11 May 2018 07:00
Grupo Clarín Announces First Quarter 2018 Results (1Q18)
Buenos Aires, Argentina, May 10, 2018 - Grupo Clarín S.A. ("Grupo Clarín" or the "Company" - LSE: GCLA; BCBA: GCLA), the largest media company in Argentina, announced today its first quarter 2018 results. Figures in this report have been prepared in accordance with International Financial Reporting Standards ("IFRS") as of March 31, 2018, and are stated in Argentine Pesos, unless otherwise indicated.
Highlights (1Q18 vs. 1Q17):
§ Total Revenues reached Ps. 3,073.3 million, an increase of 14.9% compared to 1Q17, mainly due to higher circulation revenues in the Printing and Publishing segment and to a lesser extent, driven by higher programming and advertising sales in the Broadcasting and Programming segment.
§ Adjusted EBITDA (1) reached Ps. 104.3 million, an increase of 219.7% compared to 1Q17, mainly driven by an improvement in the Printing and Publishing segment EBITDA.
§ Adjusted EBITDA Margin (2) was 3.4% in 1Q18, compared to (3.3%) in 1Q17.
§ Income for the period totaled Ps. 9.0 million, a decrease of 99.5% compared to Ps. 1,806.5 million posted in 1Q17 (including Cablevisión's results). Income for the period attributable to Equity Shareholders amounted Ps 18.2 million in 1Q18, a decrease of 98.3% compared to Ps. 1,048.7 million in 1Q17.
FINANCIAL HIGHLIGHTS
(In millions of Ps.) | 1Q18 | 1Q17 | % Ch. | 4Q17 | QoQ |
Total Revenues | 3,073.3 | 2,675.8 | 14.9% | 4,116.8 | (25.3%) |
Adjusted EBITDA (1) | 104.3 | (87.1) | (219.7%) | 507.1 | (79.4%) |
Adjusted EBITDA Margin (2) | 3.4% | (3.3%) | (204.2%) | 12.3% | (72.4%) |
Income for the period | 9.0 | 1,806.5 | (99.5%) | (16.7) | (154.1%) |
Attributable to: | |||||
Equity Shareholders | 18.2 | 1,048.7 | (98.3%) | (22.7) | (180.3%) |
Non-Controlling Interests | (9.2) | 757.8 | (101.2%) | 6.0 | (253.2%) |
(1) Adjusted EBITDA is defined as Total Revenues minus cost of sales (excluding depreciation and amortization) and selling and administrative expenses (excluding depreciation and amortization). We believe that Adjusted 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, Adjusted 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 Adjusted EBITDA in a different manner; therefore, Adjusted EBITDA as reported by other companies may not be comparable to Adjusted EBITDA as we report it.
(2) Adjusted EBITDA Margin is defined as Adjusted EBITDA over Total Revenues.
OPERATING RESULTS
Total Revenues reached Ps. 3,073.3 million, an increase of 14.9% compared to Ps. 2,675.8 million in 1Q17, mainly driven by higher circulation revenues in the Printing and Publishing segment.
Following is a breakdown of Total Revenues by business segment:
REVENUES
(millions of Ps.) | 1Q18 | 1Q17 | YoY | 4Q17 | QoQ |
Printing and Publishing | 1,603.4 | 1,379.5 | 16.2% | 1,964.8 | (18.4%) |
Broadcasting and Programming | 1,166.4 | 1,066.6 | 9.4% | 1,877.0 | (37.9%) |
Digital Content and Others | 509.5 | 402.6 | 26.6% | 510.4 | (0.2%) |
Subtotal | 3,279.3 | 2,848.7 | 15.1% | 4,352.2 | (24.7%) |
Eliminations | (206.0) | (172.9) | 19.2% | (235.5) | (12.5%) |
Total | 3,073.3 | 2,675.8 | 14.9% | 4,116.8 | (25.3%) |
Cost of sales (Excluding Depreciation and Amortization) reached Ps. 2,023.9 million, an increase of 8.8% compared to Ps. 1,860.4 million in 1Q17 due to higher costs in the Broadcasting and Programming segment due to salaries and programming costs, and it was partially offset by lower cost in the Printing and Publishing business.
