UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 6-K
REPORT OF FOREIGN ISSUER PURSUANT TO RULES 13a-16 OR 15d-16
UNDER THE SECURITIES EXCHANGE ACT OF 1934
For the month of April, 2005
GRUPO TELEVISA, S.A.
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(Translation of registrant's name into English)
Av. Vasco de Quiroga No. 2000, Colonia Santa Fe 01210 Mexico, D.F.
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(Address of principal executive offices)
(Indicate by check mark whether the registrant files or will file
annual reports under cover Form 20-F or Form 40-F.)
Form 20-F X Form 40-F
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(Indicate by check mark whether the registrant by furnishing the
information contained in this Form is also furnishing the information to
the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act
of 1934.)
Yes No X
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If "Yes" is marked indicate below the file number assigned to the
registrant in connection with Rule 12g3-2(b): 82-______.
[Grupo Televisa, S.A. Logo] FIRST QUARTER 2005 RESULTS
FOR IMMEDIATE RELEASE
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HIGHLIGHTS
>> RECORD FIRST-QUARTER CONSOLIDATED AND TELEVISION BROADCASTING NET
SALES, OPERATING INCOME BEFORE DEPRECIATION AND AMORTIZATION AND
MARGINS
>> SKY MEXICO REACHED OVER 1.1 MILLION GROSS ACTIVE SUBSCRIBERS
>> DIVIDEND OF PS.1.35 PER CPO, OR PS.4,250 MILLION, TO BE PAID ON MAY
31, 2005
>> SIGN-ON TO SIGN-OFF AUDIENCE SHARE REACHED 71.2%
CONSOLIDATED RESULTS
Mexico City, D.F., April 26, 2005 - Grupo Televisa, S.A. ("Televisa" or
"the Company"; NYSE:TV; BMV: TLEVISA CPO) today announced results for the
first quarter 2005. The results have been prepared in accordance with
Mexican GAAP and are adjusted in millions of Mexican pesos in purchasing
power as of March 31, 2005 (see pages 8-10). Effective April 1, 2004, we
began consolidating Sky Mexico into our financial statements. In addition,
during the fourth quarter of 2004, we amended certain agreements in our
Publishing Distribution segment, which resulted in a change in the
accounting for net sales and costs of goods sold. For comparable figures,
see "Pro Forma Results by Business Segments" on page 2.
The following table sets forth a condensed Statement of Income in millions
of Mexican pesos, as well as the percentage that each line represents of
net sales and the percentage change when comparing the first quarter of
2005 with the first quarter of 2004:
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1Q
2005(1) MARGIN % 1T 2004 MARGIN % INC. %
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Net Sales 6,369.6 100.0 5,460.2 100.0 16.7
Operating Income Before Depreciation and
Amortization 2,186.8 34.3 1,566.7 28.7 39.6
Operating Income 1,644.7 25.8 1,211.2 22.2 35.8
Net Income 594.1 9.3 492.7 9.0 20.6
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(1) Effective April 1, 2004, we began consolidating Sky Mexico into our
financial statements. In addition, effective October 1, 2004, we amended
certain agreements in our Publishing Distribution segment and changed the
accounting for net sales and costs of goods sold.
Net sales increased 16.7% to Ps.6,369.6 million in the first quarter of
2005 compared with Ps.5,460.2 million in the first quarter of 2004. This
increase was attributable to the consolidation of Sky Mexico into our
financial statements beginning in the second quarter of 2004 and revenue
growth in our Publishing, Pay Television Networks, Television Broadcasting,
Cable Television and Radio segments. These increases were partially offset
by lower sales in Publishing Distribution due to the aforementioned
accounting change, as well as lower sales in our Programming Exports and
Other Businesses segments.
Operating income before depreciation and amortization ("OIBDA") increased
39.6% to Ps.2,186.8 million in the first quarter of 2005 compared with Ps.
1,566.7 million in the first quarter of 2004. This increase reflects higher
sales, which were partially offset by an increase in operating expenses and
cost of sales. OIBDA margin expanded to an all-time first-quarter record of
34.3% from 28.7% reported in last year's comparable period. This increase
reflects an OIBDA margin expansion in most of our business units and the
accounting change in our Publishing Distribution segment. Operating income
rose 35.8% to Ps.1,644.7 million in the first quarter of 2005 compared with
Ps.1,211.2 million reported in last year's first quarter.
