Televisa to Acquire AT&T's Stake in Sky

TL;DR

Televisa buying out AT&T's Sky stake – big move in Mexican media!

AI Summary

Grupo Televisa, S.A.B. announced its first quarter 2024 results and a significant agreement on April 3, 2024, to acquire AT&T's participation in Sky. This transaction is pending customary regulatory approval.

Why It Matters

This move could consolidate control of Sky, a major pay-TV operator in Mexico, under Televisa, potentially impacting the competitive landscape of the Mexican media and telecommunications market.

Risk Assessment

Risk Level: medium — The acquisition is subject to regulatory approval, which introduces uncertainty and potential delays or conditions.

Key Players & Entities

• Grupo Televisa, S.A.B. (company) — Registrant and acquirer
• AT&T (company) — Seller of participation in Sky
• Sky (company) — Joint venture being acquired
• April 3, 2024 (date) — Date of agreement announcement

FAQ

Key Financial Figures

• $120.8 million — of 2024, we invested approximately U.S.$120.8 million (Ps.2,054.0 million) in property, plant
• $500 m — ng credit facility in the amount of U.S.$500 million, with loans thereunder to be fund
• $650 m — syndicate of banks in the amount of U.S.$650 million, with an original maturity in 202

Filing Documents

• ff3312437_6k-grupo.htm (6-K) — 270KB
• image0.jpg (GRAPHIC) — 8KB
• 0000895345-24-000136.txt ( ) — 283KB

From the Filing

SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 6-K REPORT OF FOREIGN ISSUER PURSUANT TO RULES 13a-16 OR 15d-16 UNDER THE SECURITIES EXCHANGE ACT OF 1934 For the month of April, 2024 Commission File Number: 001-12610 GRUPO TELEVISA, S.A.B. (Translation of registrant's name into English) Av. Vasco de Quiroga No. 2000, Colonia Santa Fe 01210 Mexico City, Mexico (Address of principal executive offices) (Indicate by check mark whether the registrant files or will file annual reports under cover Form 20-F or Form 40-F.) Form 20-F Form 40-F Investor Relations PRESS RELEASE Televisa Reports First Quarter 2024 Results Consolidated On April 3, 2024, we announced an agreement with AT&T to acquire its participation in Sky. The transaction is subject to customary regulatory approvals. Revenue and Operating Segment Income ("OSI") declined by 4.8% and 12.5%, respectively, translating into a 36.8% margin. Operating Cash Flow ("OCF") 1 , increased by 37.2%, for a 24.0% margin. Cable Successfully passed 135 thousand homes with fiber-to-the-home ("FTTH") during the quarter, reaching more than 19.7 million homes passed with our network. Broadband subscribers of 5.7 million increased by 11 thousand as we execute our strategy to focus on value customers and keep working on further churn reduction. Revenue and OSI declined 1.8% and 8.7% respectively, for a 39.2% margin. Sky Total Revenue Generating Units ("RGUs") of approximately 5.9 million, with approximately 251 thousand net-disconnections. Revenue and OSI fell by 12.3% and 24.4%, respectively, for a 29.8% margin. Earnings Call Date and Time: Friday, April 26, 2024, at 11:00 A.M. ET. Conference ID # is 0617670 From the U.S.: +1 (877) 883 0383 International callers: +1 (412) 902 6506 Rebroadcast: +1 (877) 344 7529 Rebroadcast: +1 (412) 317 0088 The teleconference will be rebroadcast starting at 12:00 P.M. ET with the access code #7935890 on April 26 th and will end at midnight on May 10 th . 1 OCF is defined as total OSI minus capital expenditures in property, plant and equipment. A reconciliation of total OSI to consolidated operating income, and the amount of capital expenditures in property, plant and equipment, are presented in the Notes of Segment Information, and Property, Plant and Equipment, respectively, to our Interim Unaudited Condensed Consolidated Financial Statements as of March 31, 2024 and December 31, 2023, and for the three months ended March 31, 2024 and 2023. Consolidated Results Mexico City, April 25, 2024 — Grupo Televisa, S.A.B. (NYSE:TV; BMV: TLEVISA CPO; "Televisa" or "the Company"), today announced results for the first quarter of 2024. The results have been prepared in accordance with International Financial Reporting Standards ("IFRS"). Financials have been adjusted to reflect the impact of the spin-off of Ollamani S.A.B., which took place on January 31, 2024. Results from the Other Businesses segment's assets that were spun-off are presented as discontinued operations. The following table sets forth condensed consolidated statements of income for the quarters ended March 31, 2024 and 2023, in millions of Mexican pesos: 1Q'24 Margin 1Q'23 Margin Change % % % Revenues 15,951.4 100.0 16,753.3 100.0 (4.8) Operating segment income (1) 5,883.4 36.8 6,721.1 40.1 (12.5) (1) The operating segment income margin is calculated as a percentage of segment revenues. Revenues decreased by 4.8% to Ps.15,951.4 million in the first quarter of 2024, compared with Ps.16,753.3 million in the first quarter of 2023. This decline was driven mainly by the revenue decrease of 12.3% at Sky. Operating segment income fell by 12.5%, translating into a 36.8% margin. The following table sets forth condensed consolidated statements of income for the quarters ended March 31, 2024 and 2023, in millions of Mexican pesos: 1Q'24 Margin 1Q'23 Margin Change % % % Revenues 15,951.4 100.0 16,753.3 100.0 (4.8) Net income (loss) 951.7 6.0 (710.1) (4.2) n/a Net income (loss) attributable to stockholders of the Company 951.8 6.0 (788.9) (4.7) n/a Segment revenues 15,992.3 100.0 16,780.3 100.0 (4.7) Operating segment income (1) 5,883.4 36.8 6,721.1 40.1 (12.5) (1) The operating segment income margin is calculated as a percentage of segment revenues. Net income or loss attributable to stockholders of the Company changed by Ps.1,740.7 million, to a net income of Ps.951.8 million in the first quarter of 2024, from a net loss of Ps.788.9 million in the first quarter of 2023. This change reflected (i) a Ps.2,472.4 million favorable change in other income or expense, net; (ii) a Ps.1,021.3 million decrease in finance expense, net; (iii) a Ps.53.6 million increase in income from discontinued operations, net; and (iv) a Ps.78.9 million favorable change in net income or loss attributable to non-controlling interests. These favorable variances were partially offset by (i) a Ps.658

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