GCLA — Grupo Clarin SA News Story

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$74.74m
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$62.81m
Revenue
ARS73.59bn

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REG - Grupo Clarin S.A. - First Half and Second Quarter 2021 Results

Grupo Clarin SAAnnouncement

12/08/2021 08:15

RNS Number : 4359I

Grupo Clarin S.A.

12 August 2021

Grupo Clarín Announces First Half and Second Quarter 2021 Results

Buenos Aires, Argentina, August 11, 2021 - Grupo Clarín S.A. ("Grupo Clarín" or the "Company" - LSE: GCLA; BCBA: GCLA), the largest media company in Argentina, announced today its First Half and Second Quarter 2021 results. Figures in this report have been prepared in accordance with International Financial Reporting Standards ^(*) ("IFRS") as of June 30, 2021 and are stated in Argentine Pesos ("Ps"), unless otherwise indicated.

^(*)The Company's Management has applied IAS 29 in the preparation of these financial statements (inflation adjustment) because Resolution 777/18, issued by the Comisión Nacional de Valores ("CNV"), establishes that the restatement will be applied to the financial statements.

Highlights (1H21 vs. 1H20):

§ Total Revenues reached Ps. 15,519.4 million, an increase of 1.0% compared to 1H20, mainly due to higher advertising revenues in the Broadcasting and Programming segment (partially offset by lower programming revenues) and lower circulation and printing revenues in the Printing and Publishing segment.

§ Adjusted EBITDA ⁽¹⁾ reached Ps. 2,605.9 million, an increase of 257.9% compared to 728.2 for 1H20, mainly driven by higher advertising revenues in Broadcasting and Programming and costs reductions in real terms greater than the decrease in revenues in the Printing and Publishing segment.

§ Grupo Clarín's Adjusted EBITDA Margin⁽²⁾ was 16.8% in 1H21, compared to 4.7% in 1H20.

§ Net Income for the period totaled Ps. 928.5 million, a change of -263.7% compared to a loss of Ps. 567.1 million reported in 1H20. Net Income for the period attributable to Equity Shareholders amounted Ps 914.4 million in 1H21 from a loss Ps. 345.6 million in 1H20, a change of -364.6%.

FINANCIAL HIGHLIGHTS


(In millions of Ps.)	1H21	1H20	% Ch.	2Q21	1Q21	2Q20	QoQ	YoY
Total Revenues	15,519.4	15,369.9	1.0%	7,879.3	7,640.1	7,272.6	3.1%	8.3%
Adjusted EBITDA ⁽¹⁾	2,605.9	728.2	257.9%	1,159.1	1,446.8	934.2	(19.9%)	24.1%
Adjusted EBITDA Margin ⁽²⁾	16.8%	4.7%	254.4%	14.7%	18.9%	12.8%	(22.3%)	14.5%
Profit/(Loss) for the period	928.5	(567.1)	(263.7%)	185.6	742.9	426.4	(75.0%)	(56.5%)
Attributable to:
Equity Shareholders	914.4	(345.6)	(364.6%)	158.9	755.5	492.1	(79.0%)	(67.7%)
Non-Controlling Interests	14.1	(221.5)	(106.4%)	26.7	(12.6)	(65.7)	(312.2%)	(140.6%)

(1) We define Adjusted EBITDA as Total Revenues minus cost of sales (excluding depreciation and amortization) and selling and administrative expenses (excluding depreciation and amortization). We believe that Adjusted EBITDA is a meaningful measure of our performance. It is commonly used to analyze and compare media companies based on operating performance, leverage and liquidity. Nonetheless, Adjusted EBITDA is not a measure of net income or cash flow from operations and should not be considered as an alternative to net income, an indication of our financial performance, an alternative to cash flow from operating activities or a measure of liquidity. Other companies may compute Adjusted EBITDA in a different manner; therefore, Adjusted EBITDA as reported by other companies may not be comparable to Adjusted EBITDA as we report it.

(2) We define Adjusted EBITDA Margin as Adjusted EBITDA over Total Revenues.

OPERATING RESULTS

Total Revenues reached Ps. 15,519.4 million, an increase of 1.0% from Ps. 15,369.9 million in 1H20. Advertising revenues increased 26.2% and represented around 44.4% of the Total Revenues of the Company. Circulation revenues decreased 3.2% and represented 28.4% of the Total.

