Debt-laden Hispanic media giant TelevisaUnivision said it expects to report a drop in revenue for the second quarter due in part to “softness” in its U.S. advertising operation.
The company issued a press release Monday forecasting its quarterly financial results, which will be formally released in the coming weeks. Along with the numbers, TelevisaUnivision said it is in “active discussions” with commercial bank lenders to refinance a loan coming due in 2027 as well as to extend a revolving credit facility set to mature in 2027.
With cash on the balance sheet projected to be $580 million to $585 million at the end of the quarter, the company’s ratio of net debt to adjusted operating income before depreciation and amortization [OIBDA] of between 5.5 and 5.6 times. That’s high even by media industry standards.
Along with significant across-the-board cutbacks at the company, advertising and marketing chief Donna Speciale, announced her exit last month.
Total revenue for the quarter will be in the range of $1.205 billion to $1.21 billion for the quarter ended June 30, down from $1.257 billion in the prior-year period. The company blamed the expected dip on the impact of foreign currency exchange rates as well as “softness in U.S. advertising revenue.” On a sequential basis, results in the quarter improved over the January-to-March quarter as “linear ratings began to stabilize, supported by the company’s strong sports programming slate,” the press release said.
Subscription and licensing revenue stayed flat, however. Like its traditional media peers, TelevisaUnivision has been putting increasing emphasis on streaming, via flagship Vix, while also looking to maintain declining but lucrative pay-TV subscriptions and advertising.
Due to aggressive cost-cutting since the beginning of 2025, adjusted OBIDA (the measure of profitability favored by the privately held company) is due to improve in the quarter, the company said. It will come in between $395 million and $400 million, up from $362 million in the same period in 2024.
Daniel Alegre, who has a tech background, replaced Wade Davis as CEO of TelevisaUnivision in the fall of 2024. Davis had led a group of investors that first bought Univision from its previous owners and then merged it with the media arm of Mexico’s Grupo Televisa.
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