ProSiebenSat.1 Stock Plummets 32% Amidst Revenue Drop and Board Changes
ProSiebenSat.1 Media SE, the German television network, is facing a challenging period. Despite a recent increase in user base and viewing time on its streaming platform Joyn, the company's stock has plummeted 32% from its 52-week high. MediaForEurope (MFE), now the majority owner, plans to appoint new supervisory board members. Meanwhile, research firm Enders Analysis is set to publish an analysis on whether to buy or sell ProSiebenSat.1 shares.
ProSiebenSat.1's struggles began in mid-September when it lowered its 2025 forecast, disappointing investors. In 2024, while group revenues increased by 2%, adjusted EBITDA fell by 4% compared to the previous year. The company's leverage ratio remains within the target range, but further revenue shrinkage could threaten its stability. The decline in traditional advertising revenues and the TV advertising business has also contributed to the poor outlook.
Following MFE's takeover, controlled by the Berlusconi family, two supervisory board members, Klára Brachtlová and Christoph Mainusch, resigned. Despite these challenges, ProSiebenSat.1 has ambitious plans for its streaming platform Joyn. It aims to increase Joyn's revenues from 120 million to over 250 million euros by 2027.
Enders Analysis's upcoming report will provide clarity on whether to buy or sell ProSiebenSat.1 shares. Meanwhile, MFE's appointment of new supervisory board members and ProSiebenSat.1's focus on growing Joyn's revenues will be crucial in turning the company's fortunes around.
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