Selling and Administrative Expenses (Excluding Depreciation and Amortization) reached Ps. 945.1 million, an increase of 4.7% compared to Ps. 902.6 million in 1Q17. This increase was mainly due to higher fees for services and contingencies costs in the Broadcasting and Programming segment.
Adjusted EBITDA reached Ps. 104.3 million, an increase of 219.7%, compared to Ps. (87.1) million in 1Q17. This result was driven by the improvement of EBITDA in the Printing and Publishing and Digital Content and Others segments, which was partially offset by lower EBITDA in the Broadcasting and Programming segment.
Following is a breakdown of adjusted EBITDA by business segment:
ADJUSTED EBITDA
(millions of Ps.) | 1Q18 | 1Q17 | YoY | 4Q17 | QoQ |
Printing and Publishing | (35.0) | (280.3) | (87.5%) | 42.7 | (182.0%) |
Broadcasting and Programming | 114.3 | 214.4 | (46.7%) | 495.3 | (76.9%) |
Digital Content and Others | 25.0 | (21.2) | (217.7%) | (30.8) | 181.1% |
Total | 104.3
| (87.1)
| (219.7%)
|
507.1
|
(79.4%)
|
Financial results net totaled Ps. (132.3) million compared to Ps. (91.7) million in 1Q17. This result was mainly due to the impact of the peso depreciation on dollar denominated debt.
Equity in earnings from unconsolidated affiliates totaled Ps. 54.4 million in 1Q18, compared to Ps. 57.1 million in 1Q17.
Other Income (expenses), net reached Ps. 14.8 million, compared to Ps. 33.4 million in 1Q17.
Income tax reached Ps. 42.4 million in 1Q18, compared to Ps. 50.2 million in 1Q17.
Income from Discontinued Operations, reached Ps. 1,904.1 million in 1Q17 (related with Cablevision's results).
Income for the period totaled Ps. 9.0 million, a decrease of 99.5%, compared to Ps. 1,806.5 million in 1Q17. This was mainly due to lower results of discontinued operations, since the results of Cablevisión were included as of discontinued operations in 1Q17, while in 1Q18 Cablevisión is no longer consolidated. The Equity Shareholders' Income for the period was Ps. 18.2 million, a decrease of 98.3% compared to 1Q17.
Cash used for the acquisitions of property, plant and equipment (CAPEX) totaled Ps. 106.7 million in 1Q18, an increase of 41.8%, compared to Ps. 75.2 million in 1Q17. Out of the total CAPEX in 1Q18, 69.6% was allocated towards the Broadcasting and Programming segment, 24.9% to the Printing and Publishing segment and the remaining 5.5% to other activities.
Debt profile (1): Debt coverage ratio for the period ended March 31, 2018, was 2.8x and the Net Debt at the end of this period totaled Ps. (192.5) million.
(1) Debt Coverage Ratio is defined as Total Financial Debt divided by Adjusted EBITDA (Last Quarter Annualized). Total Financial debt is defined as financial loans and debt for acquisitions, including accrued interest.
SALES BREAKDOWN BY SOURCE OF REVENUE - MARCH 2018
(In millions of Ps.) | Printing & Publishing | Broadcasting & Programming | Digital Content & Others | Eliminations | Total | % |
Advertising | 502.6 | 787.0 | 37.9 | (66.8) | 1,260.7 | 41.0% |
Circulation | 933.9 | - | - | - | 933.9 | 30.4% |
Printing | 42.8 | - | - | (0.6) | 42.2 | 1.4% |
Programming | - | 316.1 | - | - | 316.1 | 10.3% |
Other Sales
| 124.1 | 63.3 | 471.6 | (138.6) | 520.4 | 16.9% |
Total Sales | 1,603.4 | 1,166.4 | 509.5 | (206.0) | 3,073.3 | 100.0% |
SALES BREAKDOWN BY SOURCE OF REVENUE - MARCH 2017
(In millions of Ps.) | Printing & Publishing | Broadcasting & Programming | Digital Content & Others | Eliminations | Total | % |
Advertising | 469.3 | 746.3 | 34.4 | (50.5) | 1,199.5 | 44.8% |
Circulation | 734.2 | - | - | (57.9) | 676.3 | 25.3% |
Printing | 50.5 | - | - | (0.7) | 49.8 | 1.9% |
Programming | - | 255.4 | - | - | 255.4 | 9.5% |
Other Sales
| 125.4 | 65.0 | 368.1 | (63.8) | 494.7 | 18.5% |
Total Sales | 1,379.5 | 1,066.6 | 402.6 | (172.9) | 2,675.8 | 100.0%
|
RESULTS BY BUSINESS SEGMENT
BROADCASTING AND PROGRAMMING
Revenues
Revenues increased by 9.4% to Ps. 1,166.4 million in 1Q18, compared to Ps. 1,066.6 million in 1Q17, due to higher advertising and programming sales related to Canal Trece and Radio Mitre.
