Private Media Group posted at 1.5 million euros profit for the third quarter, compared to a year ago when it posted a 100,000 euros loss.
The company’s profit for the quarter ending Sept. 30, was a marked turnaround for the company as it moves further into the wireless and satellite broadcast market.
Its profit was posted on 7.5 million revenue compared to a year earlier when it lost 100,000 on 6.3 million euros. The upward increase was due to a 126 percent sales increase on its broadcasting segment to 2.4 million Euros.
Under the current exchange rates, one euro is worth 1.28 dollars.
Private’s new media segment made up of Internet and wireless also posted major gains with the Internet business spiking by 79 percent to 4.2 million euros while its wireless side grew by 157 percent from a year ago to about 600,000.
The company posted 3.1 million euros in DVD sales or about the same as a year ago while its magazine sales dropped by about 300,000 euro to about 600,000 euro as a result of lower quantities sold through certain retail channels during the three-month period.
“We’re thrilled with the growth of our New Media business and we are extremely pleased that the strategy which we've embarked upon since I returned as CEO is paying off,” said Berth Milton, CEO, president and chairman.
“Looking ahead, our aggressive approach to the exploding IPTV driven VOD market in Europe and Asia looks very promising, and we see the overall New Media Platforms significantly outperforming traditional linear low margin broadcasting. Going forward, we expect these high margin platforms to become dominant contributors to operating profit in our overall business model.”
The company also cited its new partnerships and expansion in Europe and Latin America for its improved numbers.
“In order to increase growth and profitability in broadcasting we have restructured our trademark and content licensing business with respect to the operation and distribution of linear Private branded TV channels carrying our content in Europe and Latin America,” Milton said.
“The restructuring included finding new partners in these markets and subsequently we entered into agreements with Playboy TV Latin America, The Portland Television Group and Playboy TV International.”
