REG - Cablevision Holding - 9M20 and 3Q20 Results

Telecom Argentina SAAnnouncement

12/11/2020 08:30

RNS Number : 1041F
  
Cablevision Holding S.A.
  
12 November 2020
  
 

Cablevisión Holding Announces Nine months and Third Quarter 2020 Results (9M20 and 3Q20)
 
Buenos Aires, Argentina, November 11, 2020 - Cablevisión Holding S.A., ("Cablevision Holding", "CVH" or "the Company" - BCBA: CVH; LSE: CVH; Level 1: CVHSY), controlling shareholder of Telecom Argentina S.A. (NYSE: TEO, BCBA: TECO2), announced today its nine months and third quarter 2020 Results. Figures have been prepared in accordance with International Financial Reporting Standards ("IFRS") and are stated in constant Argentine Pesos ("Ps." or "P$") as of September 30, 2020, 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 annual financial statements.
 
CVH Highlights (9M20 vs. 9M19):
 
§ Total Revenues reached Ps. 208,220 million, a decrease of 4.6% in real terms as of September 30, 2020, compared to 9M19, mainly driven by lower revenues from internet, cable TV and fixed telephony and data services revenues and from equipment sales, which was partially offset by higher mobile services revenues. It is important to mention that, as it was established in the Agreement with the National Communications Entity (ENACOM), the prices of mobile and fixed telephony, Internet and Pay TV services did not increase from May 1 to August 31, 2020, and also considering the provisions set forth by Decree 690/2020 in August 2020, price increases or any announcement of increase as from July 31st, 2020 have been suspended until December 31, 2020.
§ Total Costs (Excluding Depreciation and Amortization) reached Ps. 133,973 million, a decrease of 8.1% in constant currency, mainly driven by lower costs of equipment and handset, employee benefits expenses and severance payments, programming and content costs, fees for services, maintenance, materials and supplies, taxes and fees with the Regulatory Authority, commissions and advertising costs and other operating expenses, partially offset by higher bad debt expenses and higher interconnection costs.
§  EBITDA reached Ps. 74,247 million, an increase of 2.6% in real terms compared to 9M19, mainly driven by lower operating costs. EBITDA Margin was 35.7% in 9M20, compared to 33.2% in 9M19.
§ Consolidated Net Income amounted a net loss of Ps. 1,102 million. Consolidated Net Loss attributable to the Controlling Company amounted to Ps. 501 million.
                                                                                                                                                                                                                                        
FINANCIAL HIGHLIGHTS 
 



(millions of Ps.in constant Currency as of September 30, 2020)


9M20


9M19


% Ch.


3Q20


2Q20


3Q19


QoQ


YoY




Total Revenues


208,220


218,182


(4.6%)


67,022


70,000


72,555


(4.3%)


(7.6%)




EBITDA (1) 


74,247


72,340


2.6%


22,881


26,462


23,645


(13.5%)


(3.2%)




EBITDA Margin (2)


35.7%


33.2%


7.5%


34.1%


37.8%


32.6%


(3.7%)


1.6%




Income for the period


(1,102)


(20,642)


(94.7%)


(3,428)


(821)


(30,372)


317.3%


(88.7%)




Attributable to:




































Equity Shareholders


(501)


(10,215)


(95.1%)


(1,447)


(328)


(13,554)


340.7%


(89.3%)




Non-Controlling Interests


(601)


(10,427)


(94.2%)


(1,981)


(492)


(16,818)


302.7%


(88.2%)



(1)   EBITDA is defined as Total Revenues minus operating cost and expenses (excluding depreciation and amortization). We believe that 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, 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 EBITDA in a different manner; therefore, EBITDA as reported by other companies may not be comparable to EBITDA as we report it.
(2)  EBITDA Margin is defined as EBITDA over Total Revenues.
 




 
OPERATING RESULTS
 
 
Total Revenues reached Ps. 208,220 million, a decrease of 4.6% compared to Ps. 218,182 million in 9M19, mainly driven by lower revenues from internet, cable TV, fixed telephony and data services and revenues from equipment sales, which was partially offset by higher mobile services revenues. 
 
