(1,481.2)
|
(12.2)
|
19.9
|
Consolidated Operating Income
|
2,547.4
|
19.3
|
2,528.3
|
20.8
|
0.8
|
1
|
For segment reporting purposes, intersegment operations are included in each of the segment operations. | ||||
2 | Operating segment income (loss) is defined as segment operating income (loss) before depreciation and amortization and corporate expenses. |
Television
Broadcasting
|
First-quarter sales decreased 1.8% to Ps.4,105.6 million compared with Ps.4,179.2 million in first quarter 2010. This decrease mainly reflects the absence of Grupo Carso as an advertising client. Televisa’s content continues to outperform. For example, the final episode of Teresa was the highest rated show in the quarter with an audience share of 53.06%. Additionally, the top ten rated shows on over-the-air television in Mexico were transmitted by Televisa. Upfront deposits represented 87.5% of revenues during the quarter and the remaining were sales in the spot market. This figure compares with 88.5% in first quarter 2010.
First-quarter operating segment income decreased 11% to Ps.1,427.9 million compared with Ps.1,604.2 million in first quarter 2010; the margin was 34.8%. The decrease in margin of 360 basis points is a consequence of the absence of Grupo Carso as a client, as well as incremental costs and expenses related to new programs.
|
||||||||
Pay Television Networks
|
First-quarter sales increased 9.5% to Ps.768.4 million compared with Ps.701.5 million in first quarter 2010. The increase was driven by the addition of pay-TV subscribers in Mexico as well as higher advertising sales, which represented 16.9% of segment revenue during the quarter. These results no longer include the consolidation of TuTV, which was transferred to Univision as part of the recently closed deal. Additionally, the segment was impacted by a negative translation effect on foreign-currency-denominated sales amounting to Ps.43.8 million.
|
||||||||
First-quarter operating segment income increased 9.7% to Ps.361.3 million compared with Ps.329.5 million in first quarter 2010, and the margin was 47%. This result reflects higher sales as well as an increase in cost of sales and operating expenses, driven mainly by investments made in the production of content and acquisition of movies.
|
|||||||||
Programming Exports
|
First-quarter sales increased 19.7% to Ps.790.2 million compared with Ps.660.1 million in first quarter 2010. The increase was attributable to an increase in royalties from Univision, from US$32.9 million in first quarter 2010 to US$46.5 million in 2011, and higher programming sales mainly in Europe. This increase was partially offset by lower sales in Asia and Latin America, as well as a negative translation effect on foreign-currency-denominated sales amounting to Ps.34.9 million.
|
||||||||
First-quarter operating segment income increased 24.6% to Ps.367.4 million compared with Ps.294.9 million in first quarter 2010, and the margin increased to 46.5%. These results reflect higher sales that were partially offset by higher cost of sales and operating expenses, mainly explained by additional amortizations of coproduced programming.
|
|||||||||
Publishing
|
First-quarter sales decreased 11.1% to Ps.609.7 million compared with Ps.685.5 million in first quarter 2010. Circulation and advertising sales abroad as well as in Mexico decreased due to a lower number of magazines in the portfolio. Additionally, these results reflect the absence of revenue generated by the rights of the Soccer World Cup Album and a negative translation effect on foreign-currency-denominated sales which amounted to approximately Ps.20.4 million.
|
||||||||
First-quarter operating segment income decreased 19.4% to Ps.19.9 million compared with Ps.24.7 million in first quarter 2010, and the margin was 3.3%. This decrease reflects lower sales that were partially offset by i) lower paper and printing costs in connection with a reduction in the number of titles published as well as a positive translation effect on foreign-currency-denominated costs; and ii) lower operating expenses due to nonrecurrent charges such as a decrease in allowances and doubtful accounts.
|
|||||||||
Sky
|
First-quarter sales increased 14.5% to Ps.3,028.9 million compared with Ps.2,645.9 million in first quarter 2010. The increase was driven by solid growth in the subscriber base in Mexico, which is explained mainly by the continued success of Sky’s low-cost offerings. As of March 31, 2010, the number of gross active subscribers increased to 3,312,106 (including 151,677 commercial subscribers), compared with 2,197,302 (including 145,420 commercial subscribers) as of March 31, 2010. Sky added 268 thousand subscribers during the quarter and closed the quarter with more than 149 thousand subscribers in Central America and the Dominican Republic.
|
||||||||
First-quarter operating segment income increased 27.6% to Ps.1,425.5 million compared with Ps.1,116.8 million in first quarter 2010, and the margin increased to 47.1%. This increase reflects higher sales as well as the absence of Ps.48 million in amortized costs related to the exclusive transmission of certain 2010 World Cup matches.