Cost of Sales (Excluding Depreciation and Amortization)
Cost of sales increased by 21.7% to Ps. 772.6 million in 1Q18, compared to Ps. 634.9 million in 1Q17. This was mainly attributable to higher programming costs and salaries.
Selling and Administrative Expenses (Excluding Depreciation and Amortization)
Selling and administrative expenses increased by 28.7% to Ps. 279.5 million in 1Q18, compared to Ps. 217.3 million in 1Q17. The increase was primarily the result of higher fees for services and contingencies.
Depreciation and Amortization
Depreciation and amortization expenses increased by 82.1% to Ps. 33.9 million in 1Q18, compared to Ps. 18.6 million in 1Q17.
PRINTING AND PUBLISHING
Revenues
Total revenues rose by 16.2% to Ps. 1,603.4 million in 1Q18, mainly as a result of higher circulation and advertising sales.
Cost of Sales (Excluding Depreciation and Amortization)
Cost of sales decreased by 3.7% to Ps. 980.5 million in 1Q18, compared to Ps. 1,018.3 million in 1Q17. This result was mainly due to lower severance payments in the current period.
Selling and Administrative Expenses (Excluding Depreciation and Amortization)
Selling and administrative expenses increased by 2.5% to Ps. 657.8 million in 1Q18, compared to Ps. 641.5 million in 1Q17. This result was primarily derived from higher distribution and marketing costs and fees for services, and partially offset by lower severance payments.
Depreciation and Amortization
Depreciation and amortization expenses increased by 7.3% to Ps. 32.9 million in 1Q18, compared to Ps. 30.6 million in 1Q17.
DIGITAL CONTENT AND OTHERS
Total revenues in this segment were driven by administrative and corporate services rendered to third parties by the Company and its subsidiary GC Gestión Compartida S.A., as well as to other subsidiaries of the Company (which are eliminated in the consolidation). Additionally, this segment includes the production of digital content, e-commerce and the organization of trade fairs and exhibitions. Cost of sales (excluding depreciation and amortization) was mainly the result of salaries and professional consulting fees.
In this period, total revenues increased by 26.6% to Ps. 509.5 million, compared to Ps. 402.6 million in 1Q17, due to higher sales in Gestión Compartida. EBITDA was Ps. 25.0 million.
OPERATING STATISTICS BY BUSINESS SEGMENT
PRINTING AND PUBLISHING
1Q18 | 1Q17 | YoY | 4Q17 | QoQ | |
Circulation (1) | 228.9 | 211.6 | 8.2% | 233.2 | (1.8%) |
Circulation share % (2) | 39.3% | 40.1% | (2.0%) | 39.7% | (1.0%) |
Advertising share %(3) | 57.4% | 51.3% | 12.0% | 53.1% | 8.1% |
(1) Average number of copies according to IVC (including Diario Clarín and Olé)
(2) Share in Buenos Aires and Greater Buenos Aires Area (AMBA) Diario Clarín. Source: AGEA and IVC.
(3) Share in Buenos Aires and Greater Buenos Aires Area (AMBA) Diario Clarín. Source: Monitor de Medios Publicitarios S.A.
