Viaplay Group, the Nordic streaming service provider, has announced that the publication of its financial results for the third quarter of 2023, which were scheduled to be published tomorrow, has been postponed until November 29 at the latest. This delay stems from ongoing discussions with major shareholders, creditors and bondholders regarding the recapitalization of the Group and the possible sale of non-core international activities.
In a strategic shift announced in July, Viaplay said it would focus on key markets in the Nordic region and the Netherlands, while withdrawing from other international markets such as the Baltics, the UK, the US, Canada and Poland. The move has been accompanied by significant staff cuts and a major cost-cutting programme, with headcount down more than 30% since July, as well as the discontinuation of several originals and the renegotiation of distribution agreements.
Financial results for the second quarter showed a 16% increase in sales, to 4.6 billion Swedish krona ($450 million), despite a 16% decline in advertising revenue. It is worth noting that operating profits decreased significantly by SEK 6.5 billion ($630 million), resulting in negative net income of SEK 5.8 billion ($560 million).
To strengthen its position, Viaplay has attracted investments from prominent entities. French media company Canal+ took a 12% stake, Czech group PPF bought a 6.3% stake, and Norwegian media group Schibsted took a 10.1% stake in the struggling streaming service. The capital infusion and potential redirection of Viaplay’s operational focus underscores the challenging dynamics in the competitive streaming landscape, as stakeholders look ahead to a financial announcement next month.
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