Go Back   Eurocardsharing > General Discussions > General Satellite News > Latest Satellite News

Latest Satellite News Discussion, New Russias CTC Media examined at General Satellite News forum; Russias CTC Media examined Recently Anton Kudryashov was appointed CEO of CTC Media, Russias leading quoted and independent free TV ...

LinkBack Thread Tools Display Modes
New Russias CTC Media examined
Bacteria's Avatar
Posts: 96,015

Level: 124 [♥ Bé-Yêu ♥♥ Bé-Yêu ♥♥ Bé-Yêu ♥♥ Bé-Yêu ♥♥ Bé-Yêu ♥]
Life: 4638 / 4638
Magic: 32005 / 104820
Experience: 68%

Thanks: 1,107
Thanked 5,578 Times in 1,419 Posts
Join Date: Oct 2006
Age: 37
New Russias CTC Media examined - 18-July-2008, 13:50

Russias CTC Media examined

Recently Anton Kudryashov was appointed CEO of CTC Media, Russias leading quoted and independent free TV group in Russia. CTC has also just borrowed $135m of fresh financing. A report from Morgan Stanley looks closely at the business ahead of its latest results, due on July 29.
The banks study lowers the target valuation for the broadcaster. We expect management will re-iterate FY guidance of $270-312m EBITDA (Morgan Stanleys core est. $278m). It is also a chance for the incoming CEO to discuss diversifying the business into a vertically integrated media holding company, says the bank, which at the same time has cut its forecasts for the broadcaster.

Morgan Stanley bases its view on three factors.

(a) Forecasts. Our 2010 EBITDA forecast is 10% below consensus.

(b) Momentum slowing - we forecast EPS growth to slow to 23% 08-10 and 9% 10-12 as almost every key metric decelerates (advertising, TV share, audience, margins). Rising fragmentation and competition may lead to higher investment and lower returns for the core business.

(c) Growing risks - We believe CTC's risk profile is deteriorating due to cyclical (advertising) and structural (fragmentation, investment) factors. The returns profile for the $475m of recent acquisitions is also uncertain.

We expect momentum will slow markedly, adds the banks report. After 40%pa growth 2001-08, we expect the TV ad market will mature to +12% pa 2008-12 and its share of total advertising plateau at 56% (43% in 04). Facing greater competition from state and small channels, we expect CTCs share to stagnate at 11.4% of audience (ex DTV) limiting growth. We expect high programme cost and general opex inflation to lower group EBITDA margins from 47% to 41% by 2012, leaving EPS CAGR of 9% 2010-12.

Alexander Rodnyansk, the charismatic previous boss at CTC remains as the Company's President and stays on its Board of Directors.
Reply With Quote


Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
Thread Tools
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off

Forum Jump

ECS on RSS ECS on Twitter ECS on Facebook ECS on Youtube
Follow us on:

Powered by vBulletin
Copyright 2002 - 2010, Jelsoft Enterprises Ltd.
SEO by vBSEO ©2011, Crawlability, Inc.