Spanish-language media giant TelevisaUnivision has reported a 6 percent growth in U.S. revenue for the second quarter, reaching $794 million. This growth was primarily driven by a 10 percent increase in subscription and licensing revenue and a 1 percent increase in advertising revenue. The success of ViX’s premium tier and pricing growth on linear subscribers contributed to the rise in subscription and licensing revenue, partially offsetting the decline in linear subscribers. Meanwhile, advertising in the U.S. saw a slight increase, outperforming the broader market. TelevisaUnivision attributed this to strength in national advertising and growing demand from advertisers in the streaming space.
In Mexico, advertising revenue for the quarter surged by 29 percent, mainly supported by growth across all sectors in both linear and streaming. Additionally, Mexican subscription and licensing revenue rose by 27 percent, driven by ViX’s premium tier, growth in linear subscribers, and pricing.
Engagement on the streaming service VIX continues to rise, with a 17 percent increase in total streaming hours in the second quarter compared to the previous quarter. In May, TelevisaUnivision announced that ViX had surpassed 30 million monthly active users.
Overall, the company’s total second-quarter revenue grew by 11 percent to $1.2 billion. The growth was fueled by a 14 percent gain in subscription and licensing revenue and a 10 percent increase in advertising revenue. However, operating expenses rose by 17 percent to $846 million due to investments in ViX, including original content, sports rights, marketing, and technology. Despite these investments, the quarterly adjusted operating income before depreciation and amortization (OIBDA) remained flat.
Related Post
CEO Wade Davis expressed satisfaction with the financial momentum achieved during the April-June period. He praised the company’s revenue growth and its leadership position in Spanish-language streaming with ViX. Davis highlighted the significant growth in Mexico, attributing it to strategic programming across linear and the ad-supported and premium subscription tiers of ViX. He emphasized how these components of their ecosystem worked together to deliver impressive financial performance.
In conclusion, TelevisaUnivision has seen significant revenue growth in the U.S. and Mexico, driven by subscription and licensing revenue and advertising revenue. The success of ViX’s premium tier and increased engagement on the streaming platform have contributed to the company’s positive performance. Despite higher operating expenses, TelevisaUnivision has maintained its financial stability and continues to invest in its streaming service to solidify its leadership position in the Spanish-language media space.
