SRG closes 2019 fiscal year with loss of 22.2 million

The capping of the SRG's share of the media levy at CHF 1.2 billion for 2019 meant that, after taking into account value-added tax, SRG's media levy revenue amounted to CHF 1.18 billion last year. This was announced by SRG on Wednesday.

Overall, operating income fell from 1.65 billion Swiss francs to just under 1.52 billion within the year. In the same period, operating expenses fell by over 102 million Swiss francs to over 1.53 billion. A negative financial result of almost 8.5 million Swiss francs ultimately led to a corporate loss of around 2.2 million.

Advertising market collapses

The situation on the advertising market continued to be unpleasant. Advertising revenues fell by a further CHF 23.1 million in 2019. Among other things, the trend of shifting advertising budgets from linear television to the international digital platforms had accentuated. In addition, restructuring costs of CHF 36.2 million burdened the company.

According to SRG, it has responded to the changed framework conditions and already launched a reform and reinvestment plan in the amount of CHF 100 million in March 2018. In the fall of 2019, this savings target would have had to be expanded by 50 million to a new 150 million francs due to the further decline in advertising revenues.

With drastic measures in all business units, costs could have been reduced by a total of 60 million Swiss francs in 2019. Among other things, the company saved CHF 8.4 million by foregoing general wage measures. The workforce was reduced by 74 full-time positions, mainly through natural attrition.

The transformation of the company will continue in the current year, the statement said. SRG must continue to adapt to the changing market conditions and user habits while observing an increasingly tight financial framework. The economic consequences of the coronavirus crisis would make the situation even more difficult. (SDA)