MILAN (Reuters) – Italy’s biggest private broadcaster MediaForEurope (MFE) said it expected “positive economic results” this year partly thanks to its ability to quickly trim costs were the fallout form the Ukraine war curb advertising spending.
MFE said there had not been any significant impact on the advertising market so far from the conflict and ensuing higher energy and commodity prices, which are driving up costs for companies and could affect advertising spending.
The group’s advertising revenues in Italy rose slightly year-on-year in the first quarter, it said in a statement on Thursday.
A rebound in advertising sales in MFE’s domestic and Spanish markets, following a COVID-driven slump in 2020, lifted profits last year at the group, previously known as Mediaset (OTC:).
Controlled by the family of former Italian Prime Minister Silvio Berlusconi, MFE said its 2021 operating profit rose by 52% to 476 million euros, in line with preliminary figures provided last month.
The company also said it would propose to pay a 0.05 euro per share dividend.