13 Aug 2019 08:45
Cablevisión Holding Announces First Half and Second Quarter 2019 Results (1H19 and 2Q19)
Buenos Aires, Argentina, August 12, 2019 - Cablevisión Holding S.A., ("Cablevision Holding", "CVH" or "the Company" - BCBA: CVH; LSE: CVH; Level 1: CVHSY), controlling shareholder of Telecom Argentina S.A. (NYSE: TEO, BCBA: TECO2), announced today its first half and second quarter 2019 Results. Figures have been prepared in accordance with International Financial Reporting Standards ("IFRS") and are stated in constant Argentine Pesos ("Ps." or "P$") as of June 30, 2019, unless otherwise indicated.
The Company's Management has applied IAS 29 in the preparation of these financial statements (inflation adjustment) because Resolution 777/18, issued by the Comisión Nacional de Valores ("CNV"), establishes that the restatement will be applied to the annual financial statements.
CVH Highlights (1H19 vs. 1H18):
§ Total Revenues reached Ps. 94,756 million, a decrease of 11.5% in real terms as of June 30, 2019, compared to 1H18, mainly driven by lower mobile and cable services revenues.
§ Total Costs (Excluding Depreciation and Amortization) reached Ps. 63,070 million, a decrease of 8.4% in constant currency, mainly driven by lower taxes and fees, commissions and advertising and cost of handsets sold.
§ EBITDA reached Ps. 31,686 million, a decrease of 17.1% in real terms compared to 1H18, mainly driven by lower revenues. EBITDA Margin was 33.4% in 1H19, compared to 35.7% in 1H18.
§ Consolidated Net Income amounted to Ps. 6,333 million. Consolidated Net Income attributable to the Controlling Company amounted to Ps. 2,173 million.
FINANCIAL HIGHLIGHTS
(millions of Ps.in constant Currency as of June 30, 2019) | 1H19 | 1H18 | % Ch. | 2Q19 | 1Q19 | 2Q18 | QoQ | YoY |
Total Revenues | 94,756 | 107,078 | (11.5%) | 46,235 | 48,521 | 53,744 | (4.7%) | (14.0%) |
EBITDA (1) | 31,686 | 38,222 | (17.1%) | 15,901 | 15,785 | 18,060 | 0.7% | (12.0%) |
EBITDA Margin (2) | 33.4% | 35.7% | (2.3%) | 34.4% | 32.5% | 33.6% | 1.9% | 0.8% |
Income for the period | 6,333 | (195) | NA | 5,568 | 763 | (11,380) | 629.5% | (148.9%) |
Attributable to: | ||||||||
Equity Shareholders | 2,173 | (2,290) | (194.9%) | 2,362 | (191) | (5,776) | NA | (140.9%) |
Non-Controlling Interests | 4,160 | 2,095 | 98.6% | 3,206 | 954 | (5,604) | 236.1% | (157.2%) |
(1) EBITDA is defined as Total Revenues minus operating cost and expenses (excluding depreciation and amortization). We believe that EBITDA is a meaningful measure of our performance. It is commonly used to analyze and compare media companies based on operating performance, leverage and liquidity. Nonetheless, EBITDA is not a measure of net income or cash flow from operations and should not be considered as an alternative to net income, an indication of our financial performance, an alternative to cash flow from operating activities or a measure of liquidity. Other companies may compute EBITDA in a different manner; therefore, EBITDA as reported by other companies may not be comparable to EBITDA as we report it.
(2) EBITDA Margin is defined as EBITDA over Total Revenues.
OPERATING RESULTS
Total Revenues reached Ps. 94,756 million, a decrease of 11.5% compared to Ps. 107,078 million in 1H18, mainly driven by lower revenues from Mobile and Cable TV services in constant currency.
