'Resident Evil: Retribution,' Euro Soccer Lift Results at Germany's Constantin Medien
The entertainment group boosts sales by nearly 12 percent in 2012, while operating profit jumps 27 percent.
COLOGNE, Germany – The seemingly unstoppable box office force that is the Resident Evil franchise and the small-screen ratings guarantee of European soccer helped lift annual figures at German group Constantin Medien, which showed double-digit revenue and profit growth in 2012 and beat its own forecasts.
Revenue at Constantin was up nearly 12 percent to $672 million (€520.5 million) for the year, while operating profits (EBITDA) reached $181 million (€140.6 million), a sterling 27.1 percent jump. Net profits at the Munich-based firm came in at $16 million (€12.5 million).
Resident Evil: Retribution, the fifth entry in the Milla Jovovich vs. zombies features, continues to be a money spinner for producer Constantin, generating some $230 million box office worldwide. Overall, Constantin's film division, which also includes TV and home entertainment operations, boosted revenue by nearly 24 percent to $378 million (€293.1 million). Earnings for the division were $11.5 million (€8.9 million), on par with 2011.
Constantin's sports division, which includes its German free and pay-TV channels as well as online platform Sport1.de, boosted sales by 4.4 percent to $209 million (€161.9 million), with a 22.6 percent increase in earnings to $6.3 million (€4.9 million).
Restructuring at Constantin's sports and events marketing business, which handles marketing for such top European TV events as the UEFA Champions and Europa League soccer tournaments, led to a sharp decline in revenue at the division, which slipped 21.3 percent to $74 million (€57.6 million). Much of that drop was due to European soccer governing body UEFA taking back the rights to manage individual soccer matches itself. Constantin also moved its music activities -- including its managing of the Eurovision Song Contest -- from its marketing division to its other business segment.
The TV events managed by Constantin, however, showed no sign of decline. The UEFA Champions League final between Bayern Munich and Chelsea F.C. was watched by some 170 million fans worldwide. Overall, earnings at the sports marketing division jumped to $19 million (€14.7 million) from €2.3 million a year earlier, though this was largely due to an accounting one-off. Properly adjusted, earnings for the division were up slightly at $32 million (€24.9 million).
For 2013, Constantin is forecasting consolidated sales of $568 million to $630 million (€440 million to €480 million) and positive group earnings.