Following is a breakdown of Total Revenues by business segment:

REVENUES (In millions of Ps.)	1H21	1H20	YoY	2Q21	1Q21	2Q20	QoQ	YoY
Printing and Publishing	6,888.9	7,912.1	(12.9%)	3,345.4	3,543.6	3,654.9	(5.6%)	(8.5%)
Broadcasting and Programming	8,152.0	7,008.9	16.3%	4,291.5	3,860.4	3,392.1	11.2%	26.5%
Others	1,033.4	1,012.6	2.1%	535.1	498.3	469.7	7.4%	13.9%
Subtotal	16,074.3	15,933.6	0.9%	8,171.9	7,902.3	7,516.8	3.4%	8.7%
Eliminations	(554.8)	(563.7)	(1.6%)	(292.6)	(262.2)	(244.2)	11.6%	19.8%
Total	15,519.4	15,369.9	1.0%	7,879.3	7,640.1	7,272.6	3.1%	8.3%

Cost of sales (Excluding Depreciation and Amortization) reached Ps. 8,545.1 million, a decrease of 13.1% from Ps. 9,829.7 million reported in 1H20 due to lower costs across all business segments, mainly related to the un-consolidation of the postal business and lower printing costs in the Printing and Publishing segment, lower programing costs in Broadcasting and Programing and lower salaries.

Selling and Administrative Expenses (Excluding Depreciation and Amortization) reached Ps. 4,368.4 million, a decrease of 9.2% from Ps. 4,812.0 million in 1H20. This decrease was mainly due to lower expenses in all segments, especially in Printing and Publishing.

Adjusted EBITDA reached Ps. 2,605.9 million, increase of 257.9% from Ps. 728.2 million reported for 1H20. This increase was driven by higher advertising revenues in Broadcasting and Programming and costs reduction initiatives across all segments to accompany the reduction in revenues derived from the impact of the COVID - 19 pandemic.

Following is a breakdown of adjusted EBITDA by business segment:

ADJUSTED EBITDA (In millions of Ps.)	1H21	1H20	YoY	2Q21	1Q21	2Q20	QoQ	YoY
Printing and Publishing	413.3	(55.4)	(846.2%)	55.7	357.6	74.6	(84.4%)	(25.3%)
Broadcasting and Programming	2,144.0	771.5	177.9%	1,150.7	993.3	834.5	15.9%	37.9%
Others	48.6	12.0	303.9%	(47.3)	95.9	25.1	(149.3%)	(288.8%)
Total	2,605.9	728.2	257.9%	1,159.1	1,446.8	934.2	(19.9%)	24.1%

Financial results net totaled Ps. (1,171.9) million compared to Ps. (451.7) million in 1H20. This increase was mainly due to a negative inflation adjustment results versus a positive result in 2020, partially offset by lower negative interests and foreign exchange results, and negative result of operations with notes and bonds compared to a gain in 2020.

Equity in earnings from unconsolidated affiliates in 1H21 totaled Ps. 357.3 million, compared to Ps. 626.0 million in 1H20.

Other Income (expenses), net reached Ps. 68.1 million, compared to Ps. (332.5) million in 1H20, mainly from impairment of Goodwill in 2020.

Income tax as of 1H21 reached Ps. (218.3) million, from Ps. Ps. (248.3) million in 1H20.

Income for the period totaled Ps. 928.5 million, a change of -263.7% from a loss of Ps. 567.1 million reported in 1H20. The Equity Shareholders Net Income for the period amounted Ps. 914.4 million, a change of -364.6% YoY from a loss of 345.6 million.

Cash used in acquisitions of property, plant and equipment (CAPEX) totaled Ps. 459.4 million in 1H21, an increase of 22.2% from Ps. 376.0 million reported in 1H20. Out of the total CAPEX in 1H21, 87.8% was allocated towards the Broadcasting and Programming segment, 10.9% to the Printing and Publishing segment and the remaining 1.3% to other activities.

SALES BREAKDOWN BY SOURCE OF REVENUE - JUNE 2021

(In millions of Ps.)	Printing & Publishing	Broadcasting & Programming	Others	Eliminations	Total	%
Advertising	1,717.7	5,225.9	-	(45.7)	6,897.9	44.4%
Circulation	4,407.8	-	-	-	4,407.8	28.4%
Printing	318.5	-	-	-	318.5	2.1%
Programming	-	2,691.7	-	-	2,691.7	17.3%
Other Sales	444.9	234.3	1,033.4	(509.1)	1,203.5	7.8%
Total Sales	6,888.9	8,152.0	1,033.4	(554.8)	15,519.4	100.0%