Net income increased 20.6% to Ps.594.1 million in the first quarter of 2005
compared with Ps.492.7 million in the first quarter of 2004. The net
increase of Ps.101.4 million reflected: i) a Ps.620.1 million increase in
OIBDA; ii) a Ps.82.7 million decrease in integral cost of financing; and
iii) a Ps.95.9 million decrease in other expense. These favorable changes
were partially offset by: i) a Ps.186.6 million increase in depreciation
and amortization; ii) a Ps.63 million increase in restructuring and
non-recurring charges; iii) a Ps.144.3 million increase in income taxes;
iv) a Ps.28 million decrease in equity in income of affiliates; v) a loss
effect in accounting change of Ps.177.9 million; and, vi) a Ps.97.5 million
increase in minority interest.
PRO FORMA RESULTS BY BUSINESS SEGMENTS
The following first quarter pro forma net sales, operating income (loss)
before depreciation and amortization, and operating income (loss) reflect
the consolidation of Sky Mexico into our financial statements and the
change in our accounting treatment of sales and costs of goods sold
recognition in our Publishing Distribution segment, and assume that both
occurred at the beginning of each period presented. Please refer to page 7
for information related to pro forma results. Amounts are presented in
millions of Mexican pesos for each of the Company's business segments for
the first quarters ended March 31, 2005 and 2004:
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NET SALES 1Q 2005 % PRO FORMA % INC. %
1Q 2004
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Television Broadcasting 3,390.1 51.4 3,334.1 53.6 1.7
Pay Television Networks 235.3 3.6 175.7 2.8 33.9
Programming Exports 396.2 6.0 432.6 7.0 (8.4)
Publishing 458.8 7.0 387.2 6.2 18.5
Publishing Distribution 85.7 1.3 83.2 1.3 3.0
Sky Mexico 1,303.5 19.8 1,141.0 18.4 14.2
Cable Television 304.1 4.6 281.4 4.5 8.1
Radio 62.1 0.9 55.1 0.9 12.7
Other Businesses 355.1 5.4 331.3 5.3 7.2
SEGMENT NET SALES 6,590.9 100.0 6,221.6 100.0 5.9
Intersegment Operations (1) (221.3) (217.8) (1.6)
Disposed Operations (2) - 84.0 -
CONSOLIDATED NET SALES 6,369.6 6,087.8 4.6
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OIBDA (LOSS) 1Q 2005 % PRO FORMA % INC. %
1Q 2004
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Television Broadcasting 1,384.7 40.8 1,324.3 39.7 4.6
Pay Television Networks 94.5 40.2 46.4 26.4 103.7
Programming Exports 106.4 26.9 129.4 29.9 (17.8)
Publishing 34.7 7.6 31.7 8.2 9.5
Publishing Distribution (5.6) (6.5) (3.5) (4.2) (60.0)
Sky Mexico 509.8 39.1 404.0 35.4 26.2
Cable Television 82.6 27.2 88.6 31.5 (6.8)
Radio 0.3 0.5 (2.8) (5.1) -
Other Businesses 13.2 3.7 (19.6) (5.9) -
Corporate Expenses (33.8) (0.5) (33.6) (0.5) (0.6)
SEGMENT OIBDA 2,186.8 33.2 1,964.9 31.6 11.3
Disposed Operations (2) - - 5.8 6.9 -
CONSOLIDATED OIBDA 2,186.8 34.3 1,970.7 32.4 11.0
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PRO
FORMA
OPERATING INCOME (LOSS) 1Q 2005 % 1Q 2004 % INC. %
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Television Broadcasting 1,138.0 33.6 1,068.7 32.1 6.5
Pay Television Networks 88.0 37.4 41.1 23.4 114.1
Programming Exports 105.2 26.6 127.5 29.5 (17.5)
Publishing 30.4 6.6 26.4 6.8 15.2
Publishing Distribution (11.8) (13.8) (9.1) (10.9) (29.7)
Sky Mexico 319.6 24.5 204.9 18.0 56.0
Cable Television 13.3 4.4 39.8 14.1 (66.6)
Radio (4.4) (7.1) (7.4) (13.4) 40.5
Other Businesses 0.2 0.1 (35.7) (10.8) -
Corporate Expenses (33.8) (0.5) (33.6) (0.5) (0.6)
SEGMENT OPERATING INCOME 1,644.7 25.0 1,422.6 22.9 15.6
Disposed Operations (2) - - (6.5) (7.7) -
CONSOLIDATED OPERATING 1,644.7 25.8 1,416.1 23.3 16.1
INCOME
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(1) For segment reporting purposes, intersegment operations are included
in each of the segment operations.
