Translation of a report originally issued in Spanish. In the event of a discrepancy, the Spanish-language
version prevails.
ATRESMEDIAANDSUBSIDIARIESGROUP (CONSOLIDATED
GROUP)
DIRECTORS' REPORT FOR2013
Business performance and situationof theGroup
In 2013 economic activity in Spain displayed a gradual improvement in stark contrast to
events in 2012. The easing of financial tensions in Southern Europe and in Spain in particular
led to less restrictive economic policies. Both of these events resulted in an improvement in
investment, consumption and employment indicators, coupled with the favourable
developments already witnessed in the external sector. Although the known data are far from
satisfactory, they have had a positive impact on the advertisingmarket, itself bolstered by the
improved situation or expectations of the advertisers' markets.
Estimates place the decline in the advertising market at 8.1% in 2013, smaller than the
16.0% drop in 2012. The quarter-by-quarter performance was of particular note, recovering
from a double-digit year-on-year drop in the first quarter to slight growth in the fourth.
However promising the trend may be, the fact remains that, for yet another year, advertising
expenditure has dropped very significantly again this year and 2013 figures equalled those for
1998, 15 years ago. Television advertising performed better than average, with a 6.2%
decline, while radio fell by 11.0%.
2013 saw the consolidation of the television model launched in 2012 with the merger by
absorption of Gestora de Inversiones Audiovisuales La Sexta, S.A. into the Parent. As regards
audience, Atresmedia attained an average share of 28.8% in 2013, representing an increase
of three points - the highest of all television groups. Our main channels, Antena 3 and La
Sexta, were the fastest growing national channels, growing by 1.0 and 1.1 points,
respectively. Our share of the television advertising market also grew by 1.3 points. Lastly,
the synergies obtained in costs were higher than initially expected and the merger was
completedwith the greatest of success.
Consolidated revenue amounted to EUR 796 million, up from EUR 713 million in 2012. It
should be noted that in 2013 La Sexta activity was included for the entire year, while in 2012
it was only included for the last three months, since the merger took effect from October
2012. In like-for-like terms, television revenue performed better than the market as a whole
and, as indicated above, the market share improved. Once again in 2013, other income
increased by 18.9% to EUR 34million. The Group's total income was EUR 830million, up 12%
on 2012.
The radio business, operated via Uniprex, S.A.U., consolidated its positive trend in listener
numbers, which reached 4.8 million. 2.6 million of these listeners related to Onda Cero while
2.1million related to themusic station Europa FM.
Although the comparison of expenses is, logically, also affected by the inclusion of La Sexta in
October 2012, their evolution is highly satisfactory. Total operating expenses fell by 5.9%,
