The year 2022 was the worst in the history of the three biggest TV stations in Brazil. This is what reveals an exclusive survey carried out by Notícias da TV, based on the balance sheets of Globo, SBT and Record. Together, they had an operating loss of BRL 1.085 billion, equivalent to 90% of all SBT advertising revenue (BRL 1.209 billion). Operating income is profit or loss before accounting for investments and taxes.
According to columnist Daniel Castro, with difficulties to increase their income and rising costs, the three broadcasters spent more than they collected. The final result was only not worse thanks to financial investments. Like Globo, SBT was saved from a net loss by the high interest rates on its investments.
Globo and Record had already published their balance sheets for 2022. The audience leader saw its revenue from advertising and services (subscription to paid channels and Globoplay, mainly) grow by 6.6%, but this was not enough to cover all costs.
The balance was an operating loss of R$501.1 million. The broadcaster, however, had an exceptional result with investments and with the sale of Som Livre (R$ 1.520 billion). As a result, it ended the year with a net profit of R$1.254 billion.
SBT’s balance sheet was only released recently. The station’s sales fell 12.8%, and production costs rose 4.6%. The balance between advertising revenue and expenses was a loss of R$ 29 million.
Income from financial investments, however, helped Silvio Santos’ chain close the year with a net profit of R$ 18.877 million. It was his worst performance in at least the last ten years. In 2020, for example, the broadcaster had recorded a profit of R$ 141 million.
The most dramatic picture is that of Record. Its operating loss was BRL 554.5 million, higher than that of Globo and equivalent to just over a quarter of its advertising revenues (BRL 2.014 billion). Record, unlike SBT and Globo, did not make a profit from investments, and the net loss totaled R$ 517 million.
It was Record’s worst result since it was acquired by Edir Macedo, in 1989. A good part of the loss, however, is not due to the broadcaster’s performance, but to the DigiMais bank. Without considering the bank, Record’s operating loss would have been R$ 188 million.
Networks have been getting worse since 2016
When considering only the net result as a criterion, that is, also accounting for investments and taxes, the worst year for Brazilian TV was 2021, when the three broadcasters together totaled BRL 97.5 million in profit.
In 2022, the sum of the results of the three networks was positive, at BRL 755.5 million, thanks mainly to Globo’s net profit (BRL 1.254 billion). In 2021, Globo had a net loss of BRL 174 million, while SBT and Record profited, respectively, BRL 141 million and BRL 130.5 million.
The situation for the big TV networks began to deteriorate in 2016. In 2015, Globo recorded an operating profit (before financial results and taxes) of R$1.5 billion. Afterwards, it only had no operating loss in 2016 and 2020.
SBT, before 2022, had suffered an operating loss only in 2016, and Record, in 2018. Band and RedeTV! do not publish their balance sheets.
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