(2) Reflects the results of operations of the Company's nationwide paging
and sports businesses.
TELEVISION Sales increased 1.7% to Ps.3,390.1 million compared
BROADCASTING with Ps.3,334.1 million reported in the same period
last year. This increase is attributable to an
increase in advertising revenues, driven mainly by
our soap operas and reality shows, as well as by
higher local sales.
OIBDA increased 4.6% to Ps.1,384.7 million compared
with Ps.1,324.3 million reported in the same period
last year. OIBDA margin expanded to 40.8% from
39.7%, reflecting higher sales, lower cost of sales
and stable operating expenses.
We have secured the broadcast rights for the 2006
FIFA Soccer World Cup to be played in Germany. We
will broadcast 30 out of the 64 matches to be played
during the event. Televisa paid U.S.$16 million for
these rights.
PAY TELEVISION Sales increased 33.9% to Ps.235.3 million compared
NETWORKS with Ps.175.7 million reported in the same period
last year. In accordance with the guidelines of FIN
46, during the first quarter we identified TuTV,
LLC., our joint venture with Univision, as a
variable interest entity, and the company as the
primary beneficiary of such entity. Accordingly, we
began including fully the assets, liabilities and
results of operations of TuTV in our consolidated
financial statements as of January 1, 2005. The
segment sales increase reflects Ps.18.9 million of
TuTV's sales, an increase in signal and advertising
sales in Mexico, as well as an increase in signal
sales in Latin America, which were partially offset
by lower signal sales in Spain.
OIBDA rose 103.7% to Ps. 94.5 million compared with
Ps.46.4 million reported in the same period of last
year. OIBDA margin expanded to 40.2% from 26.4% in
last year's first quarter. This increase was driven
by higher sales, which were partially offset by a
marginal increase in the cost of sales combined with
an increase in operating expenses resulting from the
consolidation of TuTV and higher advertising and
promotion expenses. In the first quarter of 2005,
TuTV contributed with Ps.2.8 million to OIBDA.
PROGRAMMING Sales decreased 8.4% to Ps.396.2 million compared
EXPORTS with Ps.432.6 million reported in the first quarter
of 2004. This decrease is attributable to lower
export sales to Latin America, Europe, Asia and
Africa and a negative translation effect of
foreign-currency denominated sales that amounted to
Ps.11.7 million. Univision royalties grew U.S.$741
thousand year over year, of which U.S.$625 thousand
came from the increase in Telefutura's minimum
guaranteed royalty. Univision royalties were below
our expectations due to the fact that Univision
decided to deduct the revenues from certain programs
in the calculation of the royalty.
OIBDA decreased 17.8% to Ps.106.4 million compared
with Ps.129.4 million reported in the same period
last year. OIBDA margin decreased to 26.9% from
29.9% in last year's first quarter, reflecting lower
sales that were partially offset by lower cost of
sales and operating expenses.
PUBLISHING Sales increased 18.5% to Ps.458.8 million compared
with Ps.387.2 million reported in the same period
last year. This increase is attributable to higher
magazine circulation and advertising pages sold both
in Mexico and abroad. These increases were partially
offset by a translation effect of foreign-currency
denominated sales, which amounted to Ps.6 million.
OIBDA increased 9.5% to Ps.34.7 million compared
with Ps.31.7 million reported in the same period
last year. OIBDA margin decreased to 7.6% from 8.2%
in last year's first quarter, reflecting higher cost
of sales driven by an increase in paper and printing
costs, as well by higher operating expenses, which
were partially offset by higher sales.
PUBLISHING Sales increased 3% to Ps.85.7 million compared with
DISTRIBUTION Ps.83.2 million reported in the same period last
year. This increase is attributable to higher
circulation of magazines published by the Company in
Mexico and abroad. These increases were partially
offset by the translation effect of foreign-currency
denominated sales, which amounted to Ps.1.9 million.
Operating loss before depreciation and amortization
increased 60% to Ps.5.6 million compared with Ps.3.5
million reported in the same period of last year
reflecting higher cost of sales and operating
expenses, which were partially offset by higher
sales.
SKY MEXICO Sales increased 14.2% to Ps.1,303.5 million compared
with Ps.1,141 million reported in the same period
last year. This increase was driven by a 25%
increase in the subscriber base. As of March 31,
2005, it reached 1,107,500 gross active subscribers
(including 63,400 commercial subscribers) compared
with 886,100 gross active subscribers (including
50,200 commercial subscribers) as of March 31, 2004.
