Italy’s Mediaset reports first-half profits down by 48 percent

Mediaset profits down by 48 percent in Italy

MILAN — The Mediaset television empire founded by Italian Premier Silvio Berlusconi said Thursday that first half net profit fell by 48 percent because of a drop in advertising in its two main markets, Italy and Spain.

Italy’s largest private broadcaster reported net profit of euro180.8 million ($254.08 million) in the first half of the year, down from euro350 million in the same period of 2008.

The Milan-based group said net revenues were down 13 percent to euro1.9 billion from euro2.24 billion in the same period last year.

Advertising revenues in Italy dropped by euro1.3 billion from euro1.55 billion, although Mediaset said its channels performed better than the overall market based on Nielsen figures.

The group, which dominates Italian free-to-air television alongside state broadcaster RAI, said market conditions make forecasting full-year advertising revenues difficult, but added that the decline may be slowing down in Italy.

Mediaset shares closed up 1 percent at euro4.32, before the results were released. It did not break out second-quarter results.