SALES BREAKDOWN BY SOURCE OF REVENUE - JUNE 2020

(In millions of Ps.)	Printing & Publishing	Broadcasting & Programming	Others	Eliminations	Total	%
Advertising	1,743.2	3,770.6	-	(49.1)	5,464.7	35.6%
Circulation	4,551.6	-	-	-	4,551.6	29.6%
Printing	684.6	-	-	-	684.6	4.5%
Programming	-	3,188.3	-	-	3,188.3	20.7%
Other Sales	932.7	50.0	1,012.6	(514.6)	1,480.7	9.6%
Total Sales	7,912.1	7,008.9	1,012.6	(563.7)	15,369.9	100.0%

RESULTS BY BUSINESS SEGMENT

BROADCASTING AND PROGRAMMING

Revenues

Revenues increased by 16.3% to Ps. 8,152.0 million in 1H21, compared to Ps. 7,008.9 million in 1H20 mainly due to higher advertising revenues in ARTEAR and Radio Mitre, and higher revenues from motoring events, partially offset by lower programming revenues.

Cost of Sales (Excluding Depreciation and Amortization)

Cost of sales decreased by 8.9% to Ps. 4,284.1 million in 1H21, compared to Ps. 4,701.3 million in 1H20. This is mainly attributable to lower programming costs in Channel 13.

Selling and Administrative Expenses (Excluding Depreciation and Amortization)

Selling and administrative expenses increased by 12.2% to Ps. 1,723.9 million in 1H21, compared to Ps. 1,536.1 million in 1H20. The increase was primarily the result of restructuring costs in 2021 and the Emergency Assistance for Work and Production Program (ATP) granted in 2020.

Depreciation and Amortization

Depreciation and amortization expenses decreased by 15.3% to Ps. 353.2 million in 1H21 compared to Ps. 416.7 million reported in 1H20.

PRINTING AND PUBLISHING

Revenues

Total revenues decreased by 12.9% to Ps. 6,888.9 million in 1H21, mainly as a result of the un-consolidation of the postal business and lower printing services revenues.

Cost of Sales (Excluding Depreciation and Amortization)

Cost of sales decreased by 19.4% to Ps. 3,701.6 million in 1H21, compared to Ps. 4,595.4 million in 1H20. The decrease was mainly the result of the effect of the un-consolidation of the postal business and of lower raw materials consumption and salaries and severance payments.

Selling and Administrative Expenses (Excluding Depreciation and Amortization)

Selling and administrative expenses decreased by 17.7% to Ps. 2,774.0 million in 1H21, compared to the Ps. 3,372.2 million reported in 1H20. This was primarily the result of lower distribution costs, salaries, fees for services, bad debt and marketing and advertising costs.

Depreciation and Amortization

Depreciation and amortization expenses decreased by 24.2% to Ps. 223.2 million in 1H21 compared to Ps. 294.4 million in 1H20.

OTHERS

Total revenues in this segment were driven by administrative and corporate services rendered by the Company and its subsidiary GC Gestión Compartida S.A. to third parties, as well as to other subsidiaries of the Company (which are eliminated in the consolidation). Cost of sales (excluding depreciation and amortization) was mainly the result of salaries and professional consulting fees.

In this period, total revenues increased 2.1% to Ps. 1,033.4 , from Ps. 1,012.6 million reported in 1H20. EBITDA resulted in Ps. 48.6 million.

OPERATING STATISTICS BY BUSINESS SEGMENT

PRINTING AND PUBLISHING

	1H21	1H20	YoY	2Q21	1Q21	2Q20	QoQ	YoY
Circulation ⁽¹⁾	222.6	231.1	-3.7%	215.8	229.4	220.2	-3.0%	-2.0%
Circulation share % ⁽²⁾	39.6%	44.3%	-10.7%	40.5%	38.7%	46.7%	2.4%	-13.3%

⁽¹⁾ Average number of copies according to IVC (including Diario Clarín and Olé)

⁽²⁾ Share in Buenos Aires and Greater Buenos Aires Area (AMBA) Diario Clarín. Source: AGEA and IVC.

⁽³⁾ Share in Buenos Aires and Greater Buenos Aires Area (AMBA) Diario Clarín. Source: Monitor de Medios Publicitarios S.A.

BROADCASTING AND PROGRAMMING

	1H21	1H20	YoY	2Q21	1Q21	2Q20	QoQ	YoY
Advertising Share % ⁽¹⁾	36.6%	36.0%	1.5%	37.1%	35.7%	36.0%	2.4%	3.2%
Audience Share % ⁽²⁾
Prime Time	28.7%	30.1%	-4.9%	27.0%	30.8%	28.8%	-6.9%	-6.3%
Total Time	30.0%	29.8%	0.7%	29.1%	31.0%	29.4%	-3.3%	-1.2%

⁽¹⁾ Company estimates, over ad spend in Ps. In broadcast TV for AMBA region.