|
|||||||||
Cable and Telecom
|
First-quarter sales increased 17.9% to Ps.3,229.7 million compared with Ps.2,740.3 million in first quarter 2010. This increase was attributable to i) the addition of approximately 480 thousand revenue generating units (RGUs) in Cablevisión, Cablemás, and TVI during the last twelve months driven mainly by the success of our competitive triple-play bundles and the low penetration of broadband in Mexico; and ii) an improved sales mix in Bestel. Year-over-year, Cablevisión, Cablemás, TVI and Bestel net sales increased 12.5%, 13%, 16.3%, and 40.6%, respectively.
|
||||||||
The following table sets forth the breakdown of subscribers for each of our three cable and telecom subsidiaries as of March 31, 2011.
|
|||||||||
1Q ‘11
|
Cablevisión
|
Cablemás
|
TVI
|
||||||
Video
|
679,722
|
1,018,730
|
310,161
|
||||||
Broadband
|
310,835
|
384,099
|
158,031
|
||||||
Telephony
|
199,920
|
218,516
|
115,856
|
||||||
RGUs
|
1,190,477
|
1,621,345
|
584,048
|
||||||
First-quarter operating segment income increased 17.7% to Ps.1,068.1 million compared with Ps.907.1 million in first quarter 2010, and the margin was 33.1%. These results reflect continued growth in the cable platforms as well as a positive translation effect on foreign-currency-denominated costs.
The following table sets forth the breakdown of revenues and operating segment income, excluding consolidation adjustments, for our four cable and telecom subsidiaries for the quarter.
|
|||||||||
Millions of Mexican pesos
|
Cablevisión
|
Cablemás
|
TVI
|
Bestel
|
|||||
Revenue(1)
|
1,048.5
|
1,105.1
|
502.3
|
650.8
|
|||||
Operating Segment Income(1)
|
411.2
|
414.2
|
203.4
|
93.6
|
|||||
Margin
|
39.2%
|
37.5%
|
40.5%
|
14.4%
|
|||||
(1) These results do not include consolidation adjustments of Ps.77 million in revenues and Ps.54.3 million in Operating Segment Income, which are considered in the consolidated results of Cable and Telecom.
|
|||||||||
Other Businesses
|
First-quarter sales increased 18.1% to Ps.949.5 million compared with Ps.803.8 million in first quarter 2010. Businesses that performed well include soccer and gaming. The results of our gaming business were driven by the continued success of the soccer-related lottery game. The soccer business benefited from the consolidation of the teams Necaxa and San Luis.
|
||||||||
First-quarter operating segment loss decreased 29.3% to Ps.65.5 million compared with Ps.92.7 million in first quarter 2010, reflecting i) solid results in our gaming and radio businesses; and ii) a reduction in losses in our internet, publishing distribution and feature-film distribution businesses.
|
1Q '11
|
1Q '10
|
Increase
(decrease)
|
|
Interest expense
|
875.5
|
890.4
|
(14.9)
|
Interest income
|
(297.0)
|
(365.3)
|
68.3
|
Foreign exchange loss, net
|
202.1
|
2.4
|
199.7
|
Integral cost of financing
|
780.6
|
527.5
|
253.1
|
Mar 31, 2011
|
Dec 31, 2010
|
Increase
(decrease)
|
|
Current portion of long-term debt
|
1,025.7
|
1,469.1
|
(443.4)
|
Long-term debt (excluding current portion)
|
52,026.2
|
46,495.7
|
5,530.5
|
Total debt
|
53,051.9
|
47,964.8
|
5,087.1
|
Current portion of long-term capital lease obligations
|
293.8
|
280.1
|
13.7
|
Long-term capital lease obligations (excluding current portion)
|
294.7
|
349.7
|
(55.0)
|
Total capital lease obligations