Following is a breakdown of Total Revenues:
(millions of Ps.in constant Currency as of June 30, 2019) | 1H19 | 1H18 | YoY | 1H19% of Total | 1H18% of Toal |
Mobile Services | 32,023 | 37,514 | (14.6%) | 33.8% | 35.0% |
Internet Services | 21,451 | 23,953 | (10.4%) | 22.6% | 22.4% |
Cable TV Services | 20,016 | 23,066 | (13.2%) | 21.1% | 21.5% |
Fixed Telephony and Data Services | 14,756 | 13,752 | 7.3% | 15.6% | 12.8% |
Other revenues from services | 335 | 382 | (12.3%) | 0.4% | 0.4% |
Revenues From Services | 88,581 | 98,667 | (10.2%) | 93.5% | 92.1% |
Revenues From Equipment Sales | 6,175 | 8,411 | (26.6%) | 6.5% | 7.9% |
Total Revenues | 94,756 | 107,078 | (11.5%) | 100% | 100% |
Mobile Services Revenues decreased by 14.6% in real terms. This was mainly the results of the restatement effect as of June 30,2019, which was partially offset by the increase in the mobile plan prices.
In Argentina, Personal mobile subscriber amounted to 18.4 million and around 40% of them are postpaid. Mobile internet revenues reached 78% of service revenues of Personal in Argentina (vs. 55% in 1H18). Thanks to the value proposition of Personal, the Company had a positive net additions (net portability) comparing with the 1Q19, increasing in more than 250 thousand clients. During the last twelve months, mobile ARPU increased 38%, lower than 56.0% inflation, resulting in a 10.6% lower ARPU restarted in constant currency (Ps. 246.5 in 1H19 vs Ps. 275.8 in 1H18). Revenues excluding revenues from equipment sales amounted to Ps 27,910 million.
As of June 30, 2019, Núcleo customer base reached around 2.4 million subscribers, of which 17% are postpaid. Revenues from Núcleo services were Ps 4,113 million in 1H19, an increase of 17.7% compared to 1H18. ). Mobile internet revenues represented 49.2% of 1H19 service revenues (vs. 43.3% in 1H18).
Internet Services Revenues dropped 10.4% to Ps. 21,451 in 1H19. Customer base and price increases, as well as the higher speed sold to the internet customers base, were not enough to compensate the 56.0% inflation rate in the year. Of the 4.1 million broadband customers reached in 1H19, around 49% of them subscribed to services with speeds of 20Mb or higher. Monthly churn stood at 2% in 1H19.
In March of 2019, Telecom Argentina started broadband brand integration under Fibertel, customers can choose "Fibertel Lite" for speeds up to 20Mb and Fibertel for speeds up to 100Mb.
Cable TV Services Revenues amounted to Ps. 20,016 million in 1H19, a decrease of 13.2% compared to 1H18. The 29% average price increases in Cable TV plans, lower than inflation, have impacted in ARPU reduction in real terms (as of June 30, 2019) from Ps. 1,091.8 in 1H18 to Ps. 914.8 in 1H19, a decrease of 16.2%.
Fixed Telephony and Data Services Revenues reached Ps. 14,756 million in 1H19, an increase of 7.3% compared with 1H18. The increase was the result of higher Data services revenues, those contracts are mainly set in us dollars and they have been impacted by the FX rate variations. Additionally, prices in fixed telephony services for both, corporates and residential had increased and ARBU in fixed telephony stood flat in real terms comparing to 1H18.
Consolidated Operating Costs and Expenses (Excluding D&A and impairment of PP&E and intangible assets) totaled Ps. 63,070 million in 1H19, a decrease of Ps. 5,786 million, or 8.4% compared to 1H18. These lower operating costs and expenses were mainly due to lower taxes and fees, commissions and advertising and cost of handsets sold. More than 99.8% of the costs and expenses are related to Telecom Argentina operations.
EBITDA reached Ps. 31,686 million, a decrease of 17.1% from Ps. 38,222 million reported for 1H18, driven by lower revenues mainly in Mobile Services and Cable TV.
Depreciation, amortization and impairment of PP&E, intangible assets and rights-of-use amounted Ps. 22,470 million in 1H19, an increase of 17.0% compared with 1H18. The increase was due to the impact of the amortization of the incorporations after June 30, 2018, as a consequence of the Capex Plan that Telecom Argentina is developing and the effect of the application of IFRS 16 since January 1, 2019.
Equity in earnings from unconsolidated affiliates totaled Ps. 165 million in 1H19, compared to Ps. 176 million in 1H18.