Following is a breakdown of Total Revenues:
 
 



(millions of Ps.in constant Currency as of September 30, 2020)


9M20


9M19


YoY


9M20

% of Total


9M19

% of Toal




Mobile Services


79,706


74,908


6.4%


38.3%


34.3%




Internet Services


44,053


48,991


(10.1%)


21.2%


22.5%




Cable TV Services


40,755


45,618


(10.7%)


19.6%


20.9%




Fixed Telephony and Data Services


31,955


34,184


(6.5%)


15.3%


15.7%




Other revenues from services


575


740


(22.3%)


0.3%


0.3%




Revenues From Services


197,044


204,441


(3.6%)


94.6%


93.7%




Revenues From Equipment Sales


11,176


13,741


(18.7%)


5.4%


6.3%




Total Revenues


208,220


218,182


(4.6%)


100.0%


100.0%



 
 
Mobile Services Revenues increased by 6.4% in real terms to Ps. 79,706. Our subsidiary Telecom Argentina continued its focus on achieving higher mobile portability through a cross-selling strategy and promoting mobile internet consumption. 
 
In Argentina, Personal mobile subscriber reached more than 18.7 million and around 41% of them are postpaid. Mobile internet revenues reached 76% of service revenues of Personal in Argentina (no changes vs 9M19). Mobile ARPU increased 3.5% during the 9M20 compared to 9M19 (Ps. 401.2 in 9M20 vs Ps. 387.6 in 9M19). Mobile churn was 2.2% as of September 30, 2020, compared to 2.1% in 9M19.
 
It is important to highlight that as a result of the mandatory lockdown that the country was going through,  our subsidiary continued to reinforce its networks, systems infrastructure and service platforms to provide services that are essential for the society as they connect people, homes, companies and governments. In this sense, digital and telephone contact channels have been strengthened so that the greater volume of service and commercial requests could be carried out directly from the clients' homes, without needing to visit the company's commercial offices. 
 
To continue supporting clients in a context where they need to have a digital proposal to defend their businesses, during the third quarter of the year Telecom Argentina launched Mi Negocio Personal, an integrated and personalized virtual store solution designed for entrepreneurs and SMEs. 
 
 
 
 
As of September 30, 2020, Núcleo customer base reached around 2.2 million subscribers, of which 17% are postpaid. Revenues from Núcleo services were Ps 10,334 million in 9M20, an increase of 3.6% compared to 9M19. Mobile internet revenues represented 51% of 9M20 service revenues (vs. 50% in 9M19).
 
Internet Services Revenues dropped 10.1% to Ps. 44,053 in 9M20 mainly due to the restatement effect as of September 30, 2020. Of the 4.2 million broadband customers reached in 9M20, around 58% of them subscribed to services with speeds of 50Mb or higher. Monthly churn dropped to 1.2% in 9M20 from 1.5% in 9M19.
 
Cable TV Services Revenues amounted to Ps. 40,755 million in 9M20, a decrease of 10.7% compared to 9M19, mainly due to the restatement effect as of September 30, 2020, and the fact that revenues derived from the Football premium package were reduced due to the suspension of the Argentina Football League cause by the mandatory lockdown during this period.  Cable TV ARPU reached Ps. 1,285.3 in 9M20, a decrease of 11.7% compared to 9M19. Additionally, Cable TV churn decreased to 0.9% in 9M20 from 1.3% in 9M19.
 
Fixed Telephony and Data Services Revenues reached Ps. 31,955 million in 9M20, a decrease of 6.5% compared to 9M19, mainly due the restatement effect as of September 30, 2020. Additionally, ARBU in fixed telephony reached Ps. 542.7 in 9M20, increasing 1.9% compared to 9M19. In the current health emergency context, different initiatives were developed by Telecom during the third quarter of 2020, in order to assist the corporate segment, providing solutions based on the needs of the companies so they can continue with their activities.
 