BROADCASTING AND PROGRAMMING
1Q18 | 1Q17 | YoY | 4Q17 | QoQ | |
Advertising Share % (1) | 38.3% | 36.0% | 6.6% | 42.8% | (10.5%) |
Prime Time | 37.0% | 32.1% | 15.3% | 40.8% | (9.2%) |
Total Time | 32.9% | 30.4% | 8.5% | 35.2% | (6.5%) |
(1) Company estimate, over ad spend in Ps. In broadcast TV for AMBA region.
(2) Share of broadcast TV audience according to IBOPE for AMBA. PrimeTime is defined as Monday through Friday from 8pm to 12am. Total Time is defined as Monday through Sunday from 12 pm to 12 am.
DIGITAL CONTENT AND OTHERS
1Q18 | 1Q17
| YoY | |
Page Views (1) | 1,102.6 | 1,009.4 | 9.2% |
Mobile page Views | 689.4 | 522.5 | 32.0% |
(1)In millions. Average. Source Google Analytics and Company Estimates.
DEBT AND LIQUIDITY
(millions of Ps.) | March 2018 | March 2017 | % Change | December 2017 | % Change |
Short Term and Long Term Debt | |||||
Current Financial Debt | 616.1 | 627.2 | (1.8%) | 487.1 | 26.5% |
Financial loans | 364.5 | 120.9 | 201.5% | 309.1 | 17.9% |
Accrued interest | 18.2 | 3.7 | 397.8% | 10.3 | 77.3% |
Acquisition of equipment | 7.1 | 3.8 | 87.0% | 4.6 | 52.5% |
Sellers Financing Capital | - | 13.1 | NA | 0.0 | NA |
Bank overdraft | 226.3 | 485.8 | (53.4%) | 163.0 | 38.8% |
Non-Current Financial Debt | 553.2 | 442.6 | 25.0% | 546.8 | 1.2% |
Financial loans | 540.3 | 63.2 | 754.4% | 531.6 | 1.6% |
Acquisition of equipment | 1.5 | 7.4 | (80.2%) | 4.4 | (66.5%) |
Related Parties Capital | 6.8 | 371.9 | (98.2%) | 10.8 | (37.2%) |
Total Financial Debt (A) | 1,169.3 | 1,069.8 | 9.3% | 1,033.9 | 13.1% |
Total Short Term and Long Term Debt | 1,169.3 | 1,069.8 | 9.3% | 1,033.9 | 13.1% |
Cash and Cash Equivalents (B) | 1,361.8 | 780.4 | 74.5% | 1,052.1 | 29.4% |
Net Debt (A) - (B) | (192.5) | 289.4 | (166.5%) | (18.2) | 956.7% |
Total Financial Debt(1) and Net Debt, increased 9.3%, from Ps. 1,069.8 million in 1Q17 to Ps. 1,169.3 million in 1Q18, while Net Debt decreased by 166.5%, from Ps. 289.4 million in 1Q17 to Ps. (192.5) million in 1Q18.
Debt coverage ratio (1) as of March 31, 2018 was (0.46x) for Net Debt and 2.8x in terms of Total Financial Debt.
(1) Debt Coverage Ratio is defined as Total Financial Debt divided by Adjusted EBITDA (Last Quarter Annualized). Total Financial debt is defined as financial loans and debt for acquisitions, including accrued interest.
STOCK AND MARKET INFORMATION
Grupo Clarín trades at the Buenos Aires Stock Exchange (BCBA) and the London Stock Exchange (LSE), in the form of shares and GDS's, respectively.
GCLA (BCBA) Price per Share (ARS)
| 51.0 |
GCLA (LSE) Price per GDS (USD) | 5.05 |
Total Shares | 106,776,004 |
Total GDSs | 53,388,002 |
Market Value (USD MM) | 269.6 |
Closing Price | May 10, 2018 |
CONFERENCE CALL AND WEBCAST INFORMATION
Grupo Clarín S.A. will host a conference call and webcast presentation to discuss its results for the first Quarter of 2018 on Friday, May 11, 2018.