OIBDA increased 26.2% to Ps.509.8 million compared
with Ps.404 million reported in the same period last
year. OIBDA margin expanded to 39.1% from 35.4% in
last year's first quarter, reflecting higher sales,
which were partially offset by higher cost of sales
and operating expenses.
Sky Mexico agreed to purchase certain rights of the
2006 Soccer World Cup. Sky Mexico will be able to
air the entire 64 games of the World Cup, out of
which 34 will be exclusive for Sky subscribers. The
cost of these rights is US$15 million.
CABLE Sales increased 8.1% to Ps.304.1 million compared
TELEVISION with Ps.281.4 million reported in the same period
last year. This increase was driven by a 1.3%
increase in the subscriber base, which, as of March
31, 2005, totaled 370,822 subscribers (including
147,040 digital subscribers) compared with last
year's base of 365,930 subscribers (including 69,806
digital subscribers), as well as both higher
advertising revenues and broadband subscription
fees. Broadband subscribers increased to 36,558 in
the first quarter of 2005 compared with 11,220 in
the first quarter of 2004.
OIBDA decreased 6.8% to Ps.82.6 million compared
with Ps.88.6 million reported in the same period
last year. OIBDA margin decreased to 27.2% from
31.5% in last year's first quarter, reflecting
higher programming costs and operating expenses that
were partially offset by higher sales.
RADIO Sales increased 12.7% to Ps.62.1 million compared
with Ps.55.1 million reported in the same period
last year. This increase was driven by higher
advertising time sold, which was mainly driven by
our newscasts and sports programming.
Operating result before depreciation and
amortization increased to an income of Ps.0.3
million compared with a loss of Ps.2.8 million
reported in the same period last year due to higher
sales, but was partially offset by higher cost of
sales and operating expenses.
OTHER Sales increased 7.2% compared with the same period
BUSINESSES last year mainly due to higher sales in our
Esmas.com Internet portal businesses, which include
sales related to our SMS messaging service. This was
partially offset by lower sales in our feature film
distribution business and sports businesses.
Operating result before depreciation and
amortization increased to an income of Ps.13.2
million compared with a loss of Ps.19.6 million
reported in the first quarter of 2004. The favorable
variance reflects higher sales and lower operating
expenses, which were partially offset by higher cost
of sales.
NON-OPERATING RESULTS
INTEGRAL COST OF FINANCING
The following table sets forth the Integral Cost of Financing for the three
months ended March 31, 2005 and 2004, in millions of Mexican pesos, which
consisted of:
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1Q 1Q INCREASE CHANGE
2005 2004 (DECREASE) %
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Interest expense 547.3 370.3 177.0 47.8
Interest income (292.3) (158.2) 134.1 84.8
Foreign exchange loss -
net 29.8 7.7 22.1 287.0
Loss from monetary
position - net 18.0 165.7 (147.7) (89.1)
302.8 385.5 (82.7) (21.5)
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The expense attributable to the integral cost of financing decreased by
Ps.82.7 million, or 21.5%, to Ps.302.8 million in the first quarter of 2005
from Ps.385.5 million in the first quarter of 2004. This decrease
reflected: i) a Ps.134.1 million increase in interest income in connection
with a higher average amount of temporary investments during the first
quarter of 2005 and higher interest rates in the same period; and ii) a
Ps.147.7 million decrease in loss from monetary position, primarily as a
result of a lower net asset monetary position and a lower inflation in the
quarter ended March 31, 2005 (0.79%) compared to the quarter ended March
31, 2004 (1.57%). These favorable variances were offset by: i) a Ps.177
million increase in interest expense, primarily as a result of an increase
in the average amount of our debt, resulting from the consolidation of Sky
Mexico's debt beginning the second quarter of 2004; and ii) a Ps.22.1
million increase in net foreign exchange loss, primarily in connection with
a 0.09% depreciation of the Mexican peso against the U.S. dollar during the
first quarter 2005 compared with a 0.45% appreciation of the Mexican peso
against the U.S. dollar in last year's first quarter.