Revenues from equipment sales totaled Ps. 11,176 million in 9M20, a decrease of 18.7% compared to 9M19, mainly due to a fall in the quantities sold, which was partially offset by an increase in the prices of handsets.
 
Consolidated Operating Costs and Expenses (Excluding D&A and impairment of PP&E and intangible assets) totaled Ps. 133,973 million in 9M20, a decrease of Ps. 11,869 million, or 8.1% compared to 9M19. These lower operating costs and expenses were mainly due to lower costs of equipment and handset, employee benefits expenses and severance payments, programming and content costs, fees for services, maintenance, materials and supplies, taxes and fees with the Regulatory Authority and commissions,  advertising costs and other operating expenses partially offset by higher bad debt expenses and higher interconnection costs. More than 99.8% of the costs and expenses are related to Telecom Argentina operations. 
 
EBITDA reached Ps. 74,247 million, an increase of 2.6% from Ps. 72,340 million reported for 9M19, driven by lower operating costs.
 
Depreciation, amortization and impairment of PP&E, intangible assets and rights-of-use amounted Ps. 55,051 million in 9M20, an increase of 3.8% compared to 9M19. The increase was due to the impact of the amortization of the assets activated after September 30, 2019.
 
Equity in earnings from unconsolidated affiliates totaled Ps. 372 million in 9M20, compared to Ps. (279) million in 9M19.
 
 
 
 
Financial Results net totaled Ps. (12,888) million compared to Ps. (22,542) million in 9M19, mainly as a result of lower negative FX results (including results of NDF) measured in real terms in 9M20 for Ps. (4,224) million compared to Ps. (13,398) registered in 9M19, which was partially offset by lower positive inflation adjustment results.
 
Income tax as of September 2020 reached Ps. (7,782) million, from Ps. (17,136) million in September 2019. 
 
Net Income for the period totaled a net loss of Ps. 1,102 million, compared to a net loss of Ps. 20,642 million reported for 9M19. The decrease in the net loss was mainly a consequence of lower negative financial results in 9M20, derived from lower FX losses, in a context of a lower devaluation in real terms compared to 9M19. The Equity Shareholders net loss for the period amounted to Ps. 501 million.
 
 
 
 



(millions of Ps.in constant Currency as of September 30, 2020)


9M20


9M19


YoY


3Q20


2Q20


3Q19


QoQ


YoY


 





 





Consolidated Revenues


208,220


218,182


(4.6%)


67,022


70,000


72,555


(4.3%)


(7.6%)





Employee benefit expenses and severance payments


(38,691)


(41,568)


(6.9%)


(12,388)


(12,997)


(13,760)


(4.7%)


(10.0%)





Interconnection and Transmission Costs


(7,675)


(6,970)


10.1%


(2,722)


(2,667)


(2,380)


2.1%


14.4%





Fees for Services, Maintenance, Materials and Supplies


(21,955)


(23,679)


(7.3%)


(7,091)


(7,015)


(8,555)


1.1%


(17.1%)





Taxes and Fees with the Regulatory Authority


(15,772)


(17,105)


(7.8%)


(5,089)


(5,262)


(5,547)


(3.3%)


(8.3%)





Commissions and Advertising


(11,501)


(13,032)


(11.7%)


(3,953)


(3,498)


(4,457)


13.0%


(11.3%)





Cost of Equipment and Handsets


(7,236)


(10,240)


(29.3%)


(2,500)


(2,183)


(3,112)


14.5%


(19.7%)





Programming and Content Costs


(13,645)


(16,453)


(17.1%)


(3,966)


(4,318)


(5,476)


(8.2%)


(27.6%)





Bad Debt Expenses


(7,883)


(5,940)


32.7%


(2,114)


(3,219)


(1,847)


(34.3%)


14.5%





Other Operating Income and Expense


(9,615)


(10,855)


(11.4%)


(4,318)


(2,380)