Time: 12:00pm Buenos Aires Time/4:00pm London Time/11:00am New York Time
To access the conference call, please dial:
Argentina Participants: 0-800-666-0250
U.S. Participants: 1-877-830-2576
All other countries: 1-785-424-1726
Passcode: CLARIN
To access the simultaneous webcast presentation, please go to:
https://www.webcaster4.com/Webcast/Page/1117/25812
NOTE: Grupo Clarín will release its First Quarter 2018 Earnings on Thursday, May 10, 2018
after the markets close.
There will be a replay available, for two weeks, starting four hours after the conclusion of the conference call. To access the replay, please dial 1-844-488-7474 toll free from the U.S., or 1-862-902-0129 from anywhere outside the U.S. The replay passcode is: 90150428
The webcast presentation will be archived at http://www.grupoclarin.com.ar/ir
Investor Relations Contacts | ||
In Buenos Aires: | In London: | In New York: |
Agustín Medina Manson Patricio Gentile | Alex Money
| Melanie Carpenter
|
Grupo Clarín S.A. | Jasford IR | I-advize Corporate Communications |
Tel: +54 11 4309 7215 | Tel: +44 20 3289 5300 | Tel: +1 212 406 3692 |
Email: investors@grupoclarin.com | E-mail: alexm@jasford.com | E-mail: clarin@i-advize.com |
ABOUT THE COMPANY
Grupo Clarín is the largest media company in Argentina and a leading company in printing and publishing and broadcasting and programming markets. Its flagship newspaper -Diario Clarín- is one of the highest circulation newspapers in Latin America. Grupo Clarín is the largest producer of media content in Argentina, including news, sports and entertainment and reaches substantially all segments of the Argentine population in terms of wealth, geography and age.
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 Grupo Clarín. 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. Grupo Clarín 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 Grupo Clarín's projections or forward-looking statements, including, among others, general economic conditions, Grupo Clarín's competitive environment, risks associated with operating in Argentina a, rapid technological and market change, and other factors specifically related to Grupo Clarín and its operations.
GRUPO CLARÍN S.A.
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
FOR THE THREE-MONTH PERIODS ENDED March 31, 2018 AND 2017
In Argentine Pesos (Ps.)
March 31, 2018. | March 31, 2017 | ||
Revenues | 3,073,301,105 | 2,675,819,784 | |
Cost of Sales (1) | (2,085,914,175) | (1,904,624,432) | |
Subtotal - Gross Profit | 987,386,930 | 771,195,352 | |
Selling Expenses (1) | (503,403,744) | (454,754,672) | |
Administrative Expenses (1) | (454,402,311) | (463,035,318) | |
Other Income and Expenses, net | 14,842,804 | 33,443,757 | |
Financial Costs | (88,622,185) | (50,861,350) | |
Other Financial Results, net | (43,660,891) | (40,880,207) | |
Financial Results | (132,283,076) | (91,741,557) | |
Equity in Earnings from Associates | 54,438,298 | 57,142,577 | |
Income before Income Tax and Tax on Assets | (33,421,099) | (147,749,861) | |
Income Tax and Tax on Assets | 42,444,294 | 50,158,851 | |
Income / (Loss) for the period from continuing operations | 9,023,195 | (97,591,010) | |
Discontinued Operations | |||
Net Income from Discontinued Operations | - | 1,904,073,495 | |
Net Income for the period | 9,023,195 | 1,806,482,485 | |
Other Comprehensive Income | |||
Items that can be reclassified to net income | |||
Variation in Translation Differences of Foreign Operations from Continuing Operations | (450,214) | 668,578 | |
Variation in Translation Differences of Foreign Operations from Discontinued Operations | - | (104,748,428) | |
Other Comprehensive Income for the period | (450,214) | (104,079,850) | |
TOTAL COMPREHENSIVE INCOME FOR THE PERIOD | 8,572,981 | 1,702,402,635 | |
Profit Attributable to: | |||
Shareholders of the Parent Company | 18,190,883 | 1,048,656,644 | |
- | |||
Non-Controlling Interests | (9,167,688) | 757,825,841 | |
Total Comprehensive Income Attributable to: | |||
Shareholders of the Parent Company | 20,543,898 | 1,001,695,405 | |
Non-Controlling Interests | (11,970,917) | 700,707,230 | |
Basic and Diluted Earnings per Share from Continuing Operations | 0.17 | (0.30) | |
Basic and Diluted Earnings per Share from Discontinued Operations | 0.00 | 3.95 | |
Basic and Diluted Earnings per Share - Total | 0.17 | 3.65 | |
(1) Includes amortization of intangible assets and film library, and depreciation of property, plant and equipment in the amount of $ 74,722,418 and $ 59,467,576 for the three-month periods ended March 31, 2018 and 2017, respectively.