RESTRUCTURING AND NON-RECURRING CHARGES
Restructuring and non-recurring charges increased by Ps.63 million, or
59.8%, to Ps.168.4 million in the first quarter of 2005, as compared to
Ps.105.4 million in the first quarter of 2004. This increase primarily
reflected the recognition of financing expenses in connection with the
prepayment of certain of our outstanding long-term debt in March 2005,
which was partially offset by a reduction in restructuring charges in
connection with work force reductions.
OTHER EXPENSE, NET
Other expense decreased by Ps.95.9 million, or 75.3%, to Ps.31.4 million in
the first quarter of 2005 as compared to Ps.127.3 million in the same
period last year. This decrease primarily reflected a reduction in
donations, a decrease in loss on disposition of fixed assets, and a
reduction in advisory and professional services.
INCOME TAX
Income tax increased by Ps.144.3 million to Ps.311.1 million in the first
quarter of 2005 from Ps.166.8 million in last year's first quarter. This
increase primarily reflected a higher income tax base in the first quarter
of 2005.
EQUITY IN INCOME OF AFFILIATES, NET
Equity in income of affiliates decreased by Ps.28 million to Ps.18.4
million for the first quarter of 2005 compared to Ps.46.4 million in the
first quarter of 2004. This decrease primarily reflected the absence of
equity income of Sky Mexico in the first quarter of 2005, as well as a
reduction in equity income of Ocesa Entretenimiento, the live entertainment
company with operations in Mexico in which the Company holds a 40% stake.
LOSS EFFECT IN ACCOUNTING CHANGE
Beginning January 1, 2005, we adopted the provisions of Mexican GAAP
Bulletin D-3 "Labor Obligations," related to the recognition of severance
obligations to dismissed personnel, other than those arising from
restructurings based upon actuarial calculations. As permitted by the
provisions of Bulletin D-3, in the first quarter of 2005, we recognized in
our consolidated income statement a related cumulative loss effect in
accounting change in the amount of Ps.177.9 million, net of a related
income tax benefit of Ps.76.2 million.
MINORITY INTEREST
Minority interest increased by Ps.97.5 million to a charge of Ps.77.4
million in the first quarter of 2005, from a benefit of Ps.20.1 million in
the first quarter of 2004. This increase primarily reflected the portion of
net income attributable to the interest held by third parties in Sky Mexico
beginning the second quarter of 2004.
OTHER RELEVANT INFORMATION
CAPITAL EXPENDITURES
In the first quarter of 2005, we invested approximately U.S.$38.4 million
in property, plant and equipment as capital expenditures, of which
approximately U.S.$3.4 million and U.S.$28.7 million are related to our
Cable Television and Sky Mexico segments, respectively.
DEBT
As of March 31, 2005, our consolidated long-term portion of debt amounted
to approximately Ps.17,963.6 million, including Ps.4,359.7 million from Sky
Mexico, and our consolidated current portion of debt was approximately
Ps.2,322.7 million. Additionally, as of March 31, 2005, Sky Mexico had
long-term and current portions of a capital lease obligation in an
aggregate amount of approximately Ps.1,306.8 million and Ps.72.9 million,
respectively. As of March 31, 2004, our consolidated long-term portion of
debt amounted to approximately Ps.15,349.9 million and our consolidated
current portion of debt was approximately Ps.259.4 million.
Excluding Sky Mexico, our consolidated net debt was of Ps.120.5 million as
of March 31, 2005 which compares to a consolidated net cash position of
Ps.62.3 million as of March 31, 2004.
In March 2005, we issued U.S.$400 million aggregate principal amount of
6.625% Senior Notes due 2025. The net proceeds were used to pay the tender
offer of 74% of the aggregate principal amount of the 8.00% Senior Notes
due 2011 and 76% of the 8.15% UDI-denominated Notes due 2007. As a result
of these tender offers and the consummation in the first quarter of the
offering of U.S.$400 million aggregate principal amount of 6.625% Senior
Notes due 2025, Televisa expects to reduce interest expense by
approximately U.S.$8 million in 2005 and U.S.$12 million in 2006. Through
these transactions, Televisa extended its average debt maturity from 8.2 to
9.5 years.
Effective March 18, 2005, we designated our net investment in Univision as
a hedge of the foreign exchange differences arising from the U.S.$400
million Senior Notes due 2025 issued in connection with the prepayment of
approximately U.S.$485.4 million of principal amount of our outstanding
long-term debt as of that date. As of March 31, 2005, the total principal
amount of our long-term debt being hedged by Univision was of approximately
U.S.$777.5 million.
