German media company ProSiebenSat.1 will end its long-standing practice of acquiring US licensed content through long-term output deals with Hollywood studios.
In return, ProSiebenSat.1 will focus more clearly on exclusive local content. US licensed content will be acquired on a selective basis in the future.
The review of the remaining output deals will result in an impairment of programming assets of up to €250 million and a provision for onerous contracts of up to €90 million in the financial year 2023, which will have no impact on the adjusted group key figures, such as adjusted EBITDA, or on net debt, according to ProSiebenSat.1.
“In March, we presented a clear strategic plan: Entertainment as the core of ProSiebenSat.1, attractive local and live content to further strengthen our channels and Joyn as well as an improved and more diversified monetisation. Since then, we have set the right course. The success of our programs in recent months clearly shows that our local programming offensive is paying off: Our viewers are watching more local content on all our channels and especially on Joyn,” said Bert Habets, CEO of ProSiebenSat.1.
“We are now taking the next strategic step and will invest significantly more in local content from 2024, offering our viewers a unique programming experience to serve very different media usage interests and, above all, to differentiate ourselves from the competitors of Joyn,” added Habets.
