Grupo Televisa(US:TV)2026-02-27 16:02Financial Data and Key Metrics Changes - In 2025, consolidated revenue reached MXN 58.9 billion, representing a year-on-year decline of 5.5%, primarily due to lower revenue at Sky [8] - Operating segment income reached MXN 23 billion, showing a slight decrease of 0.6% year-on-year [8] - Free cash flow generated in 2025 was around MXN 5.9 billion, allowing for debt repayment and improving leverage ratio to 2 times EBITDA from 2.5 times [4][8] Business Line Data and Key Metrics Changes - The internet subscriber base grew by approximately 47,000 in 2025, marking a turnaround after losses in 2023 and 2024 [2] - Cable operations achieved a monthly churn rate below historical averages of 2% for three consecutive quarters, with broadband net adds of 25,000 in Q4 2025 [9] - Sky's fourth quarter revenue declined by 16.8% year-on-year, primarily due to a lower subscriber base [13] Market Data and Key Metrics Changes - In the U.S., advertising revenue decreased by 11%, while in Mexico, it increased by 15% year-on-year, driven by strong growth in ViX [17] - Subscription and licensing revenue decreased by 4% year-on-year, with continued growth in ViX offsetting losses from other areas [18] Company Strategy and Development Direction - The company is focusing on attracting and retaining high-value customers, implementing operational efficiencies, and integrating Izzi and Sky to extract synergies [2][4] - Plans to upgrade 6 million homes to fiber-to-the-home technology by the end of 2026, aiming for 75% of the total footprint to be fiber-based [15][24] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to create value for shareholders through a focus on efficiencies and integration [20] - The competitive environment in Mexico is described as stable, with a focus on increasing average revenue per user (ARPU) through enhanced services rather than price increases [25] Other Important Information - The company plans to suspend regular dividend payments in 2026 to explore opportunities in the telecom sector [19] - Total CapEx investments for 2025 were $119 million, with expectations to maintain similar levels in 2026 [18] Q&A Session Summary Question: Fiber plan details and competitive environment - The company currently has 9 million homes with fiber and plans to reach 15-16 million by the end of 2026, focusing on high-value clients to increase ARPU [24][25] Question: AI impact on telecom and media - AI is being integrated into customer interactions and network operations, with plans to transition to full AI-based customer service by 2026 [38] Question: Opportunities in Mexico Telecom and sustainability of margins - The company is exploring opportunities in telecommunications but cannot disclose specifics; it aims to optimize operations to sustain strong margins [45]