SHARE BUYBACK PROGRAM
From January 1 through April 26, 2005, we have repurchased approximately
1,053 million shares in the form of 9 million CPOs for Ps.290.3 million in
nominal terms.
DIVIDEND PAYMENT
Our Board of Directors will submit to our next Shareholders Meeting a
proposal to pay an extraordinary dividend of Ps.1 per CPO, in addition to
our ordinary dividend of Ps.0.35 per CPO, for a total of Ps.1.35 per CPO.
The total amount of the dividend is approximately Ps.4,250 million. This
represents a 10% increase over last year's dividend and is equivalent to a
dividend yield of 4.2% based on today's closing price. If approved by our
shareholders, this dividend will be paid on May 31, 2005 to shareholders on
record as of May 30.
TELEVISION RATINGS AND AUDIENCE SHARE
National urban ratings and audience share reported by IBOPE confirm that in
the first quarter of 2005 Televisa continued to deliver strong ratings and
audience shares. During weekday prime time (19:00 to 23:00 - Monday to
Friday), the audience share amounted to 70.5%; in prime time (16:00 to
23:00 - Monday to Sunday), the audience share amounted to 69.1%; and in
sign-on to sign-off (6:00 to 24:00 - Monday to Sunday), the audience share
amounted to 71.2%.
OUTLOOK FOR 2005
We expect second-quarter Television Broadcasting sales to increase
approximately 7% compared to last year's second quarter. For the full year,
we expect Television Broadcasting sales to increase approximately 4.5%. In
addition, we will continue to keep costs and expenses under control
throughout the year, which should allow our Television Broadcasting
operating income before depreciation and amortization margin to reach 47%.
Grupo Televisa, S.A., is the largest media company in the Spanish-speaking
world, and a major participant in the international entertainment business.
It has interests in television production and broadcasting, production of
pay television networks, international distribution of television
programming, direct-to-home satellite services, publishing and publishing
distribution, cable television, radio production and broadcasting,
professional sports and live entertainment, feature film production and
distribution, and the operation of a horizontal Internet portal. Grupo
Televisa also owns an unconsolidated equity stake in Univision, the leading
Spanish-language media company in the United States.
This press release contains forward-looking statements regarding the
Company's results and prospects. Actual results could differ materially
from these statements. The forward-looking statements in this press release
should be read in conjunction with the factors described in "Item 3. Key
Information - Forward-Looking Statements" in the Company's Annual Report on
Form 20-F, which, among others, could cause actual results to differ
materially from those contained in forward-looking statements made in this
press release and in oral statements made by authorized officers of the
Company. Readers are cautioned not to place undue reliance on these
forward-looking statements, which speak only as of their dates. The Company
undertakes no obligation to publicly update or revise any forward-looking
statements, whether as a result of new information, future events or
otherwise.
The pro forma information is presented for informational purposes only and
does not purport to represent what our financial position or results of
operations would have been had the consolidation and the sale and costs of
goods sold recognition been realized during the specified periods.
Furthermore, the reader should not rely on the pro forma information as an
indication of the results of operations of future periods.
(Please see attached tables for financial information and ratings data)
###
CONTACTS:
INVESTOR RELATIONS:
Michel Boyance / Alejandro Eguiluz
Grupo Televisa, S.A.
Av. Vasco de Quiroga No. 2000
Colonia Santa Fe
01210 Mexico, D.F.
(5255) 5261-2445
GRUPO TELEVISA, S. A.
CONSOLIDATED BALANCE SHEETS AS OF MARCH 31, 2005 AND DECEMBER 31, 2004
(MILLIONS OF MEXICAN PESOS IN PURCHASING POWER AS OF MARCH 31, 2005)
ASSETS
March 31, December 31,
2005 2004
(Unaudited) (Audited)
----------- ------------
Current:
Available:
Cash Ps. 261.0 Ps. 393.6
Temporary investments 16,563.1 16,379.0
----------- ------------
16,824.1 16,772.6
Trade notes and accounts receivable
- net 7,104.1 11,318.6
Other accounts and notes receivable
- net 1,021.1 1,143.1
Due from affiliated companies - net 23.6 77.0
Transmission rights and programming 3,596.5 3,622.3
Inventories 708.8 668.0
Other current assets 735.3 716.6
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Total current assets 30,013.5 34,318.2
Transmission rights and programming 4,334.5 4,527.1
Investments 6,785.9 6,811.0
Property, plant and equipment - net 19,185.1 19,310.7
Goodwill and other intangible assets
- net 9,810.6 9,228.8
Other assets 50.1 270.7
----------- ------------
Total assets Ps.70,179.7 Ps.74,466.5
=========== ============
GRUPO TELEVISA, S. A.