Financial Results net totaled Ps. 4,573 million compared to Ps. (23.041) million in 1H18, as a result of a lower impact of the peso depreciation on dollar denominated debt: positive FX results (including results of NDF) measured in real terms in 1H19 for Ps. 7,089 million (due to a depreciation of the Argentine peso against the US dollar of 13% vs. an inflation of 22% during the same period), while negative FX results measured in real terms were registered in 1H18 for Ps. 22,675 million (due to a depreciation of the Argentine peso against the US dollar of 55% vs. an inflation of 16% during the same period). These results were partially offset by a lower inflation adjustment results.
Income tax as of June 2019 reached Ps. (7,621) million, from Ps. 3,649 million in June 2018.
Net Income for the period totaled Ps. 6,333 million, from Ps. (195) million reported for 1H18. This was mainly a consequence of lower peso depreciation and lower financial costs in 1H19. The Equity Shareholders Income for the period amounted to Ps. 2,173 million.
(millions of Ps.in constant Currency as of June 30, 2019) | 1H19 | 1H18 | YoY | 2Q19 | 1Q19 | 2Q18 | QoQ | YoY | |
Consolidated Revenues | 94,756 | 107,078 | (11.5%) | 46,235 | 48,521 | 53,744 | (4.7%) | (14.0%) | |
Employee benefit expenses and severance payments | (18,094) | (18,470) | (2.0%) | (8,472) | (9,622) | (9,384) | (12.0%) | (9.7%) | |
Interconnection and Transmission Costs | (2,987) | (3,341) | (10.6%) | (1,382) | (1,605) | (1,691) | (13.9%) | (18.3%) | |
Fees for Services, Maintenance, Materials and Supplies | (9,841) | (9,898) | (0.6%) | (4,867) | (4,974) | (5,195) | (2.1%) | (6.3%) | |
Taxes and Fees with the Regulatory Authority | (7,521) | (8,724) | (13.8%) | (3,707) | (3,814) | (4,442) | (2.8%) | (16.5%) | |
Commissions and Advertising | (5,579) | (6,725) | (17.0%) | (2,822) | (2,757) | (3,570) | 2.3% | (21.0%) | |
Cost of Equipment and Handsets | (4,638) | (6,309) | (26.5%) | (2,249) | (2,389) | (3,441) | (5.9%) | (34.6%) | |
Programming and Content Costs | (7,143) | (7,557) | (5.5%) | (3,406) | (3,736) | (3,820) | (8.8%) | (10.8%) | |
Bad Debt Expenses | (2,662) | (2,123) | 25.4% | (1,075) | (1,586) | (1,058) | (32.2%) | 1.6% | |
Other Operating Income and Expense | (4,605) | (5,709) | (19.3%) | (2,354) | (2,251) | (3,083) | 4.6% | (23.6%) | |
EBITDA1 | 31,686 | 38,222 | (17.1%) | 15,901 | 15,785 | 18,060 | 0.7% | (12.0%) | |
EBITDA Margin2 | 33.4% | 35.7% | (2.3%) | 34.4% | 32.5% | 33.6% | 1.9% | 0.8% | |
Net Income | 6,333 | (195) | NA | 5,568 | 763 | (11,380) | 629.5% | (148.9%) | |
Attributable to: | |||||||||
Controlling Company | 2,173 | (2,290) | (194.9%) | 2,362 | (191) | (5,776) | (1339.6%) | (140.9%) | |
Non-controlling interest | 4,160 | 2,095 | 98.6% | 3,206 | 954 | (5,604) | 236.1% | (157.2%) |
OPERATING STATISTICS BY BUSINESS SEGMENT
1H19 | 1H18 | YoY | |
Mobile Services | |||
Total Subscribers | 20,943 | 21,459 | (2.4%) |
Personal (Argentina) | 18,408 | 18,631 | (1.2%) |
Nextel (Argentina) | 182 | 447 | (59.3%) |
Nucleo (Paraguay) | 2,352 | 2,381 | (1.2%) |
Postpaid | |||
Personal (Argentina) | 40% | 37% | 8.1% |
Nextel (Argentina) | 76% | 82% | (7.3%) |
Nucleo (Paraguay) | 17% | 17% | - |
ARPU Personal(2) | 246.5 | 275.8 | (10.6%) |
Churn | 2.3% | 2.7% | (14.8%) |
Broadband Services | |||
Subscribers | 4,132 | 4,083 | 1.2% |
Speeds >20Mb (% of subs) | 49% | 29% | 69.0% |