⁽²⁾ Share of broadcast TV audience according to IBOPE for AMBA. PrimeTime is defined as Monday through Friday from 8pm to 12am. Total Time is defined as Monday through Sunday from 12 pm to 12 am.

DIGITAL KPIs

	1H21	1H20	YoY	2Q21	1Q21	2Q20	QoQ	YoY
Page Views ⁽¹⁾	869.4	1,145.3	-24.1%	880.4	858.4	1,120.4	1.3%	-21.4%
Mobile page Views	577.8	827.8	-30.2%	562.9	592.7	812.8	-2.5%	-30.7%

⁽¹⁾ In millions. Average. Source DAX and Company Estimates.

DEBT AND LIQUIDITY

(In millions of Ps.)	June 2021	June 2020	% Change
Short Term and Long Term Debt
Current Financial Debt	364.5	587.6	(38.0%)
Financial loans	84.8	105.6	(19.7%)
Accrued interest	26.3	15.0	75.6%
Acquisition of equipment	24.1	18.5	30.2%
Related Parties Accrued Interest	11.6	13.5	(14.2%)
Related Parties Capital	6.5	10.2	(36.6%)
Bank overdraft	211.2	424.7	(50.3%)
Non-Current Financial Debt	1,574.7	1,789.4	(12.0%)
Financial loans	1,556.0	1,767.6	(12.0%)
Acquisition of equipment	18.7	21.8	(14.3%)
Total Financial Debt (A)	1,939.2	2,377.0	(18.4%)
Total Short Term and Long Term Debt	1,939.2	2,377.0	(18.4%)

Cash and Cash Equivalents (B)	3,490.5	3,512.3	(0.6%)
Net Debt (A) - (B)	(1,551.3)	(1,135.3)	36.6%
Net Debt/Adjusted Ebitda ⁽¹⁾	(0.26x)	(0.59x)	(55.7%)

Total Financial Debt⁽¹⁾ and Net Debt, decreased 18.4% to Ps. 1,939.2 million from Ps. 2,377.0 million and to Ps. (1,551.3) million from Ps. (1,135.3) million, respectively.

Debt coverage ratio ⁽¹⁾ as of June 30, 2021 was (0.26x) in the case of Net Debt and of 0.33x in terms of Total Financial Debt.

⁽¹⁾Debt Coverage Ratio is defined as Total Financial Debt divided by Last Twelve Months Adjusted EBITDA. Total Financial debt is defined as financial loans and debt for acquisitions, including accrued interest.

REVENUES AND EBITDA - IAS 29 Adjustment

REVENUES (In millions of Ps.)	1H21	1H20	YoY	1H21 ex IAS 29	IAS 29 Adjustment	1H21 as reported	1H20 ex IAS 29	IAS 29 Adjustment	1H20 as reported
Printing and Publishing	6,888.9	7,912.1	(12.9%)	6,313.4	575.5	6,888.9	5,012.0	2,900.1	7,912.1
Broadcasting and Programming	8,152.0	7,008.9	16.3%	7,470.9	681.1	8,152.0	4,439.8	2,569.1	7,008.9
Others	1,033.4	1,012.6	2.1%	947.1	86.3	1,033.4	641.4	371.1	1,012.6
Subtotal	16,074.3	15,933.6	0.9%	14,731.4	1,342.9	16,074.3	10,093.2	5,840.4	15,933.6
Eliminations	(554.8)	(563.7)	(1.6%)	(508.5)	(46.4)	(554.8)	(357.1)	(206.6)	(563.7)
Total	15,519.4	15,369.9	1.0%	14,222.9	1,296.6	15,519.4	9,736.1	5,633.7	15,369.9