(3,776)


81.4%


14.4%





EBITDA1


74,247


72,340


2.6%


22,881


26,462


23,645


(13.5%)


(3.2%)





EBITDA Margin2


35.7%


33.2%


7.5%


34.1%


37.8%


32.6%


(3.7%)


1.6%





Net Income


(1,102)


(20,642)


(94.7%)


(3,428)


(821)


(30,372)


317.3%


(88.7%)





Attributable to:





































Controlling Company


(501)


(10,215)


(95%)


(1,447)


(328)


(13,554)


340.7%


(89.3%)





Non-controlling interest


(601)


(10,427)


(94.2%)


(1,981)


(492)


(16,818)


302.7%


(88.2%)

















 



 




 
 
OPERATING STATISTICS BY BUSINESS SEGMENT
 







9M20


9M19


YoY




Mobile Services
















Total Subscribers


20,889
 


21,282


(1.8%)




Personal (Argentina)


18,654
 


18,974


(1.7%)




Núcleo (Paraguay)


2,235


2,308


(3.2%)






















Postpaid
















Personal (Argentina)


41%


40%


2.5%




Nucleo (Paraguay)


17%


17%


-






















ARPU Personal(2)


401.2


387.6


3.5%




Churn


2.2%


2.1%


0.1%






















Broadband Services
















Subscribers


4,173


4,144


0.7%




Speeds >50Mb (% of subs)


58%


33%


75.8%




ARPU(2)


1,199.7


1,333.0


(10.0%)




Churn(4)


1.2%


1.5%


(0.3%)




Cable TV Services
















Cable TV Subs


3,568


3,515


1.5%




Argentina Subs


3,344


3,291


1.6%




Uruguay Subs


142


143


(0.5%)




Paraguay Subs


82


81


1.1%




ARPU(2)


1,285.3


1,455.7


(11.7%)




Churn(4)


0.9%


1.3%


(0.4%)




Fixed Line Services
















Subscribers


2,938


3,272


(10.2%)




ARBU(3)


542.7


532.6


1.9%



 
(1) Figures in thousands
(2) ARPU = Average Revenue per user (restated by inflation as of September 30, 2020)
(3) ARBU = Average Billing per user (restated by inflation as of September 30, 2020)
(4) Monthly Average Churn




 
 
CAPITAL EXPENDITURE (CAPEX)
 
During 9M20, our subsidiary, Telecom Argentina, invested Ps. 40,699 million, a decrease of 32.2% compared to 9M19. The investments were focused on projects related to: 
 
·    Cable TV and Internet services expansion to improve the transmission and access speed offered to customers, 
·    Deployment of 4G coverage and capacity to support the growth of the Mobile Internet service, 
·    Extension of the transmission networks in order to unify the different access technologies, reconverting the copper fixed networks into fiber or hybrid fiber- coaxial networks, and 
·    Reconversion of systems and advances towards the complete digitalization of operations, with the aim of developing an ecosystem of platforms leveraged on connectivity and focused on the digital and convergent experience of clients. 
 
It is important to mention that thanks to the investments that our subsidiary has done in recent years, the equipment and systems allow its networks to perform efficiently, supporting the increase of up to 50% in home internet data traffic, 70% in mobile voice services and 30% in mobile data, plus a 75% growth in upstream. In relative terms, investments reached 19.5% of consolidated revenues in 9M20.
 
DEBT AND LIQUIDITY
 




(In millions of Ps.)


