The main Polish TV stations have increased their advertising prices in March, according to Presserwis. TVN and Polsat increased their ad prices by 40% m/m on average, with prime time spot prices up by even 70% m/m in March. The state owned TVP channels raised their prices by 20-25% m/m and 10% y/y.
Our view: We view the news as neutral, as the ad price increases reflect a normal seasonal upturn in demand for advertising, recent audience share changes (up at Polsat, down at TVP), and new programming launches, like new edition of ‘Strictly come dancing’ in TVN. For 2007 we forecast a 12% y/y ad price increases at TVN. We reiterate our Hold rating for the stock.