REVENUES (In millions of Ps.)	2Q21	2Q20	YoY	2Q21 ex IAS 29		IAS 29 Adjustment	2Q21 as reported	2Q20 ex IAS 29	IAS 29 Adjustment	2Q20 as reported
Printing and Publishing	3,345.4	3,654.9	(8.5%)		3,252.4	92.9	3,345.4	2,397.3	1,257.6	3,654.9
Broadcasting and Programming	4,291.5	3,392.1	26.5%		4,136.2	155.3	4,291.5	2,218.5	1,173.6	3,392.1
Others	535.1	469.7	13.9%		516.6	18.5	535.1	308.0	161.7	469.7
Subtotal	8,171.9	7,516.8	8.7%		7,905.2	266.7	8,171.9	4,923.9	2,592.9	7,516.8
Eliminations	(292.6)	(244.2)	19.8%		(282.0)	(10.6)	(292.6)	(160.8)	(83.3)	(244.2)
Total	7,879.3	7,272.6	8.3%		7,623.2	256.1	7,879.3	4,763.0	2,509.6	7,272.6

EBITDA (In millions of Ps.)	1H21	1H20	YoY	1H21 ex IAS 29	IAS 29 Adjustment	1H21 as reported	1H20 ex IAS 29	IAS 29 Adjustment	1H20 as reported
Printing and Publishing	413.3	(55.4)	(846.2%)	378.8	34.5	413.3	(35.1)	(20.3)	(55.4)
Broadcasting and Programming	2,144.0	771.5	177.9%	1,964.9	179.1	2,144.0	488.7	282.8	771.5
Others	48.6	12.0	303.9%	44.6	4.1	48.6	7.6	4.4	12.0
Total	2,605.9	728.2	257.9%	2,388.2	217.7	2,605.9	461.3	266.9	728.2

EBITDA (In millions of Ps.)	2Q21	2Q20	YoY	2Q21 ex IAS 29	IAS 29 Adjustment	2Q21 as reported	2Q20 ex IAS 29	IAS 29 Adjustment	2Q20 as reported
Printing and Publishing	55.7	74.6	(25.3%)	69.9	(14.2)	55.7	44.8	29.9	74.6
Broadcasting and Programming	1,150.7	834.5	37.9%	1,106.9	43.8	1,150.7	527.4	307.1	834.5
Others	(47.3)	25.1	(288.8%)	(38.3)	(9.0)	(47.3)	15.6	9.4	25.1
Subtotal	1,159.1	934.2	24.1%	1,138.5	20.7	1,159.1	587.8	346.4	934.2

STOCK AND MARKET INFORMATION

Grupo Clarín trades its stock in the Buenos Aires Stock Exchange (BCBA) and in the London Stock Exchange (LSE), in the form of shares and GDS's, respectively.


GCLA (BCBA) Price per Share (ARS)	72.0
GCLA (LSE) Price per GDS (USD)	0.3
Total Shares	106,776,004
Shares per GDS	2
Closing Price	August 11, 2021

CONFERENCE CALL AND WEBCAST INFORMATION

GRUPO CLARIN S.A.

(BCBA: GCLA; LSE: GCLA)

cordially invites you to participate in its Webcast Presentation

to discuss First Half and Second Quarter 2021 Results

Date: Friday, August 13, 2021

Time: 12:00pm Buenos Aires Time/4:00pm London Time/11:00am New York Time

The 1H21 and 2Q21 results will be presented via webcast presentation. To access the live stream and slide presentation, visit: https://services.choruscall.com/links/gcla210813dZb4n7bf.html

The webcast presentation will also be available at http://www.grupoclarin.com/ir/

Investor Relations Contacts
In Buenos Aires:	In London:	In New York:

Samantha Olivieri	Alex Money	Camilla Ferreira and Marcella Ewerton Dragone

Grupo Clarín S.A.	Jasford IR	Fig Corporate Communications
Tel: +54 11 4309 7104	Tel: +44 20 3289 5300	Tel: +1 917 691-4047
Email: investors@grupoclarin.com	E-mail: alex@jasford.com	E-mail: fig@fig.ooo

ABOUT THE COMPANY

Grupo Clarín is the largest media company in Argentina and a leading company in printing and publishing and broadcasting and programming markets. Its flagship newspaper -Diario Clarín- is one of the highest circulation newspapers in Latin America. Grupo Clarín is the largest producer of media content in Argentina, including news, sports and entertainment and reaches substantially all segments of the Argentine population in terms of wealth, geography and age.

Disclaimer

Some of the information in this press release may contain projections or other forward-looking statements regarding future events or the future financial performance of Grupo Clarín. You can identify forward-looking statements by terms such as "expect", "believe", "anticipate", "estimate", "intend", "will", "could", "may" or "might" the negative of such terms or other similar expressions. These statements are only predictions and actual events or results may differ materially. Grupo Clarín does not intend to or undertake any obligation to update these statements to reflect events and circumstances occurring after the date hereof or to reflect the occurrence of unanticipated events. Many factors could cause the actual results to differ materially from those contained in Grupo Clarín's projections or forward-looking statements, including, among others, general economic conditions, Grupo Clarín's competitive environment, risks associated with operating in Argentina a, rapid technological and market change, and other factors specifically related to Grupo Clarín and its operations.