September 2020


December 2019


% Change





Short Term and Long-Term Debt  
















Current Financial Debt


37,063


43,144


(14.1%)




Bank overdraft


3,854


11,874


(67.5%)




Securities-guaranteed loans


-


377


NA




Financial loans


6,837


16,508


(58.6%)




Acquisition of equipment


2,108


1,834


14.9%




Negotiable obligations


11,295


-


NA




NDF


721


441


63.5%




Acrrued interest


12,248


12,110


1.1%




Non-Current Financial Debt


134,825


142,730


(5.5%)




Negotiable obligations


43,716


49,558


(11.8%)




Financial loans


64,810


69,321


(6.5%)




NDF


16


17


(5.9%)




Acquisition of equipment


4,067


3,290


23.6%




Accrued interest


22,216


20,544


8.1%




Total Financial Debt (A)


171,888


185,874


(7.5%)






















Cash and Cash Equivalents (B)


40,295


36,236


11.2%




Net Debt (A) - (B)


131,593


149,638


(12.1%)




Net Debt/Adjusted Ebitda (1)


1.4


1.6


(13.8%)




% USD Debt


88.2%


92.3%


(4.1%)




% PYG Debt


3.0%


2.8%


0.2%




% ARS Debt


8.8%


4.9%


3.9%



 
Total Financial Debt (1) decreased from Ps. 185,874 million in December 2019 to Ps. 171,888 million in September 2020, and Net Debt decreased from Ps 149,638 to Ps. 131,593. 
 
Debt coverage ratio (1) as of September 30, 2020 was 1.4x in the case of Net Debt and of 1.8x in terms of Total Financial Debt. 
 
(1)      Debt Coverage Ratio is defined as Total Financial Debt divided by Last Twelve Months EBITDA. Total Financial debt is defined as financial loans and debt for acquisitions, including accrued interest.
 
STOCK AND MARKET INFORMATION
 
Cablevisión Holding trades its stock on the Buenos Aires Stock Exchange (BCBA) and on the London Stock Exchange (LSE), in the form of shares and GDS's, respectively. 
 













CVH (BCBA) Price per Share (ARS)
 


455 




CVH or CVHSY Price per GDS (USD)


2.4 




Total Shares


180,642,580




Total GDSs


180,642,580




Closing Price


November 11, 2020
 













CONFERENCE CALL AND WEBCAST INFORMATION
 
CABLEVISIÓN HOLDING S.A
(BCBA: CVH / LSE: CVH)
cordially invites you to participate in its conference call and webcast presentation
to discuss Third Quarter 2020 Results
 
Date: Wednesday, November 18, 2020
Time: 12:00pm Buenos Aires Time/10:00am New York Time/3:00pm London
 
To access the conference call, please dial:
Argentina Participants: 0-800-666-0250
U.S. Participants: 1-877-830-2576
All other countries: +1-785-424-1726
Passcode: CVH
 
The 3Q20 results will be accompanied by a webcast presentation. To access the live stream and slide presentation, visit: https://services.choruscall.com/links/cvhsy2011180ih9kytp.html
 
NOTE: Cablevisión Holding S.A. will release its Third Quarter 2020 Earnings Report on Wednesday, November 11, 2020 after the markets close.
 
A replay of the conference call will be available four hours after its conclusion and will remain available for 7 days.  To access the replay, please dial from the within the U.S. 1-844-488-7474, or from anywhere outside the U.S. +1-862-902-0129. The passcode is: 55721014. The webcast presentation will be archived at:  https://www.cablevisionholding.com/Investors/Presentations
 
ABOUT THE COMPANY
 
CVH was funded as corporate spin-off from Grupo Clarín S.A. and it is the first Argentine holding company that engages in the development of infrastructure and the provision of convergent telecommunications services, focusing on Argentina and the region. CVH's subsidiaries specialize in the provision of cable TV, broadband and mobile communications services; and their brands are already well known in the telecommunications and content distribution industries.
 
Investor Relations Contacts:
 
In Buenos Aires:                                                                                                                            In New York:
Cablevisión Holding S.A                                                                                                                i-advize Corporate Communications, Inc
Agustín Medina Manson, Head of Investor Relations                                                                 Camilla Ferreira / Kenia Vargas
Valentina Lopez, Sr. Analyst                                                                                                         Email:      cferreira@i-advize.com
Email: ir@cvh.com.ar                                                                                                                                   kvargas@i-advize.com 
Tel: (+54 11) 4309 - 3417                                                                                                             Tel: +1 212 406 3695 / 3696
www.cvh.com.ar 
 
 

 

 
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 CVH. 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. CVH 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 CVH's projections or forward-looking statements, including, among others, general economic conditions, CVH's competitive environment, risks associated with operating in Argentina a, rapid technological and market change, and other factors specifically related to CVH and its operations.
 