ARPU(2) | 867.4 | 978.5 | (11.4%) |
Churn(4) | 2.0% | 1.5% | 33.3% |
Cable TV Services | |||
Cable TV Subs | 3,417 | 3,484 | (1.9%) |
Argentina Subs | 3,276 | 3,341 | (1.9%) |
Uruguay Subs | 141 | 143 | 1.4% |
ARPU(2) | 914.8 | 1091.8 | (16.2%) |
Churn(4) | 1.4% | 1.3% | 7.7% |
Fixed Line Services | |||
Subscribers | 3,371 | 3,679 | (8.4%) |
ARBU(3) | 341.2 | 342.8 | (0.5%) |
(1) Figures in thousands
(2) ARPU = Average Revenue per user (restated by inflation as of June 30, 2019)
(3) ARBU = Average Billing per user (restated by inflation as of June 30, 2019)
(4) Monthly Average Churn
CAPITAL EXPENDITURE (CAPEX)
During 1H19, our subsidiary, Telecom Argentina, invested Ps. 24,120 million, an increase of approximately 2.3% compared to 1H18. The investments were focused on projects aimed to maximize the network capacity and on products and services developed to contribute the customer's needs in terms of connectivity and data availability. Moreover, transmision and transport networks has been extended to unify the different access technologies, reconverting the copper fixed networks into fiber or coaxial-fiber hybrid networks, in order to face the the increaseing services demand from mobile and fixed clients. In addition, our subsidiary has invested in the charging, billing and relationship systems with customers. Telecom Argentina aims to improve the capacity and coverage of its networks, which is a key factor, not only for the transformation towards convergent services, but also to leverage the content business, with Flow as an integral content platform and entertainment center. In relative terms, investments reached 25.5% of consolidated revenues in 1H19, compared to 22.0% in 1H18.
Personal´s 4G network, the fastest in Argentina, continues growing all around the country: there are more than 13.1 million clients who are able to use the service in more than 1,630 localities and in all the provinces´ capitals cities.
DEBT AND LIQUIDITY
(In millions of Ps.) | June 2019 | December 2018 | % Change |
Short Term and Long-Term Debt | |||
Current Financial Debt | 25,341 | 34,549 | (26.7%) |
Bank overdraft | 4,268 | 2,786 | 53.2% |
Financial loans | 12,768 | 25,850 | (50.6%) |
Acquisition of equipment | 966 | 1,283 | (24.7%) |
NDF | 1,297 | 122 | NA |
Accrued interest | 6,042 | 4,508 | 34.0% |
Non-Current Financial Debt | 81,030 | 72,547 | 11.7% |
Negotiable obligations | 19,724 | 23,050 | (14.4%) |
Financial loans | 51,780 | 41,936 | 23.5% |
NDF | 10 | 0 | NA |
Acquisition of equipment | 1,381 | 1,262 | 9.4% |
Accrued interest | 8,135 | 6,299 | 29.1% |
Total Financial Debt (A) | 106,371 | 107,096 | (0.7%) |
Cash and Cash Equivalents (B) | 24,425 | 17,807 | 37.2% |
Net Debt (A) - (B) | 81,946 | 89,289 | (8.2%) |
Net Debt/Adjusted Ebitda (1) | 1.3 | 1.2 | 4.2% |
% USD Debt | 98.3% | 94.8% | 0.6% |
% PYG Debt | 0.7% | 2.6% | 1.0% |
% ARS Debt | 1.0% | 2.6% | (1.6%) |
Total Financial Debt(1) decreased from Ps. 107,096 million to Ps. 106,371 million and and Net Debt decreased from Ps 89,289 to Ps. 81,946.
Debt coverage ratio (1) as of June 30th, 2019 was 1.3x in the case of Net Debt and of 1.7x in terms of Total Financial Debt.
(1) Debt Coverage Ratio is defined as Total Financial Debt divided by Last Twelve Months EBITDA. Total Financial debt is defined as financial loans and debt for acquisitions, including accrued interest.