GRUPO CLARÍN S.A.

CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME

FOR THE SIX-MONTH PERIODS ENDED JUNE 30, 2021 AND 2020,

AND THE THREE-MONTH PERIODS BEGINNING ON APRIL 1

AND ENDED ON JUNE 30, 2021 AND 2020

(Amounts stated in Argentine Pesos - Note 2.1.1)

	June 30, 2021	June 30, 2020	April 1, 2021 through June 30, 2021	April 1, 2020 through June 30, 2020



Revenues	15,519,444,616	15,369,871,099	7,879,336,552	7,272,609,770

Cost of Sales (1)	(9,113,910,602)	(10,565,366,735)	(4,735,680,884)	(4,446,184,753)

Subtotal - Gross Profit	6,405,534,014	4,804,504,364	3,143,655,668	2,826,425,017

Selling Expenses (1)	(1,977,124,419)	(2,538,231,281)	(966,067,940)	(1,155,102,423)
Administrative Expenses (1)	(2,535,147,620)	(2,426,829,328)	(1,375,542,903)	(1,164,156,059)

Other Income and Expenses, net	68,143,317	(332,536,495)	58,956,726	13,121,444

Financial Expenses on Debt	(277,345,939)	(596,933,567)	(91,292,558)	(256,016,280)
Gain (Loss) on Net Monetary Position	(572,093,072)	11,219,175	(289,036,119)	27,377,682
Other Financial Results, net	(322,450,702)	134,010,679	(195,056,092)	(22,659,573)
Financial Results	(1,171,889,713)	(451,703,713)	(575,384,769)	(251,298,171)

Equity in Earnings from Associates	357,337,891	625,950,272	80,242,774	388,240,671

Income (Loss) before Income Tax	1,146,853,470	(318,846,181)	365,859,556	657,230,479

Income Tax	(218,318,084)	(248,303,354)	(180,233,533)	(230,846,047)

Net Income (Loss) for the Period	928,535,386	(567,149,535)	185,626,023	426,384,432


Other Comprehensive Income

Items which can be reclassified to Net Income (Loss)
Variation in Translation Differences of Foreign Operations	(14,213,950)	(12,186,327)	(6,940,434)	6,934,703
Other Comprehensive Income (Loss) for the Period	(14,213,950)	(12,186,327)	(6,940,434)	6,934,703

TOTAL COMPREHENSIVE INCOME (LOSS) FOR THE PERIOD	914,321,436	(579,335,862)	178,685,589	433,319,135

(Loss) Income Attributable to:

Shareholders of the Controlling Company	914,408,547	(345,608,342)	158,911,314	492,111,852

Non-Controlling Interests	14,126,839	(221,541,193)	26,714,709	(65,727,420)

Total Comprehensive Income (Loss) Attributable to:

Shareholders of the Controlling Company	900,247,523	(357,794,669)	152,005,420	499,046,555

Non-Controlling Interests	14,073,913	(221,541,193)	26,680,169	(65,727,420)

Basic and Diluted Earnings per Share (Note 10)	8.56	(3.24)	1.48	4.61

⁽¹⁾Includes amortization of intangible assets and film library, right-of-use assets and depreciation of property, plant and equipment in the amount of $ 712,661,737 and $ 888,733,939 for the six-month periods ended June 30, 2021 and 2020, respectively.

The Consolidated Statements of Operations for each business segment are included in the Financial Statements as of June 30^th, 2021 available at http://www.grupoclarin.com/ir.

GRUPO CLARÍN S.A.

CONSOLIDATED STATEMENT OF FINANCIAL POSITION

AS OF JUNE 30, 2021 AND DECEMBER 31, 2020

(Amounts stated in Argentine Pesos - Note 2.1.1)

	June 30, 2021	December 31, 2020
ASSETS
NON-CURRENT ASSETS
Property, Plant and Equipment	8,690,589,714	8,816,507,893
Intangible Assets	590,361,871	573,717,491
Goodwill	27,663,285	27,663,285
Deferred Tax Assets	1,347,465,159	1,079,465,317
Investments in Unconsolidated Affiliates	3,842,031,434	3,369,503,143
Right-of-Use Assets	58,607,030	104,275,804
Other Investments	6,334,422	16,840,975
Inventories	56,620,481	29,365,149
Other Assets	55,949,404	56,896,731
Other Receivables	117,475,950	134,003,772
Trade Receivables	7,208,575	9,034,099
Total Non-Current Assets	14,800,307,325	14,217,273,659