 
CABLEVISIÓN HOLDING S.A.
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
FOR THE NINE-MONTH PERIODS ENDED SEPTEMBER 30, 2020 AND 2019, 
AND THE THREE-MONTH PERIODS BEGINNING ON JULY 1 AND ENDING ON SEPTEMBER 30, 2020 AND 2019
 (in millions of Argentine pesos)
 
 







September 30, 2020






September 30, 2019






July 1, 2020

through September 30, 2020






July 1, 2019

through September 30, 2019






































Revenues


208,220






218,182






67,022






72,555




  Employee benefit expenses and severance payments


(38,691)






(41,568)






(12,388)






(13,760)




  Interconnection and Transmission Costs


(7,675)






(6,970)






(2,722)






(2,380)




  Fees for Services, Maintenance, Materials and Supplies


(21,955)






(23,679)






(7,091)






(8,555)




  Taxes and Fees with the Regulatory Authority


(15,772)






(17,105)






(5,089)






(5,547)




  Commissions and Advertising


(11,501)






(13,032)






(3,953)






(4,458)




  Cost of Equipment and Handsets


(7,236)






(10,240)






(2,500)






(3,112)




  Programming and Content Costs


(13,645)






(16,453)






(3,966)






(5,476)




  Bad Debt Expenses


(7,883)






(5,940)






(2,114)






(1,847)




  Other Operating Income and Expense


(9,615)






(10,855)






(4,318)






(3,776)




Operating Income before Depreciation and Amortization


74,247






72,340






22,881






23,644




  Depreciation, Amortization and Impairment of PP&E, Intangible Assets and Rights of Use.


(55,051)






(53,025)






(19,143)






(18,492)




Operating Income


19,196






19,315






3,738






5,152




  Equity in Earnings from Associates


372






(279)






139






(533)




  Financial Expenses on Debts


(20,669)






(35,271)






(6,938)






(38,308)




  Other Financial Results, net


7,781






12,729






3,871






8,741




Income (Loss) before Income Tax Expense


6,680






(3,506)






810






(24,948)




  Income Tax


(7,782)






(17,136)






(4,238)






(5,424)




Net Loss


(1,102)






(20,642)






(3,428)






(30,372)






































Other Comprehensive Income - to be subsequently reclassified to profit or loss
































  Currency Translation Adjustments (no effect on Income Tax)


(762)






(676)






130






2,278




  Effect of NDF classified as hedges


(301)






(492)






47






(113)




  Tax Effect of NDF classified as hedges


73






128






(23)






55




Other Comprehensive Income, net of Taxes


(990)






(1,040)






154






2,220






































Total Comprehensive Income/ (Loss) 


(2,092)






(21,682)






(3,274)






(28,152)








































































Net Income (Loss) attributable to:
































Shareholders of the Controlling Company


(501)






(10,215)






(1,447)






(13,554)




Non-Controlling Interest


(601)






(10,427)






(1,981)






(16,818)






































Total Comprehensive Income (Loss) Attributable to:
































Shareholders of the Controlling Company


(781)






(10,605)






(1,361)






(12,930)




Non-Controlling Interest


(1,311)






(11,077)






(1,913)






(15,222)






































Basic and Diluted Earnings per Share attributable to the Shareholders of the Controlling Company (in pesos)


(2.77)






(56.55)






(8.01)






(75.03)



 
 
 




 
CABLEVISIÓN HOLDING S.A.
CONSOLIDATED STATEMENT OF FINANCIAL POSITION
AS OF SEPTEMBER 30, 2020, AND DECEMBER 31, 2019
(in millions of Argentine pesos)
 
 
 
 
 





