The Consolidated Statements of Operations for each business segment are included in the Financial Statements as of March 31, 2018 available at http://www.grupoclarin.com/ir.
GRUPO CLARÍN S.A.
CONSOLIDATED STATEMENT OF FINANCIAL POSITION
AS OF MARCH 31, 2018 AND DECEMBER 31, 2017
In Argentine Pesos (Ps.)
March 31, 2018. | December 31, 2017 | ||
ASSETS | |||
NON-CURRENT ASSETS | |||
Property, Plant and Equipment | 1,049,365,606 | 992,612,264 | |
Intangible Assets | 227,344,763 | 233,562,017 | |
Goodwill | 269,817,944 | 269,817,944 | |
Deferred Tax Assets | 693,784,750 | 619,543,526 | |
Investments in Unconsolidated Affiliates | 437,739,473 | 375,989,230 | |
Inventories | 46,823,389 | 21,579,780 | |
Other Assets | 6,884,713 | 6,639,302 | |
Other Receivables | 201,490,254 | 210,579,583 | |
Trade Receivables | 102,329,870 | 90,581,080 | |
Total Non-Current Assets | 3,035,580,762 | 2,820,904,726 | |
CURRENT ASSETS | |||
Inventories | 789,798,064 | 677,237,703 | |
Other Assets | 46,842,386 | 68,198,975 | |
Other Receivables | 689,594,914 | 590,218,759 | |
Trade Receivables | 4,282,356,460 | 4,776,942,928 | |
Other Investments | 996,338,693 | 701,760,111 | |
Cash and Banks | 365,525,044 | 356,729,917 | |
Total Current Assets | 7,170,455,561 | 7,171,088,393 | |
Total Assets | 10,206,036,323 | 9,991,993,119 | |
EQUITY (as per the corresponding statement) | |||
Attributable to Shareholders of the Parent Company | |||
Shareholders' Contributions | 746,952,203 | 746,952,203 | |
Other Items | (20,693,290) | (23,046,305) | |
Accumulated Income | 3,469,327,521 | 3,465,192,314 | |
Total Attributable to Shareholders of the Parent Company | 4,195,586,434 | 4,189,098,212 | |
Attributable to Non-Controlling Interests | 27,560,677 | 39,531,594 | |
Total Shareholders' Equity | 4,223,147,111 | 4,228,629,806 | |
LIABILITIES | |||
NON-CURRENT LIABILITIES | |||
Provisions and Other Charges | 350,866,569 | 316,110,037 | |
Debt | 553,165,918 | 546,818,756 | |
Taxes Payable | 44,863,923 | 54,841,073 | |
Other Liabilities | 69,444,049 | 65,394,982 | |
Trade and Other Payables | 53,957,744 | 60,504,175 | |
Total Non-Current Liabilities | 1,072,298,203 | 1,043,669,023 | |
CURRENT LIABILITIES | |||
Debt | 616,124,398 | 487,080,017 | |
Seller Financings | - | 6,500 | |
Taxes Payable | 311,266,902 | 407,679,158 | |
Other Liabilities | 627,686,242 | 462,533,761 | |
Trade and Other Payables | 3,355,513,467 | 3,362,394,854 | |
Total Current Liabilities | 4,910,591,009 | 4,719,694,290 | |
Total Liabilities | 5,982,889,212 | 5,763,363,313 | |
Total Equity and Liabilities | 10,206,036,323 | 9,991,993,119 |
GRUPO CLARÍN S.A.