CURRENT ASSETS
Inventories	1,556,475,301	1,395,682,229
Other Assets	165,373,209	141,319,693
Other Receivables	2,672,298,164	2,643,527,677
Trade Receivables	8,316,986,733	9,870,782,037
Other Investments	1,795,506,808	2,436,433,494
Cash and Banks	1,701,872,150	1,621,836,154
Total Current Assets	16,208,512,365	18,109,581,284

Total Assets	31,008,819,690	32,326,854,943

EQUITY (as per the corresponding statement)
Attributable to Shareholders of the Controlling Company
Shareholders' Contribution	15,260,818,625	15,606,290,870
Other Items	16,588,799	30,749,823
Retained Earnings	2,786,098,576	1,526,217,784
Total Attributable to Shareholders of the Controlling Company	18,063,506,000	17,163,258,477

Attributable to Non-Controlling Interests	96,769,699	120,289,668
Total Equity	18,160,275,699	17,283,548,145

LIABILITIES
NON-CURRENT LIABILITIES
Provisions and Other Charges	1,272,324,953	1,357,256,525
Financial Debt	1,574,681,210	1,804,275,718
Deferred Tax Liabilities	417,149,872	236,827,674
Taxes Payable	8,737,969	18,100,983
Lease Liabilities	8,083,971	20,848,763
Other Liabilities	291,974,613	321,591,452
Trade and Other Payables	24,229,457	45,843,696
Total Non-Current Liabilities	3,597,182,045	3,804,744,811

CURRENT LIABILITIES
Financial Debt	364,494,486	342,557,470
Taxes Payable	317,692,853	1,225,842,609
Lease Liabilities	51,125,759	87,564,498
Other Liabilities	1,335,226,227	1,129,705,536
Trade and Other Payables	7,182,822,621	8,452,891,874
Total Current Liabilities	9,251,361,946	11,238,561,987

Total Liabilities	12,848,543,991	15,043,306,798

Total Equity and Liabilities	31,008,819,690	32,326,854,943

GRUPO CLARÍN S.A.

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY

FOR THE SIX-MONTH PERIODS ENDED JUNE 30, 2021 AND 2020

(Amounts stated in Argentine Pesos - Note 2.1.1)

	Equity attributable to Shareholders of the Controlling Company									Equity Attributable to Non-Controlling Interests	Total Equity
	Shareholders' Contribution				Other Items		Retained Earnings		Total Equity of Controlling Company
	Capital Stock	Inflation Adjustment on Capital Stock	Additional Paid-in Capital	Subtotal	Translation of Foreign Operations	Other Reserves	Voluntary Reserves ⁽¹⁾	Retained Earnings	Total Equity of Controlling Company
Balances as of January 1, 2021	106,776,004	6,303,684,407	9,195,830,459	15,606,290,870	246,077,828	(215,328,005)	1,871,690,029	(345,472,245)	17,163,258,477	120,289,668	17,283,548,145
Reversal of Additional Paid-in Capital (Note 9.a)	-	-	(345,472,245)	(345,472,245)	-	-	-	345,472,245	-	-	-
Dividends and Other Movements of Non-Controlling Interest	-	-	-	-	-	-	-	-	-	(37,593,882)	(37,593,882)
Net Income (Loss) for the Period	-	-	-	-	-	-	-	914,408,547	914,408,547	14,126,839	928,535,386
Other Comprehensive Income:
Variation in Translation Differences of Foreign Operations	-	-	-	-	(14,161,024)	-	-	-	(14,161,024)	(52,926)	(14,213,950)
Balances as of June 30, 2021	106,776,004	6,303,684,407	8,850,358,214	15,260,818,625	231,916,804	(215,328,005)	1,871,690,029	914,408,547	18,063,506,000	96,769,699	18,160,275,699

Balances as of January 1, 2020	106,776,004	6,303,684,407	11,767,581,761	18,178,042,172	241,946,638	(202,361,903)	1,871,690,029	(2,571,751,302)	17,517,565,634	352,380,984	17,869,946,618
Reversal of Reserves and Additional Paid-in capital (Note 9.a)	-	-	(2,571,751,302)	(2,571,751,302)	-	-	-	2,571,751,302	-	-	-
Net Income (Loss) for the Period	-	-	-	-	-	-	-	(345,608,342)	(345,608,342)	(221,541,193)	(567,149,535)
Other Comprehensive Income:
Variation in Translation Differences of Foreign Operations	-	-	-	-	(12,186,327)	-	-	-	(12,186,327)	-	(12,186,327)
Balances as of June 30, 2020	106,776,004	6,303,684,407	9,195,830,459	15,606,290,870	229,760,311	(202,361,903)	1,871,690,029	(345,608,342)	17,159,770,965	130,839,791	17,290,610,756

^{(1) Corresponds to Judicial Reserve for Future Dividends Distribution}

GRUPO CLARÍN S.A.