CVH Standalone Debt
(In millions of Ps.) | June 2019 | Dec 2018 | % change |
Short Term and Long-Term Debt | |||
Current Financial Debt | 11 | 10,014 | NA |
Financial loans | 0 | 10,027 | NA |
Accrued interest | 11 | 10 | 10% |
Measurement at fair Value
| 0 | (23) | NA |
Non-Current Financial Debt | 7,987 | 0 | NA |
Financial loans | 7,987 | 0 | NA |
Total Short Term and Long-Term Debt (A) | 7,998 | 10,014 | (20.1%) |
Cash and Equivalents (B) (1) | 1,319 | 1,357 | (3%) |
Net Debt (A)-(B) | 6,679 | 8,657 | (23%) |
(1) Includes Ps. 348 million and Ps. 366 million of Reserve Account as of June 19 and Dec 18 respectively.
STOCK AND MARKET INFORMATION
Cablevisión Holding trades its stock on the Buenos Aires Stock Exchange (BCBA) and on the London Stock Exchange (LSE), in the form of shares and GDS's, respectively.
CVH (BCBA) Price per Share (ARS)
| 157.0 |
CVH or CVHSY Price per GDS (USD) | 5.3 |
Total Shares | 180,642,580 |
Total GDSs | 180,642,580 |
Market Value (USD MM) | 957.4 |
Closing Price | August 12, 2019
|
CONFERENCE CALL AND WEBCAST INFORMATION
CABLEVISIÓN HOLDING S.A
(BCBA: CVH / LSE: CVH)
cordially invites you to participate in its conference call and webcast presentation
to discuss Second Quarter 2019 Results
Date: Wednesday, August 14, 2019
Time: 12:00pm Buenos Aires Time/11:00am New York Time/4:00pm London
To access the conference call, please dial:Argentina Participants: 0-800-666-0250
U.S. Participants: 1-877-830-2576
All other countries: +1-785-424-1726Passcode: CVH
The 2Q19 results will be accompanied by a webcast presentation. To access the live stream and slide presentation, visit: https://services.choruscall.com/links/cvhsy190814A7RkOsIb.html
A replay of the conference call will be available four hours after its conclusion, and will remain available for 7 days. To access the replay, please dial from the within the U.S. 1-844-488-7474, or from anywhere outside the U.S. +1-862-902-0129. The passcode is: 16546518
The webcast presentation will be archived at: https://www.cablevisionholding.com/Investors/Presentations
ABOUT THE COMPANY
CVH was funded as corporate spin-off from Grupo Clarín S.A. and it is the first Argentine holding company that engages in the development of infrastructure and the provision of convergent telecommunications services, focusing on Argentina and the region. CVH's subsidiaries specialize in the provision of cable TV, broadband and mobile communications services; and their brands are already well known in the telecommunications and content distribution industries.
Investor Relations Contacts:
In Buenos Aires: In New York:
Cablevisión Holding S.A i-advize Corporate Communications, Inc
Agustín Medina Manson, Head of Investor Relations Camilla Ferreira / Kenia Vargas
Valentina Lopez, Sr. Analyst Email: cferreira@i-advize.com
Email: ir@cvh.com.ar kvargas@i-advize.com
Tel: (+54 11) 4309 - 3417 Tel: +1 212 406 3695 / 3696
www.cvh.com.ar
Disclaimer
Some of the information in this press release may contain projections or other forward-looking statements regarding future events or the future financial performance of CVH. You can identify forward-looking statements by terms such as "expect", "believe", "anticipate", "estimate", "intend", "will", "could", "may" or "might" the negative of such terms or other similar expressions. These statements are only predictions and actual events or results may differ materially. CVH does not intend to or undertake any obligation to update these statements to reflect events and circumstances occurring after the date hereof or to reflect the occurrence of unanticipated events. Many factors could cause the actual results to differ materially from those contained in CVH's projections or forward-looking statements, including, among others, general economic conditions, CVH's competitive environment, risks associated with operating in Argentina a, rapid technological and market change, and other factors specifically related to CVH and its operations.
CABLEVISIÓN HOLDING S.A.