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
FOR THE THREE-MONTH PERIODS ENDED MARCH 31, 2018 AND 2017
In Argentine Pesos (Ps.)
Equity attributable to Shareholders of the Parent Company | Equity Attributable to Non-Controlling Interests | ||||||||||||||||
| Shareholders' Contributions | Other Items | Accumulated Income | Total Equity of Controlling Interests | |||||||||||||
| Capital Stock | Inflation Adjustment on Capital Stock | Additional Paid-in Capital | Subtotal | Translation of Foreign Operations | Other Reserves | Legal Reserve | Optional Reserves | Retained Earnings | Total Equity | |||||||
Balances as of January 1, 2018 | 106,776,004 | 115,122,371 | 525,053,828 | 746,952,203 | 36,984,995 | (60,031,300) | 44,379,675 | 2,569,078,899 | 851,733,740 | 4,189,098,212 | 39,531,594 | 4,228,629,806 | |||||
Change in Accounting Policy (Note 2.3) | - | - | - | - | - | - | - | - | (14,055,676) | (14,055,676) | - | (14,055,676) | |||||
Balances as of January 1, 2018, restated | 106,776,004 | 115,122,371 | 525,053,828 | 746,952,203 | 36,984,995 | (60,031,300) | 44,379,675 | 2,569,078,899 | 837,678,064 | 4,175,042,536 | 39,531,594 | 4,214,574,130 | |||||
Net Income for the period | - | - | - | - | - | - | - | - | 18,190,883 | 18,190,883 | (9,167,688) | 9,023,195 | |||||
Other Comprehensive Income: | |||||||||||||||||
Variation in Translation Differences of Foreign Operations | - | - | - | - | 2,353,015 | - | - | - | - | 2,353,015 | (2,803,229) | (450,214) | |||||
Balances as of March 31, 2018 | (1)106,776,004 | 115,122,371 | 525,053,828 | 746,952,203 | 39,338,010 | (60,031,300) | 44,379,675 | (2) 2,569,078,899 | 855,868,947 | 4,195,586,434 | 27,560,677 | 4,223,147,111 | |||||
Balances as of January 1, 2017 | 287,418,584 | 309,885,253 | 1,413,334,666 | 2,010,638,503 | 814,523,312 | (58,885,123) | 119,460,767 | 4,210,607,765 | 2,530,041,832 | 9,626,387,056 | 4,416,373,963 | 14,042,761,019 | |||||
Dividends and Other Movements of Non-Controlling Interest | - | - | - | - | - | - | - | - | - | - | (640,069,603) | (640,069,603) | |||||
Net Income for the period | - | - | - | - | - | - | - | - | 1,048,656,644 | 1,048,656,644 | 757,825,841 | 1,806,482,485 | |||||
Other Comprehensive Income: | |||||||||||||||||
Variation in Translation Differences of Foreign Operations | - | - | - | - | (46,961,239) | - | - | - | - | (46,961,239) | (57,118,611) | (104,079,850) | |||||
Balances as of March 31, 2017 | 287,418,584 | 309,885,253 | 1,413,334,666 | 2,010,638,503 | 767,562,073 | (58,885,123) | 119,460,767 | 4,210,607,765 | 3,578,698,476 | 10,628,082,461 | 4,477,011,590 | 15,105,094,051 | |||||
(1) Includes 1,485 treasury shares. See Note 14 to the Interim Condensed Individual Financial Statements.
(2) Broken down as follows: (i) Optional reserve for future dividends of $ 1,071,751,261; (ii) Judicial reserve for future dividend distribution of $ 387,028,756, (iii) Optional reserve for illiquidity of results of $ 257,959,160, (iv) Optional reserve to provide financial aid to subsidiaries and in connection with the Audiovisual Communication Services Law of $ 462,249,181, and (v) Optional reserve to ensure the liquidity of the Company and its subsidiaries of $ 390,090,541.
GRUPO CLARÍN S.A.
CONSOLIDATED STATEMENT OF CASH FLOWS
FOR THE THREE-MONTH PERIODS ENDED MARCH 31, 2018 AND 2017
In Argentine Pesos (Ps.)