CONSOLIDATED STATEMENT OF CASH FLOWS

FOR THE SIX-MONTH PERIODS ENDED JUNE 30, 2021 AND 2020

(Amounts stated in Argentine Pesos - Note 2.1.1)

		June 30, 2021	June 30, 2020
CASH FLOWS PROVIDED BY OPERATING ACTIVITIES
Net Income (Loss) for the Period		928,535,386	(567,149,535)
Income Tax		218,318,084	248,303,354
Accrued Interest, net		(32,552,639)	222,874,695
Adjustments to reconcile Net Income (Loss) for the Period to Cash provided by Operating Activities:
Depreciation of Property, Plant and Equipment		517,564,519	588,291,953
Amortization of Intangible Assets and Film Library		147,225,386	229,360,559
Amortization of Right-of-Use Assets		47,871,832	71,081,427
Net Allowances		206,218,409	279,804,386
Financial Income, except Interest		351,738,629	10,018,034
Gain (Loss) on Net Monetary Position		572,093,072	(11,219,175)
Equity in Earnings from Associates		(357,337,891)	(625,950,272)
Impairment of Goodwill		-	380,562,706
Other Income and Expenses		(51,674,653)	(23,691,857)
Changes in Assets and Liabilities:
Trade Receivables		(1,242,374,433)	(309,139,990)
Other Receivables		(562,871,602)	(413,530,487)
Inventories		(366,075,969)	401,319,363
Other Assets		(20,033,787)	50,387,647
Trade and Other Payables		953,341,496	1,415,828,096
Taxes Payable		71,329,732	(350,770,677)
Other Liabilities		675,910,038	94,449,568
Provisions		(66,081,635)	(95,512,041)
Payments of Income tax		(1,102,738,728)	(401,849,677)

	Net Cash Flows provided by Operating Activities	888,405,246	1,193,468,077

	CASH FLOWS PROVIDED BY INVESTMENT ACTIVITIES
	Payments for Acquisition of Property, Plant and Equipment	(459,354,020)	(375,960,483)
	Payments for Acquisition of Intangible Assets	(181,534,324)	(144,986,134)
	Collection from Settlement of Government and Corporate Securities	872,036,394	-
	Acquisition of Government and Corporate Securities	(361,342,228)	-
	Capital Contributions in Associates	(76,043,035)	-
	Loans Granted	(19,271,585)	-
	Proceeds from Sale of Property, Plant and Equipment	30,460,134	14,398,998
	Collection of granted loans	33,221,596	28,667,484
	Proceeds from Sale of Other Assets	-	2,215,819
	Dividends Collected	3,667,000	2,253,001
	Transactions with Notes, Bonds and Other Placements, Net	(318,964,918)	127,506,871

	Net Cash Flows used in Investing Activities	(477,124,986)	(345,904,444)

	CASH FLOWS PROVIDED BY FINANCING ACTIVITIES
	Loans Obtained	282,904,840	958,875,406
	Payment of Financial Debt	(169,852,735)	(1,696,348,296)
	Payment of Interest	(43,761,804)	(267,388,119)
	Payment of Lease Liabilities	(44,554,492)	(60,155,159)
	Payments to Non-Controlling Interests, net	(10,520,659)	-

	Net Cash Flows used in Financing Activities	14,215,150	(1,065,016,168)

	FINANCIAL RESULTS (INCLUDING GAIN (LOSS) ON NET MONETARY POSITION) OF CASH AND CASH EQUIVALENTS	(422,203,195)	(44,805,915)

	Net Increase (Decrease) in Cash Flow	3,292,215	(262,258,450)
	Decrease in cash due to deconsolidation ⁽¹⁾	(5,863,035)	-
	Cash and Cash Equivalents at the Beginning of the Year	3,493,094,246	3,774,570,489
	Cash and Cash Equivalents at the End of the Period (Note 2.4)	3,490,523,426	3,512,312,039

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