CONSOLIDATED BALANCE SHEETS AS OF MARCH 31, 2005 AND DECEMBER 31, 2004
(MILLIONS OF MEXICAN PESOS IN PURCHASING POWER AS OF MARCH 31, 2005)
LIABILITIES
March 31, December 31,
2005 2004
(Unaudited) (Unaudited)
------------------ --------------------
Current:
Current portion of long-term debt Ps. 2,322.7 Ps. 3,323.1
Current portion of satellite
transponder lease - obligation 72.9 71.3
Trade accounts payable 2,339.7 2,152.1
Customer deposits and advances 13,322.5 15,048.1
Taxes payable 557.1 1,571.1
Accrued interest 125.8 452.9
Other accrued liabilities 1,383.3 1,280.8
------------------ --------------------
Total current liabilities 20,124.0 23,899.4
Long-term debt 17,963.6 19,093.2
Satellite transponder lease obligation 1,306.8 1,335.1
Customer deposits and advances 345.8 375.8
Other long-term liabilities 534.3 596.7
Deferred taxes 1,327.7 1,344.5
Labor obligations 140.2 -
------------------ --------------------
Total liabilities 41,742.4 46,644.7
------------------ --------------------
STOCKHOLDERS' EQUITY
Majority interest:
Capital stock issued, no par value 9,646.0 9,646.0
Additional paid-in capital 4,108.7 4,108.7
------------------ --------------------
13,754.7 13,754.7
------------------ --------------------
Retained earnings:
Legal reserve 1,536.6 1,536.6
Reserve for repurchase of shares 5,603.2 5,603.2
Unappropriated earnings 15,732.2 11,624.6
Net income for the period 594.1 4,350.8
------------------ --------------------
23,466.1 23,115.2
Accumulated other comprehensive loss (2,581.8) (2,582.2)
Shares repurchased (6,081.5) (6,344.4)
------------------ --------------------
14,802.8 14,188.6
------------------ --------------------
Total majority interest 28,557.5 27,943.3
Minority interest (120.2) (121.5)
------------------ --------------------
Total stockholders' equity 28,437.3 27,821.8
------------------ --------------------
Total liabilities and stockholders' Ps. 70,179.7 Ps. 74,466.5
equity ================== ====================
GRUPO TELEVISA, S. A.
CONSOLIDATED STATEMENTS OF INCOME FOR THE THREE MONTHS
ENDED MARCH 31, 2005 AND 2004
(MILLIONS OF MEXICAN PESOS IN PURCHASING POWER AS OF MARCH 31, 2005)
Three months ended March 31,
2005 2004
(Unaudited) (Unaudited)
------------------ -------------------------
Net sales Ps. 6,369.6 Ps. 5,460.2
Cost of sales 3,186.1 3,113.9
------------------ -------------------------
Gross profit 3,183.5 2,346.3
------------------ -------------------------
Operating expenses:
Selling 574.4 407.2
Administrative 422.3 372.4
------------------ -------------------------
996.7 779.6
------------------ -------------------------
Operating income before depreciation
and amortization 2,186.8 1,566.7
Depreciation and amortization 542.1 355.5
------------------ -------------------------
Operating income 1,644.7 1,211.2
------------------ -------------------------
Integral cost of financing:
Interest expense 547.3 370.3
Interest income (292.3) (158.2)
Foreign exchange loss - net 29.8 7.7
Loss from monetary position - net 18.0 165.7
------------------ -------------------------
302.8 385.5
Restructuring and non-recurring charges 168.4 105.4
Other expense-net 31.4 127.3
------------------ -------------------------
Income before taxes 1,142.1 593.0
------------------ -------------------------
Income tax and assets tax 310.2 166.1
Employees' profit sharing 0.9 0.7
------------------ -------------------------
311.1 166.8
------------------ -------------------------
Income before equity in income of
affiliates, cumulative effect of accounting
change and minority interest 831.0 426.2
Equity in income of affiliates - net 18.4 46.4
Cummulative loss effect of acounting change - net (177.9) -
Minority interest (77.4) 20.1
------------------ -------------------------
Net income Ps. 594.1 Ps. 492.7
================== =========================
NATIONAL URBAN RATINGS AND AUDIENCE SHARE FOR 2004 AND 1ST QUARTER OF 2005(1):