March 31, 2018. | March 31, 2017 | |||
CASH PROVIDED BY OPERATING ACTIVITIES | ||||
Net Income for the period | 9,023,195 | 1,806,482,485 | ||
Income Tax and Tax on Assets | (42,444,294) | (50,158,851) | ||
Accrued Interest, net | 49,175,783 | 42,160,514 | ||
Adjustments to reconcile net income for the period to cash provided by operating activities: | ||||
Depreciation of Property, Plant and Equipment | 49,252,997 | 33,260,083 | ||
Amortization of Intangible Assets and Film Library | 25,469,421 | 26,207,493 | ||
Net allowances | 41,068,273 | 17,730,047 | ||
Financial Income, except interest | 11,726,730 | 5,821,246 | ||
Equity in Earnings from Associates | (54,438,298) | (57,142,577) | ||
Other Income and Expenses | 179,479 | (10,395,580) | ||
Net Income from Discontinued Operations | - | (1,904,073,495) | ||
Changes in Assets and Liabilities: | ||||
Trade Receivables | 465,224,873 | 283,082,436 | ||
Other Receivables | (82,810,635) | (103,122,614) | ||
Inventories | (138,390,520) | (106,678,975) | ||
Other Assets | 21,111,178 | (24,454,819) | ||
Trade and Other Payables | (36,459,322) | (21,039,499) | ||
Taxes Payable | (37,341,495) | (5,015,517) | ||
Other Liabilities | 173,461,548 | 90,653,508 | ||
| Provisions | (22,734,142) | (22,703,944) | |
| Income Tax and Tax on Assets Payments | (97,069,008) | (97,181,619) | |
| Net Cash Flows provided by Discontinued Operating Activities | - | 2,561,918,016 | |
| ||||
| Net Cash Flows Provided by Operating Activities | 334,005,763 | 2,465,348,338 | |
| ||||
| CASH PROVIDED BY INVESTMENT ACTIVITIES | |||
| Acquisition of Property, Plant and Equipment, net | (106,697,836) | (75,236,141) | |
| Acquisition of Intangible Assets | (18,341,431) | (14,364,259) | |
| Payments for Acquisition of Subsidiaries, Net of Cash Acquired and Contributions in Associates | (8,012,000) | - | |
| Collection from disposal of other investments | 58,520 | - | |
| Proceeds from Sale of Property, Plant and Equipment | - | 11,552,656 | |
| Transactions with Securities, Bonds and Other Placements, Net | 6,171,320 | 3,237,301 | |
| Net Cash Flows used in Discontinued Investment Activities | - | (2,214,117,198) | |
| ||||
| Net Cash Flows used in Investment Activities | (126,821,427) | (2,288,927,641) | |
| ||||
| CASH PROVIDED BY FINANCING ACTIVITIES | |||
| Loans Obtained | 157,180,595 | 290,000,288 | |
| Repayment of Loans and Issuance Expenses | (61,613,347) | (55,023,003) | |
| Payment of Interest | (51,637,965) | (27,135,096) | |
| Net Cash Flows provided by Discontinued Financing Activities | - | 13,167,204 | |
| ||||
| Net Cash Flows provided by Financing Activities | 43,929,283 | 221,009,393 | |
| ||||
| FINANCING RESULTS GENERATED BY CASH AND CASH EQUIVALENTS FOR CONTINUING OPERATIONS | 58,559,812 | 22,156,221 | |
| ||||
| FINANCING RESULTS GENERATED BY CASH AND CASH EQUIVALENTS FOR DISCONTINUED OPERATIONS | - | 17,004,194 | |
| ||||
| FINANCING RESULTS GENERATED BY CASH AND CASH EQUIVALENTS | 58,559,812 | 39,160,415 | |
| ||||
| Net Increase in Cash Flow | 309,673,431 |
| 436,590,505 |
| Cash and Cash Equivalents at the Beginning of the Year | 1,052,123,190 |
| 3,350,687,278 |
| Cash and Cash Equivalents at the Closing of the Period (Note 2.5) | 1,361,796,621 |
| 3,787,277,783 |