Things remain uncertain at Viaplay Group, but the Swedish company’s boss says it now has “a clear focus on value over volume.”
The company posted mixed bag of interim results for the March-January period, with total net sales down 8% to SEK4.37B ($453.8M) and total reported operating income up sharply to SEK38M from an SEK473M loss in 2024.
Without factoring in associated company income and items affecting comparability, Viaplay would have made an SEK222M loss, which is still significantly better than the comparable SEK317M loss a year prior. However, an overall net loss after tax of SEK125M was in opposition to last year’s SEK605M profit.
Subscription fees increased 1% despite lower subs numbers than this time last year, which Viaplay said reflected price adjustments and “a more favorable mix.”
Watch on Deadline
The results comes more a year after Viaplay completed its recapitalization program, during which Canal+ and PFF both secured 29% stakes in the streaming and channels business, but other shareholders saw their investments reduced to almost nothing.
That followed a desperate period in which a bleak financial picture forced the resignation of CEO Anders Jensen and his successor, Jørgen Madsen Lindemann, to oversee a brutal redundancy plan and the exit of non-core markets such as the UK and the Baltics. Several operations were sold and a number of others remain on course to exit the group this summer.
Among Madsen Lindemann’s other financial measures was a dramatic scaling back on original drama spend, a move that hit local producers hard, but steadied the ship at Viaplay.
Today, Madsen Lindemann wrote to shareholders, saying: “It has now been one year since we finalised the recapitalisation of Viaplay Group. Since then, we have refined our content strategy, launched new products, strengthened monetisation, and sold our UK business and studio operations, and are on track to exit the remaining non-core market by summer 2025. We have secured long-term key sports rights, and formed new partnerships that support our strategic direction. We have identified and dealt with a range of value-leaking partnerships and products.
“While we have taken important steps, there is still much to do. Execution remains our absolute priority as we now build on the transformation with a clear focus on value over volume in our operations, investments, and partnerships.”
Earlier this week, Viaplay extended its long-term deal with Finnish telecoms giant Elisa to provide access to a range of linear and streaming services in Finland. More deals of a similar nature will follow, it appears.
“There is still much to be done, and we will continue to focus on the actions that move the needle,” said Madsen Lindemann. “Our curious and creative people remain fully focused on operational improvements, new commercial opportunities, and smart ways to bring our content to market together with our partners. We know the value of what we create and deliver.
“And while we will stay flexible, we will not compromise on our belief that collaborations must be fair, sustainable, and deliver joint long-term value. This means forming new, creative collaborations that reflect our strategy and ambitions and, in some cases, parting ways where alignment no longer exists. That is the only way to build a stronger business – for us, for our partners, and for the audiences we serve.”
The post A Year After Dramatic Recap Move, Viaplay Posts Mixed Q1 Results appeared first on Deadline.
