Spanish-language media giant TelevisaUnivision said it posted a loss within the second quarter despite a swell of revenue from its rights to air the World Cup in Mexico, an indication of the challenges the corporate, formed from the mix of Univision within the U.S. and Grupo Televisa in Mexico, continues to face.
The corporate posted a lack of greater than $10 million on revenue of nearly $1.33 billion. Revenue for the period soared 10%, compared with $1.21 billion within the year-earlier period. TelevisaUnivision attributed much of the rise to promoting and licensing fees related to its Mexican sports rights.
Indeed, promoting from operations in Mexico rose 19%, driven largely by commercials tied to telecasts of FIFA World Cup, compared with lackluster ends in the U.S,. where promoting revenue slumped 22%. Overall ad revenue fell 9% throughout the period. TelevisaUnivision in April replaced its ad-sales chief, just days before holding its annual “upfront” presentation.
Subscription and licensing revenue rose 40% throughout the second quarter, to $621 million. Roughly $90 million in revenue got here from sublicensing the corporate’s FIFA World Cup rights to media properties in other Spanish-speaking Latin American countries.
TelevisaUnivision has been working to bolster its balance sheet since Wade Davis, the previous Viacom CFO who orchestrated a buyout of Univision in 2020, ceded his CEO role to Daniel Alegre, a former senior executive at Activision Blizzard. Since Alegre joined in 2024, TelevisaUnivision has worked to streamline operations that had previously been siloed by geographic region.
In an announcement, Alegre gave credit to the ability of the soccer spectacle. “The tournament reinforced why
soccer is a cornerstone of our strategy and why we’re the ‘Home of Soccer’ for Hispanics. Sports, along with our continued investments in live events and premium entertainment, be sure that we remain the destination for culturally relevant moments that matter,” the manager said. “Combined with our unique connection to our audience and the importance of our platforms heading into the U.S. election cycle, this momentum positions us well to drive sustained profitability while creating even greater value for our audiences, advertisers, and partners.”
Operating expenses increased 16% to $940 million, mainly driven by sports costs related to the FIFA World Cup. Operating income was $224 million, a decrease of $17 million versus prior yr, which the corporate attributed to higher direct operating expenses.