Digital drives ProSiebenSat.1 to record earnings

German’s ProSiebenSat.1 Group reported record results last year thanks to digital gains and a strong performance by its core free TV business.

The firm said that its ‘Digital & Adjacent’ segment was its strongest growth driver, with revenues up by 38.1% to €351.2 million.

This was thanks to double-digit growth across all four digital business areas: online video, which includes VoD portal Maxdome and online TV station MyVideo; online games; music; and venture and commerce.

In the German-speaking broadcast segment, ProSiebenSat.1 grew its revenues slightly year-on-year to €1.91 billion, thanks to a slight upturn in TV ad revenues, in line with expectations.

Last year, the firm also said that it considerably increased distribution revenues, mainly driven by its HD stations. This helped the group’s revenues from distribution in Germany exceed its distribution costs for the first time.

Overall in 2012, the media company increased its revenues by 7.7% to €2.97 billion. Consolidated net earnings climbed 12.4% to €295 million. Including discontinued operations, underlying net income increased by 34.2% to €415.1 million.

Thomas Ebeling, CEO of the ProSiebenSat.1 Group, said the results put ProSiebenSat.1 Group in an “excellent position for the future” and said it was on track for “sustainable and long-term growth.”

The firm launched a new TV channel in Germany last month aimed at women aged 49 to 64 called SAT.1 Gold. It also plans to launch a second new station, ProSieben MAXX later this year.

“We will continue to intensify the integration of our core TV business and digital operations and develop ProSiebenSat.1 from a traditional television provider into a digital entertainment and e-commerce powerhouse,” said Ebeling.