RTL reports a 6.4% revenue drop for Q3

Channel Five’s owner RTL has reported a 6.4% revenue decline to €1.1 billion (£980 million) for Q3 2009.

However, the European broadcasting company, which also owns The X Factor producer FremantleMedia, insists that the TV advertising market has improved since last summer.

In a statement, RTL said: “Since September 2009 advertising bookings have been better in almost all of RTL Group’s markets, compared to the first eight months of the year.  However, as there is no visibility for the rest of the year, the group remains cautious.”

The company also reported a 7.4% increase in adjusted earnings before interest tax and amortisation, up to €101 million. However, in the nine months to the end of September, adjusted EBITA was down by 22.7%.

RTL’s operating costs fell by a substantial €289 million in the six months from January to September compared with the same period last year.  The company has been focusing on cutting costs across its core TV businesses during the downturn, which it says has “continued to yield positive results”.

“This [operating cost reduction] represents a compensation of 78.3% of the Group’s underlying revenue decrease,” the company said.