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
FOR THE SIX-MONTH PERIODS ENDED JUNE 30, 2019 AND 2018,
AND THE THREE-MONTH PERIODS BEGINNING ON APRIL 1 AND ENDED ON JUNE 30, 2019 AND 2018
(in millions of Argentine pesos)
June 30, 2019 | June 30, 2018 |
April 1, 2019 through June 30, 2019 |
April 1, 2018 through June 30, 2018 | ||||
Revenues | 94,756 | 107,078 | 46,235 | 53,744 | |||
Employee benefit expenses and severance payments | (18,094) | (18,470) | (8,472) | (9,384) | |||
Interconnection and Transmission Costs | (2,987) | (3,341) | (1,382) | (1,691) | |||
Fees for Services, Maintenance, Materials and Supplies | (9,841) | (9,898) | (4,867) | (5,195) | |||
Taxes and Fees with the Regulatory Authority | (7,521) | (8,724) | (3,707) | (4,442) | |||
Commissions and Advertising | (5,579) | (6,725) | (2,822) | (3,570) | |||
Cost of Equipment and Handsets | (4,638) | (6,309) | (2,249) | (3,441) | |||
Programming and Content Costs | (7,143) | (7,557) | (3,406) | (3,820) | |||
Bad Debt Expenses | (2,662) | (2,123) | (1,075) | (1,058) | |||
Other Operating Income and Expense | (4,605) | (5,709) | (2,354) | (3,083) | |||
Operating Income before Depreciation and Amortization | 31,686 | 38,222 | 15,901 | 18,060 | |||
Depreciation, Amortization and Impairment of PP&E, Intangible Assets and Rights of Use. | (22,470) |
(19,201) |
(11,529) |
(9,909) | |||
Operating Income | 9,216 | 19,021 | 4,372 | 8,151 | |||
Equity in Earnings from Associates | 165 | 176 | 52 | 91 | |||
Financial Expenses on Debts | 1,976 | (19,496) | 7,098 | (17,936) | |||
Other Financial Results, net | 2,597 | (3,545) | (2,085) | (8,007) | |||
Income (Loss) before Income Tax Expense | 13,954 | (3,844) | 9,437 | (17,701) | |||
Income Tax | (7,621) | 3,649 | (3,869) | 6,321 | |||
Net Income (Loss) | 6,333 | (195) | 5,568 | (11,380) | |||
Other Comprehensive Income - to be subsequently reclassified to profit or loss | |||||||
Currency Translation Adjustments (no effect on Income Tax) | (1,923) | 1,779 | (1,389) | 2,570 | |||
Effect of NDF classified as hedges | (246) | 293 | (164) | 122 | |||
Tax Effect of NDF classified as hedges | 48 | (90) | 25 | (43) | |||
Other Comprehensive Income, net of Taxes | (2,121) | 1,982 | (1,528) | 2,649 | |||
| |||||||
Total Comprehensive Income | 4,212 | 1,787 | 4,040 | (8,731) | |||
Net Income attributable to: | |||||||
Shareholders of the Controlling Company | 2,173 | (2,290) | 2,362 | (5,776) | |||
Non-Controlling Interest | 4,160 | 2,095 | 3,206 | (5,604) | |||
Total Comprehensive Income (Loss) Attributable to: | |||||||
Shareholders of the Controlling Company | 1,513 | (1,771) | 1,897 | (5,045) | |||
Non-Controlling Interest | 2,699 | 3,558 | 2,143 | (3,686) | |||
Basic and Diluted Earnings per Share attributable to the Shareholders of the Controlling Company (in pesos) | 12.03 | (12.66) | 13.08 | (31.97) |
CABLEVISIÓN HOLDING S.A.