|
588.5
|
629.8
|
(41.3)
|
Investor Relations: | Media Relations: |
Carlos Madrazo | Manuel Compeán |
María José Cevallos | Tel: (5255) 5728 3815 |
Tel: (5255) 5261-2445 | Fax: (5255) 5728 3632 |
Fax: (5255)5261-2494
|
mcompean@televisa.com.mx |
ir@televisa.com.mx |
http://www.televisa.com
|
http://www.televisa.com | |
http://www.televisair.com |
|
March 31,
|
December 31,
|
||||||
2011
|
2010
|
|||||||
ASSETS
|
(Unaudited)
|
(Unaudited)
|
||||||
Current:
|
||||||||
Cash and cash equivalents
|
Ps. | 26,518.1 | Ps. | 20,942.5 | ||||
Temporary investments
|
10,412.4 | 10,446.9 | ||||||
36,930.5 | 31,389.4 | |||||||
Trade notes and accounts receivable, net
|
15,838.9 | 17,701.1 | ||||||
Other accounts and notes receivable, net
|
3,825.7 | 4,180.2 | ||||||
Due from affiliated companies
|
207.4 | 196.3 | ||||||
Transmission rights and programming
|
4,246.9 | 4,004.4 | ||||||
Inventories, net
|
1,251.8 | 1,254.5 | ||||||
Other current assets
|
1,507.6 | 1,117.8 | ||||||
Total current assets
|
63,808.8 | 59,843.7 | ||||||
Derivative financial instruments
|
- | 189.4 | ||||||
Transmission rights and programming
|
5,103.0 | 5,627.6 | ||||||
Investments
|
20,202.7 | 21,837.5 | ||||||
Property, plant and equipment, net
|
38,731.3 | 38,651.8 | ||||||
Intangible assets and deferred charges, net
|
9,978.7 | 10,241.0 | ||||||
Other assets
|
79.7 | 79.6 | ||||||
Total assets
|
Ps. | 137,904.2 | Ps. | 136,470.6 |
|
March 31,
|
December 31,
|
||||||
2011
|
2010
|
|||||||
LIABILITIES
|
(Unaudited)
|
(Unaudited)
|
||||||
Current:
|
||||||||
Short-term debt and current portion of long-term debt
|
Ps. | 1,025.7 | Ps. | 1,469.1 | ||||
Current portion of capital lease obligations
|
293.8 | 280.1 | ||||||
Trade accounts payable
|
7,491.2 | 7,472.3 | ||||||
Customer deposits and advances
|
18,146.4 | 18,587.9 | ||||||
Taxes payable
|
1,170.2 | 1,443.9 | ||||||
Accrued interest
|
774.8 | 750.7 | ||||||
Employee benefits
|
311.6 | 199.6 | ||||||
Due to affiliated companies
|
53.2 | 48.8 | ||||||
Derivative financial instruments
|
62.0 | 74.3 | ||||||
Other accrued liabilities
|
2,890.0 | 2,982.3 | ||||||
Total current liabilities
|
32,218.9 | 33,309.0 | ||||||
Long-term debt, net of current portion
|
52,026.2 | 46,495.7 | ||||||
Capital lease obligations, net of current portion
|
294.7 | 349.7 | ||||||
Derivative financial instruments
|
70.2 | 103.5 | ||||||
Customer deposits and advances
|
563.5 | 495.5 | ||||||
Other long-term liabilities
|
1,328.3 | 2,747.5 | ||||||
Deferred income taxes
|
409.9 | 681.8 | ||||||
Retirement and termination benefits
|
464.8 | 430.1 | ||||||
Total liabilities
|
87,376.5 | 84,612.8 | ||||||
STOCKHOLDERS’ EQUITY
|
||||||||
Capital stock issued, no par value
|
10,019.9 | 10,019.9 | ||||||
Additional paid-in capital
|
4,547.9 | 4,547.9 | ||||||
14,567.8 | 14,567.8 | |||||||
Retained earnings:
|
||||||||
Legal reserve
|
2,135.4 | 2,135.4 | ||||||
Unappropriated earnings
|
29,483.7 | 23,583.4 | ||||||
Net income for the period
|
870.7 | 7,683.4 | ||||||
32,489.8 | 33,402.2 | |||||||
Accumulated other comprehensive income, net
|
2,885.5 | 3,251.1 | ||||||
Shares repurchased
|
(6,085.4 | ) | (6,156.6 | ) | ||||
29,289.9 | 30,496.7 | |||||||
Total controlling interest
|
43,857.7 | 45,064.5 | ||||||
Non-controlling interest
|
6,670.0 | 6,793.3 | ||||||
