OREANDA-NEWS. April 18, 2011. JSC “Sistema Mass-media” (hereinafter referred to as “SMM”), one of the largest media holdings in Russia and its dependent affiliated companies, announces their unaudited consolidated financial results for the period ending December 31, 2010. SMM owns and manages CJSC “STREAM Television Company” (hereinafter referred to as TC Stream), CJSC “Russian World Studios” (hereinafter referred to as RWS), JSC “Maxima advertising” (hereinafter referred to as Maxima) and LLC “Digital TV Broadcasting” (hereinafter referred to as DTV Broadcasting), reported the press-centre of Sistema.

SMM MAIN FINANCIAL RESULTS

Company revenue has increased 8,3%  comparing to 2009 to USD 94,5 million;

OIBDA has reached USD 40,5 million;

OIBDA margin has increased  59,3 pp and equaled to 42,9%;

Operating cash flow increased 5 times and is equaled to USD 44,6 million;

By the end of 2010, net loss has decreased 3,4 times comparing to 2009 and equaled to USD 15,3 million;

The debt has decreased 36,6% and reached USD 95,7 million.
 
MAIN OPERATING RESULTS

The amount of channels produced by TC Stream increased to 9;

The amount of TC Stream’s subscribers has increased 7,4% and reached 5,8 million;

The amount of hours of RWS own production has increased 41,4% to 420 hours;

The amount of hours sold by RWS has increased 3 times and reached 364 hours;

RWS library volume has increased 53,1% and equaled to 1,210 hours;

The loading of RWS studios has increased 30 pp and reached 66,0%, which corresponds to average peak loadings in the industry.
 
Andrey Smirnov, the President of SMM, commented the results of the group in 2010:

 "Disclosure of SMM financial results is another step towards a greater transparency in media industry in general. Financial transparency of the key market players is a necessary requirement for making the industry clearer for understanding and more attractive for investors. It’s great to see, that the industry strengthened and has gradually recovered from the consequences of the global financial crisis. Together with that SMM has managed to improve the key financial and operating indicators.

In 2010, the company demonstrated growth of all key indicators compared with the preceding year. The revenue increase was 8,3%, operating cash flow have increased by 5 times. Such positive results are a consequence of professional management work and a cost effective asset management.

Today the company occupies one of the leading positions in the media market and is planning its activities in three main strategic directions: television, content production and provision of advertising services. We shall keep on intensifying our efforts in order to strengthen our positions in each of the stated market segments and creating maximum value for the shareholders.