CONSOLIDATED STATEMENT OF FINANCIAL POSITION
AS OF JUNE 30, 2019 AND DECEMBER 31, 2018
(in millions of Argentine pesos)
ASSETS | June 30, 2019 | December 31, 2018 | |
CURRENT ASSETS | |||
Cash and Cash Equivalents | 19,215 | 9,126 | |
Investments | 1,858 | 1,678 | |
Trade Receivables | 15,605 | 21,318 | |
Other Receivables | 4,063 | 6,279 | |
Inventories | 3,208 | 3,350 | |
Other Assets | 348 | 366 | |
Total Current Assets | 44,297 | 42,117 | |
NON-CURRENT ASSETS | |||
Trade Receivables | 86 | 75 | |
Other Receivables | 1,919 | 2,444 | |
Deferred Income Tax Assets | 133 | 143 | |
Investments | 4,200 | 6,849 | |
Goodwill | 139,474 | 139,653 | |
Property, Plant and Equipment ("PP&E") | 185,483 | 183,860 | |
Intangible Assets | 69,999 | 72,598 | |
Right-of-Use Assets | 6,906 | 694 | |
Total Non-Current Assets | 408,200 | 406,316 | |
Total Assets | 452,497 | 448,433 | |
LIABILITIES | |||
CURRENT LIABILITIES | |||
Accounts Payable | 22,825 | 28,017 | |
Financial Debt | 25,341 | 34,549 | |
Salaries and Social Security Payables | 6,194 | 7,289 | |
Taxes Payable | 2,548 | 2,877 | |
Lease Liabilities | 2,281 | - | |
Other Liabilities | 1,566 | 1,957 | |
Provisions | 900 | 911 | |
Total Current Liabilities | 61,655 | 75,600 | |
NON-CURRENT LIABILITIES | |||
Accounts Payable | 738 | 698 | |
Financial Debt | 81,030 | 72,547 | |
Salaries and Social Security Payables | 466 | 425 | |
Deferred Income Tax Liabilities | 37,352 | 30,041 | |
Taxes Payable | 19 | 32 | |
Lease Liabilities | 2,883 | - | |
Other Liabilities | 1,275 | 1,419 | |
Provisions | 3,855 | 4,245 | |
Total Non-Current Liabilities | 127,618 | 109,407 | |
Total Liabilities | 189,273 | 185,007 | |
EQUITY (as per the corresponding statement) | |||
Attributable to Shareholders of the Parent Company | 104,016 | 102,503 | |
Attributable to Non-Controlling Interests | 159,208 | 160,923 | |
TOTAL EQUITY | 263,224 | 263,426 | |
TOTAL LIABILITIES AND EQUITY | 452,497 | 448,433 |
CABLEVISIÓN HOLDING S.A.
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
FOR THE SIX-MONTH PERIODS ENDED JUNE 30, 2019 AND 2018
(in millions of Argentine pesos)
Equity attributable to Shareholders of the Parent Company | Equity Attributable to Non-Controlling Interests | |||||||||||||||
Shareholders' Contribution | Other Items | Retained Earnings | Total Equity of Controlling Interests | Total Equity | ||||||||||||
Capital Stock (1) | Inflation Adjustment on Capital Stock | Additional Paid-in Capital | Subtotal | Other Comprehensive Income | Other Reserves | Legal Reserve | Voluntary Reserves | Retained Earnings | ||||||||
Balances as of January 1, 2018 | 181 | 4,878 | 11,893 | 16,952 | (1,382) | (8) | 170 | 8,327 | 16,897 | 40,956 | 20,212 | 61,168 | ||||
Effect of Adopting New Accounting Policies | - | - | - | - | - | - | - | - | (122) | (122) | (88) | (210) | ||||
Effect of the Merger | - | - | - | - | - | 63,269 | - | - | - | 63,269 | 157,253 | 220,522 | ||||
Set-up of reserves | - | - | - | - | - | - | - | 2,920 | (2,920) | - | - | - | ||||
Dividends and Other Movements of Non-Controlling Interest | - | - | - | - | - | - | - | - | - | - | (21,502) | (21,502) | ||||
Changes in Other Reserves | - | - | - | - | - | (62) | - | - | - | (62) | (100) | (162) | ||||
Net income (loss) for the period | - | - | - | - | - | - | - | - | (2,290) | (2,290) | 2,095 | (195) | ||||
Other Comprehensive Income | - | - | - | - | 519 | - | - | - | - | 519 | 1,463 | 1,982 | ||||
Balances as of June 30, 2018 | 181 | 4,878 | 11,893 | 16,952 | (863) | 63,199 | 170 | 11,247 | 11,565 | 102,270 | 159,333 | 261,603 | ||||
Balances as of January 1, 2019 | 181 | 4,877 | 11,894 | 16,952 | (840) | 63,082 | 169 | 11,246 | 11,894 | 102,503 | 160,923 | 263,426 | ||||
Set-up of Reserves (Note 26.1) | - | - | - | - | - | - | 842 | 70,567 | (71,409) | - | - | - | ||||
Dividends and Other Movements of Non-Controlling Interest | - | - | - | - | - | - | - | - | - | - | (4,414) | (4,414) | ||||
Net income (loss) for the period | - | - | - | - | - | - | - | - | 2,173 | 2,173 | 4,160 | 6,333 | ||||
Other Comprehensive Income | - | - | - | - | (660) | - | - | - | - | (660) | (1,461) | (2,121) | ||||
Balances as of June 30, 2019 | 181 | 4,877 | 11,894 | 16,952 | (1,500) | 63,082 | 1,011 | (2) 81,813 | (57,342) | 104,016 | 159,208 | 263,224 | ||||
(1) Includes 1,578 treasury shares. See Note 8.