Total stockholders’ equity
|
50,527.7 | 51,857.8 | ||||||
Total liabilities and stockholders’ equity
|
Ps. | 137,904.2 | Ps. | 136,470.6 |
Three months ended March 31,
|
||||||||
2011
|
2010
|
|||||||
(Unaudited)
|
(Unaudited)
|
|||||||
|
||||||||
Net sales
|
Ps. | 13,199.6 | Ps. | 12,147.0 | ||||
|
||||||||
Cost of sales 1
|
6,489.5 | 5,923.8 | ||||||
|
||||||||
Operating expenses:
|
||||||||
Selling 1
|
1,134.6 | 1,187.1 | ||||||
Administrative 1
|
1,252.6 | 1,026.6 | ||||||
Depreciation and amortization
|
1,775.5 | 1,481.2 | ||||||
Operating income
|
2,547.4 | 2,528.3 | ||||||
Other expense, net
|
34.9 | 18.4 | ||||||
Integral cost of financing:
|
||||||||
Interest expense
|
875.5 | 890.4 | ||||||
Interest income
|
(297.0 | ) | (365.3 | ) | ||||
Foreign exchange loss, net
|
202.1 | 2.4 | ||||||
780.6 | 527.5 | |||||||
Equity in losses of affiliates, net
|
98.2 | 115.7 | ||||||
Income before income taxes
|
1,633.7 | 1,866.7 | ||||||
Income taxes
|
414.1 | 594.7 | ||||||
Consolidated net income
|
1,219.6 | 1,272.0 | ||||||
Non-controlling interest net income
|
(348.9 | ) | (212.6 | ) | ||||
Controlling interest net income
|
Ps. | 870.7 | Ps. | 1,059.4 |
Apr
|
May
|
Jun
|
2Q10
|
Jul
|
Aug
|
Sep
|
3Q10
|
Oct
|
Nov
|
Dec
|
4Q10
|
Jan
|
Feb
|
Mar
|
1Q11
|
|
Channel 2
|
||||||||||||||||
Rating
|
11
|
10.5
|
11.2
|
10.9
|
10.5
|
10.7
|
11.1
|
10.8
|
11.2
|
11.5
|
10.5
|
11.0
|
11.4
|
12.0
|
11.7
|
11.7
|
Share (%)
|
31.2
|
29.7
|
30.3
|
30.4
|
29.2
|
29.9
|
30.9
|
30.0
|
32.5
|
32.3
|
31.2
|
32.0
|
31.7
|
32.9
|
32.5
|
32.4
|
Total Televisa(2)
|
||||||||||||||||
Rating
|
24.8
|
24.5
|
25.7
|
25.0
|
25.2
|
24.7
|
24.6
|
24.8
|
23.8
|
24.6
|
22.9
|
23.8
|
24.1
|
25.0
|
24.5
|
24.5
|
Share (%)
|
70.1
|
69.6
|
69.5
|
69.7
|
70
|
69.4
|
68.5
|
69.3
|
69.3
|
69.4
|
68.2
|
69.0
|
67.3
|
68.4
|
68.4
|
68.0
|
Apr
|
May
|
Jun
|
2Q10
|
Jul
|
Aug
|
Sep
|
3Q10
|
Oct
|
Nov
|
Dec
|
4Q10
|
Jan
|
Feb
|
Mar
|
1Q11
|
|
Channel 2
|
||||||||||||||||
Rating
|
16
|
14.8
|
15.4
|
15.4
|
15.6
|
15.6
|
16.4
|
15.9
|
16.9
|
17.2
|
15.3
|
16.5
|
16.7
|
18.0
|
17.2
|
17.3
|
Share (%)
|
33.6
|
31.4
|
32.4
|
32.5
|
32.4
|
32.4
|
33.1
|
32.6
|
35.5
|
34.7
|
33.6
|
34.6
|
33.8
|
35.7
|
34.9
|
34.8
|
Total Televisa(2)
|
||||||||||||||||
Rating
|
32.9
|
32
|
32.8
|
32.6
|
32.5
|
32
|
32.8
|
32.4
|
32.3
|
33.4
|
30.5
|
32.1
|
32.6
|
33.9
|
33.1
|
33.2
|
Share (%)
|
69.2
|
68
|
69.2
|
68.8
|
67.6
|
66.4
|
66.5
|
66.8
|
67.7
|
67.7
|
66.8
|
67.4
|
66.1
|
67.1
|
67.2
|
66.8
|
Apr
|
May
|
Jun
|
2Q10
|
Jul
|
Aug
|
Sep
|
3Q10
|
Oct
|
Nov
|
Dec
|
4Q10
|
Jan
|
Feb
|
Mar
|
1Q11
|
|
Channel 2
|
||||||||||||||||
Rating
|
21.7
|
19.6
|
19.1
|
20.1
|
19.5
|
19.9
|
20.9
|
20.1
|
22.8
|
21.0
|
18.8
|
20.9
|
21.5
|
22.9
|
22.0
|
22.1
|
Share (%)
|
39.2
|
36.1
|
35.9
|
37.1
|
36.3
|
36.7
|
38.2
|
37.1
|
41.8
|
38.4
|
36.9
|
39.0
|
38.6
|
40.5
|
39.5
|
39.5
|
Total Televisa(2)
|
||||||||||||||||
Rating
|
40.1
|
38
|
37.9
|
38.7
|
37.6
|
37.3
|
37.5
|
37.5
|
39.0
|
38.6
|
34.8
|
37.4
|
38.1
|
39.9
|
37.9
|
38.6
|
Share (%)
|
72.7
|
70.2
|
71.3
|
71.4
|
69.8
|
68.8
|
68.4
|
69.0
|
71.3
|
70.5
|
68.2
|
70.0
|
68.4
|
70.4
|
68.2
|
69.0
|
GRUPO TELEVISA, S.A.B.
|
|||
(Registrant)
|
|||
Dated: April 19, 2011
|
By:
|
/s/ Jorge Lutteroth Echegoyen
|
|
Name:
|
Jorge Lutteroth Echegoyen
|
||
Title:
|
Controller, Vice President
|