According to TNS survey, gross expenditures on TV ads increased by CZK 213m in September (+11% y/y), to the total CZK 2.1bn. In September, TV stations broadcasted almost 54 more hours of advertisement compared to the same period last year. Although TV Nova’s ad hours decreased by 11 hours and its biggest rival TV Prima’s ad time increased by 67 hours, TV Nova’s share of expenditures on TV ads reached 53.7%, while TV Prima’s share decreased to 37.2%.
Our view:
The latest statistics, although biased as survey take into account only gross expenditures and not provided bonuses/discounts, shows positive trend for TV Nova which started in August. As we expected situation on ad market to improve towards end of the year in favour of TV Nova starts to materialize. TV Nova’s share jumped over 50% threshold, given also good and stable ratings over 40% for the majority of the year. We remain confident over company’s guidance and reiterate our Buy recommendation.