(2) Broken down as follows: (i) Voluntary Reserve for Illiquid Results of $ 67,126, (ii) Voluntary Reserve for Financial Obligations of $ 14,688.
CABLEVISIÓN HOLDING S.A.
CONSOLIDATED STATEMENT OF CASH FLOWS
FOR THE SIX-MONTH PERIODS ENDED JUNE 30, 2019 AND 2018
(in millions of Argentine pesos)
June 30, 2019 | June 30, 2018 | ||
CASH FLOWS PROVIDED BY (USED IN) OPERATING ACTIVITIES | |||
Net Income (Loss) | 6,333 | (195) | |
Adjustments to reconcile net income to net cash flows provided by operating activities | |||
Allowances Deducted from Assets and Provisions for Lawsuits and Other Contingencies | 2,977 | 2,216 | |
Depreciation of PP&E | 17,948 | 15,627 | |
Amortization of Intangible Assets | 3,119 | 3,275 | |
Amortization of Rights of Use | 1,314 | 50 | |
Equity in Earnings from Associates | (165) | (176) | |
Impairment of PP&E | 89 | 249 | |
Net Book Value of PP&E | (28) | 224 | |
Financial Results and Other | 410 | 21,400 | |
Income Tax Expense | 7,621 | (3,649) | |
Income Tax Paid | (800) | (6,703) | |
Decrease (Increase) in Assets, Net | 3,669 | (3,918) | |
Net Increase in Liabilities | (7,856) | (1,926) | |
Net Cash Flows provided by Operating Activities | 34,631 | 26,474 | |
CASH FLOWS PROVIDED BY (USED IN) INVESTING ACTIVITIES | |||
PP&E Acquisitions | (21,004) | (21,817) | |
Intangible Assets Acquisition | (678) | (1,755) | |
Acquisition of an equity interest in CV Berazategui | - | (302) | |
Collection of Dividends | 107 | 61 | |
Cash Incorporated under the Merger | - | 5,037 | |
Income from Sale of PP&E and Intangible Assets | 1 | 6 | |
Investments not considered as cash and cash equivalents | 1,471 | 2,413 | |
Net Cash Flows used in Investing Activities | (20,103) | (16,357) | |
CASH FLOWS PROVIDED BY (USED IN) FINANCING ACTIVITIES | |||
Proceeds from Financial Debt | 21,915 | 36,151 | |
Payment of Financial Debt | (15,352) | (20,422) | |
Payment of Interest and Related Expenses | (3,850) | (2,217) | |
Payment of Lease Liabilities | (1,586) | - | |
(Increase) / Decrease in the Reserve Account | (9) | 442 | |
Payment of Cash Dividends to Non-Controlling Interests | (3,998) | (23,200) | |
Net Cash Flows used in Financing Activities | (2,880) | (9,246) | |
NET INCREASE IN CASH FLOWS | 11,648 | 871 | |
CASH AND CASH EQUIVALENTS AT THE BEGINNING OF THE YEAR: | 9,126 | 9,063 | |
EFFECTS OF EXCHANGE RATE DIFFERENCES AND GAIN (LOSS) ON NET MONETARY POSITION ON CASH AND CASH EQUIVALENTS |
(1,559) | 2,525 | |
CASH AND CASH EQUIVALENTS AT THE END OF THE PERIOD | 19,215 | 12,459 | |