ASSETS


September 30, 2020






December 31, 2019




CURRENT ASSETS
















Cash and Cash Equivalents


21,949






33,095




Investments


18,097






525




Trade Receivables


16,064






20,746




Other Receivables


6,148






5,642




Inventories


3,076






3,928




Total Current Assets


65,334






63,936




NON-CURRENT ASSETS
















Trade Receivables


56






101




Other Receivables


2,110






2,478




Deferred Income Tax Assets


384






407




Investments


1,997






2,596




Goodwill


214,324






214,446




Property, Plant and Equipment ("PP&E")


289,653






300,630




Intangible Assets


94,778






100,669




Right-of-Use Assets


13,272






11,616




Total Non-Current Assets


616,574






632,943




Total Assets


681,908






696,879




LIABILITIES
















CURRENT LIABILITIES
















Accounts Payable


33,712






39,099




Financial Debt


37,063






43,144




Salaries and Social Security Payables


11,100






12,168




Taxes Payable


3,374






4,052




Dividends Payable


160






-




Lease Liabilities


3,455






3,227




Other Liabilities


1,648






2,128




Provisions


3,402






1,457




Total Current Liabilities


93,914






105,275




NON-CURRENT LIABILITIES
















Accounts Payable


3,055






2,880




Financial Debt


134,825






142,730




Salaries and Social Security Payables


798






1,053




Deferred Income Tax Liabilities


71,829






64,270




Taxes Payable


7






17




Lease Liabilities


6,114






4,490




Other Liabilities


1,193






1,861




Provisions


4,821






5,660




Total Non-Current Liabilities


222,642






222,961




Total Liabilities


316,556






328,236




EQUITY (as per the corresponding statement)
















Attributable to Shareholders of the Parent Company


151,254






152,922




Attributable to Non-Controlling Interests


214,098






215,721




TOTAL EQUITY 


365,352






368,643




TOTAL LIABILITIES AND EQUITY 


681,908






696,879





















 
 
 
 




 
CABLEVISIÓN HOLDING S.A.
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
FOR THE NINE-MONTH PERIODS ENDED SEPTEMBER 30, 2020 AND 2019
(in millions of Argentine pesos)
 







Equity attributable to Shareholders of the Parent Company






Equity Attributable to Non-Controlling Interests
















Shareholders' Contribution






Other Items






Retained Earnings


Total Equity of Controlling Interests










Total Equity








Capital Stock (1)


Inflation Adjustment on Capital Stock


Additional Paid-in Capital


Subtotal






Other Comprehensive Income


Other Reserves






Legal Reserve


Voluntary Reserves


Retained Earnings












Balances as of January 1, 2019


181


7,592


18,279


26,052






(1,291)


96,951






261


17,284


18,276


157,533






247,318






404,851




Set-up of Reserves


-


-


-


-






-


-






1,294


108,453


(109,747)


-






-






-




Dividends and Other Movements of Non-Controlling Interest 


-


-


-


-






-


-






-


-


-


-






(12,979)






(12,979)




Acquisition of an equity interest in Tuves


-


-


-


-






-


16






-


-


-


16






(89)






(73)




Irrevocable Call and Put Option on the Shares of AVC Continente Audiovisual


-


-


-


-






-


(56)






-


-


-


(56)






(84)






(140)




Income (Loss) for the period


-


-


-


-






-


-






-


-


(10,215)


(10,215)






(10,427)






(20,642)




Other Comprehensive Income


-


-


-


-






(390)


-






-


-


-


(390)






(650)






(1,040)










































































Balances as of September 30, 2019


181


7,592


18,279


26,052






(1,681)


96,911






1,555


125,737


(101,686)


146,888






223,089






369,977










































































Balances as of January 1, 2020


181


7,592


18,279


26,052






(2,153)


96,900






1,555


125,737


(95,169)


152,922






215,721






368,643




Set-up of Reserves (Note 26)


-


-


-


-






-


-






-


(3,682)