SIGN-ON TO SIGN-OFF -- 6:00 TO 24:00, MONDAY TO SUNDAY
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JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC 2004 JAN FEB MAR 1Q05
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CHANNEL 2
Rating 11.5 11.3 12.2 11.4 11.3 11.5 11.0 10.7 11.0 10.7 10.6 10.0 11.1 11.3 11.6 11.3 11.4
Share (%) 29.7 28.9 30.9 30.2 30.1 30.8 30.2 28.3 30.4 30.3 29.7 29.6 29.9 30.5 30.8 30.0 30.4
TOTAL TELEVISA(2)
Rating 27.3 27.7 28.5 27.3 26.9 26.7 26.2 27.2 25.8 25.0 25.0 23.9 26.5 26.0 27.1 26.8 26.6
Share (%) 70.5 70.9 72.0 72.1 71.9 71.5 71.7 72.0 71.3 70.7 70.3 70.7 71.3 70.5 71.7 71.3 71.2
----------------------------------------------------------------------------------------------------------------------------------
PRIME TIME - 16:00 TO 23:00, MONDAY TO SUNDAY(3)
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JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC 2004 JAN FEB MAR 1Q05
-----------------------------------------------------------------------------------------------------------------------------
CHANNEL 2
Rating 17.2 16.7 18.4 16.9 16.4 16.2 17.1 16.8 16.5 16.1 15.5 14.7 16.5 16.8 17.5 17.1 17.1
Share (%) 30.3 29.7 32.2 31.5 30.9 30.7 32.6 31.8 31.4 31.5 29.8 29.9 31.0 31.1 31.7 31.7 31.5
TOTAL TELEVISA(2)
Rating 38.6 38.6 40.0 37.5 36.8 36.5 36.6 37.3 35.9 34.7 35.0 33.5 36.7 37.1 38.3 37.3 37.6
Share (%) 68.0 68.4 70.0 69.9 69.3 69.4 69.8 70.5 68.4 67.8 67.2 68.3 68.9 68.7 69.5 69.2 69.1
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WEEKDAY PRIME TIME--19:00 TO 23:00, MONDAY TO FRIDAY(3)
-----------------------------------------------------------------------------------------------------------------------------
JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC 2004 JAN FEB MAR 1Q05
-----------------------------------------------------------------------------------------------------------------------------
CHANNEL 2
Rating 21.0 20.9 22.4 20.8 18.0 17.9 20.1 20.7 20.8 21.1 18.8 18.4 20.1 22.0 23.7 22.5 22.7
Share (%) 32.2 31.7 33.8 33.8 30.2 30.4 33.9 34.6 35.0 35.4 31.6 32.7 32.9 34.8 36.7 36.0 36.0
TOTAL TELEVISA(2)
Rating 44.8 45.9 47.1 44.0 41.8 41.2 41.7 42.5 41.0 40.6 40.0 38.4 42.4 43.9 45.7 44.0 44.6
Share (%) 68.7 69.6 71.1 71.6 70.0 70.1 70.6 71.1 69.0 68.2 67.1 68.1 69.6 69.6 70.8 71.2 70.5
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NOTES:
1) National urban ratings and audience share are certified by IBOPE and are
based upon IBOPE's national surveys, which are calculated, seven days a
week, in Mexico City, Guadalajara, Monterrey and 25 other cities with a
population of over 400,000 people. "Ratings" for a period refers to the
number of television sets tuned into the Company's programs as a percentage
of the total number of all television households. "Audience share" is the
number of television sets tuned into the Company's programs as a percentage
of the number of households watching conventional over-the-air television
during that period, without regard to the number of viewers.
2) "Total Televisa" includes the Company's four networks as well as all
local affiliates (including affiliates of Channel 4, most of which receive
only a portion of their daily programming from Channel 4). Programming on
affiliates of Channel 4 is generally broadcast in 12 of the 28 cities that
are covered by national surveys. Programming on Channel 9 affiliates is
broadcast in all of the cities that are covered by national surveys.
3) "Televisa Prime Time" is the time during which the Company generally
charges its highest rates for its networks.
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned, thereunto duly authorized.
GRUPO TELEVISA, S.A.
-----------------------------
(Registrant)
Dated: April 27, 2005 By /s/ Jorge Lutteroth Echegoyen
------------------------------
Name: Jorge Lutteroth Echegoyen
Title: Controller, Vice-President