Nordic Entertainment posts solid Q3 results

Nordic Entertainment (NENT), which has just unveiled plans to create a JV with Telenor to combine the pair’s pay TV units in the region, has posted solid Q3 results, with a return to growth for its Viaplay streaming service and a 10% increase in revenues, but saw operating profit flatline.

Anders Jensen

The pay and free TV outfit said that it added 37,000 Viaplay subscribers in the quarter, compared with a loss of 13,000 last year. The Viaplay subscribers base now stands at 1.459 million, up 25% year-on-year.

NENT did not break out numbers for its legacy pay TV business.

The company post3ed net sales of SEK2.399 billion for the quarter, up 10.5%. Operating income however declined from SEK303 million to SEK302 million, with higher central operating cost related to plans for the merger already kicking in.

Advertising sales, representing 22% of the total, were up 2% thanks to higher prices offsetting declines in linear TV viewing in the region.

NENT Studios, which accounted for 15% of Group sales, generated 32% growth, primarily on the back of exceptional performance in the scripted drama but also from double digit growth in non-scripted productions.

President and CEO Anders Jensen said that the quarter was “historically important” with the merger “expected to yield substantial synergies and drive shareholder value”.