3,682


-






-






-




Dividend Distribution (Note 26)


-


-


-


-






-


-






-


(895)


-


(895)






-






(895)




Adjustment to the value of the Irrevocable Call and Put Option on the Shares of AVC Continente Audiovisual 


-


-


-


-






-


8






-


-


-


8






12






20




Dividends and Other Movements of Non-Controlling Interest 


-


-


-


-






-


-






-


-


-


-






(324)






(324)




Income (Loss) for the period


-


-


-


-






-


-






-


-


(501)


(501)






(601)






(1,102)




Other Comprehensive Income


-


-


-


-






(280)


-






-


-


-


(280)






(710)






(990)










































































Balances as of September 30, 2020


181


7,592


18,279


26,052






(2,433)


96,908






1,555


 (2) 121,160


(91,988)


151,254






214,098






365,352



 
 
 
(1) Includes 1,578 treasury shares. 
(2)  Voluntary Reserve for Illiquid Results.
 
 




CABLEVISIÓN HOLDING S.A.
CONSOLIDATED STATEMENT OF CASH FLOWS
FOR THE NINE-MONTH PERIODS ENDED SEPTEMBER 30, 2020 AND 2019
(in millions of Argentine pesos)
 
 





















September 30, 2020






September 30, 2019




CASH FLOWS PROVIDED BY (USED IN) OPERATING ACTIVITIES
















Net Loss


(1,102)






(20,642)




Adjustments to Reconcile Net Income to net Cash Flows Provided by Operating Activities 
















  Allowances Deducted from Assets and Provisions for Lawsuits and Other Contingencies


7,852






9,644




  Depreciation of PP&E


43,708






42,279




  Amortization of Intangible Assets


7,198






7,716




  Amortization of Rights of Use


3,865






2,999




  Equity in Earnings from Associates


(372)






279




  Impairment of PP&E


-






31




  Net Book Value of Fixed Assets and Consumption of Materials


392






133




  Financial Results and Other


16,743






33,229




  Income Tax Expense


7,782






17,136




  Income Tax Paid


(1,138)






(1,847)




  Net (Increase) Decrease in Assets


(5,242)






2,972




  Net Decrease in Liabilities


(8,101)






(18,065)




Net Cash Flows provided by Operating Activities 


71,585






75,864




CASH FLOWS PROVIDED BY (USED IN) INVESTING ACTIVITIES 
















  PP&E Acquisitions


(32,747)






(42,563)




  Intangible Assets Acquisition


(1,437)






(1,518)




  Acquisition of an equity interest in Tuves


-






(74)




  Transactions with Notes, Bonds and Other Placements, Net


70






-




  Collection of Dividends


46






201




  Income from Sale of PP&E and Intangible Assets


-






1




  Investments not considered as cash and cash equivalents


(13,055)






5,936




Net Cash Flows used in Investing Activities 


(47,123)






(38,017)




CASH FLOWS PROVIDED BY (USED IN) FINANCING ACTIVITIES 
















  Proceeds from Financial Debt


40,127






66,127




  Payment of Financial Debt


(57,544)






(42,550)




  Payment of Interest and Related Expenses


(15,731)






(8,960)




  Payment of Lease Liabilities


(2,956)






(2,398)




  Payment of Dividends


(882)






(12,647)




  Payment of Dividends to Non-Controlling Interests


(158)






-




  Increase in the Reserve Account


-






148




Net Cash Flows used in Financing Activities 


(37,144)






(280)






















NET (DECREASE) / INCREASE IN CASH FLOW


(12,682)






37,567




CASH AND CASH EQUIVALENTS AT THE BEGINNING OF THE YEAR:


33,095






14,027




EFFECTS OF EXCHANGE RATE DIFFERENCES AND GAIN (LOSS) ON NET MONETARY POSITION ON CASH AND CASH EQUIVALENTS


1,536






1,489




CASH AND CASH EQUIVALENTS AT THE END OF THE PERIOD


21,949






53,083





















 
 
 
 

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