Mediaset, the leading private Italian broadcaster founded by Italian premier Silvio Berlusconi, has posted first half losses in gross profits of 3.3% to Euros 450.3m. The company's consolidated balance, however, was up 6% to Euros 500.3m, with total turnover rising 6.5% to Euros 1.37 billion.

Meanwhile, the broadcaster posted record audience results, with its three channels - flagship Canale 5, Rete 4 and Italia 1 - grabbing a 44.4% share in the first half of the year - up 1.2% on last year, and the broadcaster's best result since 1988.

Revenue from television operations rose to Euros 85m, up Euros 32.8m from the previous year, particularly thanks to the sale of rights to some Champion League soccer matches to pay-TV platforms, Mediaset said.

The broadcaster also said its operating costs had increased to Euros 523m from Euros 493.2 in the first half of 2000, with advertising revenue growing 4.4% compared to the same period last year.

"Mediaset has managed to counter a negative forecast for the advertising market, distinguishing itself from the main national and European operators who have witnessed limited growth and at times a contraction in revenue," the company said in a statement.