A sign that the pressure remains strong in the media sector, the TVA group continues to undergo considerable financial losses.
The spring performance presented Thursday evening by the Quebecor Média subsidiary is the most recent example.
The difficulties continue to be essentially linked to the decrease in advertising revenues.
TVA group revenues fell 10 % over one year to 129 million during the months of April, May and June.
A net loss of $ 4.7 million is recorded for these three months, that is to say a loss 60 % higher than that declared in the same period last year.
CEO Pierre Karl Péladeau stresses that the number of viewers listening to the three French -speaking general channels in Quebec experienced a 13 % drop in the whole day in April and May compared to the same period last year.
“This marked and generalized decrease in listening inevitably contributes to the drop in television advertising revenues, which are the only source of revenue for general channels,” he said.
Unsurprisingly, the five first round games in the Montreal Canadiens’ qualifiers presented on the TVA Sports channel in the spring have fueled the interest of viewers, but that remains a very thin consolation.
Pierre Karl Péladeau notes that these matches obtained 35.6 market share on average and ranked first in the list of the most watched sports shows in Quebec this year.
The most recent results of the TVA group as a whole are once again, in the eyes of Pierre Karl Péladeau, the reflection of the “heavy challenges” which persist and which affect all the private broadcasters.
The situation will only deteriorate if no action is taken, and the consequences will continue to be dramatic for industry and jobs.
CEO VAT Group, Pierre Karl Péladeau
The TVA Group proceeded last May to the abolition of around thirty positions in the television sector. These layoffs were added to the 650 jobs abolished for two years representing half of the workforce.
Pierre Karl Péladeau argues that these difficult decisions help to contain the crisis “modestly”, but are, and will in no case be sufficient to ensure the sustainability of VAT activities.
The businessman again asks government bodies to act to protect companies from here.
He requests the restoration of what they describe as iniquities that remain within the industry, especially in front of the web giants, but also in front of the Radio-Canada company.
Pierre Karl Péladeau supports once again that Radio-Canada’s business practices should be refocused and lead to the total withdrawal of all forms of advertising on all of his platforms.
Quebecor will in turn present its most recent quarterly results next Thursday.