The Mosquito Coast

Source: Apple TV+

‘The Mosquito Coast’

European media giant RTL has posted revenues of €5bn for the first nine months of 2022, with its film and TV content division Fremantle playing a key part in driving up revenues.

Fremantle posted a 27.8% jump in revenues to €1.6bn, boosted by acquisitions in 2021 and 2022 and positive foreign exchange rate effects. Recent Fremantle acquisitions include Element Pictures and Lux Vide. Fremantle’s revenue was up 9.8% organically compared to the first nine months of 2021.

RTL noted the delivery of the second season of The Mosquito Coast to Apple TV+ significantly boosted Fremantle’s third quarter results.

RTL has targeted Fremantle with achieving full-year revenue of €3 billion by 2025. Last month, Fremantle’s senior team spelt out its growth plans in a Mipcom keynote address, stressing its focus on arthouse film.

To help reach this goal, RTL Group says it will invest significantly in Fremantle – both organically and via acquisitions – in all territories across drama and film, entertainment and factual shows and documentaries.

Streaming revenue from German platform RTL+ and Dutch streamer Videoland was also up significantly rising 20.4% to €195m. Paying subscribers for RTL+ increased by 53.8% year on year to 3.7m and subscribers for Videoland grew 9.5% year on year to 1.1m

The group’s advertising revenue marginally increased from €2.5bn compared to €2.478bn for the same quarter in 2021.

RTL said that after strong growth in the first quarter, current trading and future prospects of most European TV advertising markets have softened.

RTL Group CEO Thomas Rabe said: “The high revenue growth in the third quarter was primarily driven by Fremantle, which continues to deliver on its boost plan and is on track to reach a new record revenue in 2022. Organically, Fremantle grew 10 per cent from January to September 2022.

“Looking at the fourth quarter, we expect the challenging advertising market environment to continue, especially in Germany. Despite this and numerous external factors, in particular the war in Ukraine, inflation, energy supply and supply chain issues, RTL Group expects to perform in line with the Adjusted EBITA guidance provided in August.”