Wednesday 18 July 2018

RTE gain from Sky sale reduces losses by €5m

'A detailed breakdown of the group's financial performance shows that losses for last year would have been €11.4m without the gain from the Sky transaction.' Stock photo
'A detailed breakdown of the group's financial performance shows that losses for last year would have been €11.4m without the gain from the Sky transaction.' Stock photo
Samantha McCaughren

Samantha McCaughren

RTE managed to reduce its losses by €5m thanks to a windfall from the sale of British slots on Sky's electronic platform guide (EPG).

The broadcaster reported net losses of €6.4m last year, compared with losses of €19.6m in 2016.

A detailed breakdown of the group's financial performance shows that losses for last year would have been €11.4m without the gain from the Sky transaction.

A spokesman for RTE said that EPG slots were an intangible asset and the gain was not an exceptional item because it was "part of RTE's ongoing carriage agreement with Sky, ie part of an ongoing business contract."

The annual report, published last week, also reveals that 2fm got a 32pc increase in its licence fee funding allocation, bringing its support to €7m.

RTE said that it introduced a new consolidated trading approach where television, radio and digital commercial impacts are traded together. "In 2017, the first year of operation, overall radio performance was steady.

However, as the model settled in, 2017 revenue earned to 2fm was lower compared to 2016. This resulted in a lower surplus on commercial activities for the station in 2017 which resulted in higher public funding."

Online got a 62pc increase in licence fee funding.

Sunday Indo Business

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