CanWest profit boosted by TV3 revenue of €7m

Irish commercial broadcaster TV3 contributed €3.1 million in first-quarter operating profits to one of its two main shareholders, latest figures show.

Canadian media operator CanWest, which owns 45 per cent of TV3, said that the Irish station chipped in €7 million in revenues in the three months to the end of November, the first quarter of the company's fiscal year.

TV3's contribution during the same period in 2003 was €6 million.

The company's results show that TV3 earned €3.1 million in operating profits for CanWest during the quarter, compared with €2.3 million the previous year.

CanWest president and chief executive Mr Leonard Asper said that the company's international operations, including TV3, continued to deliver "outstanding" results.

The Irish station's earnings growth was over 33 per cent, compared with 16 per cent for the group as whole.

CanWest bought a 45 per cent stake in TV3 in 1998. The station began broadcasting in the Republic the same year.

In the year to the end of August, TV3 accounted for €7 million of the group's overall earnings, which was its best performance to date, according to Mr Asper. It also contributed €22 million to revenues during the year.

CanWest's figures show that its first quarter revenues were C$872.6 million (€548 million), compared with $800.6 million in 2003.

Operating profits, before interest, tax and write-offs during the first quarter were C$289.6 million, as against C$250.4 million a year earlier.

TV3's other big shareholder is British independent television producer, Granada, which owns 45 per cent of the Irish company.

Granada bought its stake after TV3 made a bid for the rights to screen Coronation Street, which is now the station's weekday flagship soap.

It also broadcasts other Granada productions like rural soap, Emmerdale Farm, and drama series, Heartbeat.

Last July, CanWest sold its 29.9 per cent holding in Northern Ireland's Ulster Television (UTV) to 12 institutional investors for €89 million.

The deal resulted in a gain of about €31 million on its original investment in the company in 1997.

Over the intervening seven years, it received around €21 million in dividends.

CanWest Global Communications is Canada's biggest television network operator and newspaper publisher.

It also has online businesses interests, radio interests in New Zealand and outdoor media interests in Australia.