New Risk • May 27
New major risk - Revenue and earnings growth Earnings have declined by 2.2% per year over the past 5 years. This is considered a major risk. Ultimately, shareholders want to see a good return on their investment and that generally comes from sharing in the company's profits. If profits are declining over an extended period, then in most cases the share price will decline over time unless the company can turn around its fortunes. A trend of falling earnings can be very difficult to turn around. If the company is well already established it may also be a sign the company has matured and is in decline. In addition, if the company pays dividends it will also likely need to reduce or cut them, striking a dual blow to total shareholder returns. Currently, the following risks have been identified for the company: Major Risk Earnings have declined by 2.2% per year over the past 5 years. Minor Risk Unstable dividend paying track record with dividend experiencing an annual drop of over 20% in the past. Upcoming Dividend • May 11
Upcoming dividend of €0.07 per share Eligible shareholders must have bought the stock before 18 May 2026. Payment date: 20 May 2026. Payout ratio is a comfortable 66% and this is well supported by cash flows. Trailing yield: 7.2%. Within top quartile of Italian dividend payers (4.6%). Higher than average of industry peers (5.3%). Declared Dividend • Mar 27
Dividend of €0.07 announced Dividend of €0.07 is the same as last year. Ex-date: 18th May 2026 Payment date: 20th May 2026 Dividend yield will be 7.6%, which is higher than the industry average of 6.7%. Sustainability & Growth Dividend is covered by both earnings (58% earnings payout ratio) and cash flows (49% cash payout ratio). The dividend has increased by an average of 2.2% per year over the past 7 years. However, payments have been volatile during that time. Earnings per share has grown by 12% over the last 5 years. Unless this trend reverses, it should provide support to the dividend and adequate earnings cover. Reported Earnings • Mar 26
Full year 2025 earnings released Full year 2025 results: Revenue: €787.7m (down 3.8% from FY 2024). Net income: €54.8m (down 12% from FY 2024). Profit margin: 7.0% (down from 7.6% in FY 2024). The decrease in margin was driven by lower revenue. Over the last 3 years on average, earnings per share has increased by 7% per year whereas the company’s share price has increased by 6% per year. Announcement • Mar 26
RCS MediaGroup S.p.A. announces Annual dividend, payable on May 20, 2026 RCS MediaGroup S.p.A. announced Annual dividend of EUR 0.0700 per share payable on May 20, 2026, ex-date on May 18, 2026 and record date on May 19, 2026. Reported Earnings • Aug 01
Second quarter 2025 earnings released Second quarter 2025 results: Revenue: €256.6m (down 3.2% from 2Q 2024). Net income: €35.6m (flat on 2Q 2024). Profit margin: 14% (in line with 2Q 2024). Over the last 3 years on average, earnings per share has increased by 5% per year but the company’s share price has increased by 12% per year, which means it is tracking significantly ahead of earnings growth. Upcoming Dividend • May 12
Upcoming dividend of €0.07 per share Eligible shareholders must have bought the stock before 19 May 2025. Payment date: 21 May 2025. Payout ratio is a comfortable 58% and this is well supported by cash flows. Trailing yield: 6.8%. Within top quartile of Italian dividend payers (5.5%). Higher than average of industry peers (5.7%). New Risk • Apr 27
New minor risk - Shareholder dilution The company's shareholders have been diluted in the past year. Increase in shares outstanding: 17% This is considered a minor risk. Shareholder dilution occurs when there is an increase in the number of shares on issue that is not proportionally distributed between all shareholders. Often due to the company raising equity capital or some options being converted into stock. All else being equal, if there are more shares outstanding then each existing share will be entitled to a lower proportion of the company's total earnings, thus reducing earnings per share (EPS). While dilution might not always result in lower EPS (like if the company is using the capital to fund an EPS accretive acquisition) in a lot cases it does, along with lower dividends per share and less voting power at shareholder meetings. Currently, the following risks have been identified for the company: Minor Risks Unstable dividend paying track record with dividend experiencing an annual drop of over 20% in the past. Shareholders have been diluted in the past year (17% increase in shares outstanding). Declared Dividend • Mar 27
Dividend of €0.07 announced Dividend of €0.07 is the same as last year. Ex-date: 19th May 2025 Payment date: 21st May 2025 Dividend yield will be 7.1%, which is about the same as the industry average. Sustainability & Growth Dividend is covered by both earnings (59% earnings payout ratio) and cash flows (33% cash payout ratio). The dividend has increased by an average of 2.6% per year over the past 6 years. However, payments have been volatile during that time. Earnings per share has grown by 1.2% over the last 5 years. Unless this trend reverses, it should provide support to the dividend and adequate earnings cover. Announcement • Mar 26
RCS MediaGroup S.p.A. announces Annual dividend, payable on May 21, 2025 RCS MediaGroup S.p.A. announced Annual dividend of EUR 0.0700 per share payable on May 21, 2025, ex-date on May 19, 2025 and record date on May 20, 2025. Reported Earnings • Mar 25
Full year 2024 earnings released Full year 2024 results: Revenue: €458.2m (down 45% from FY 2023). Net income: €34.0m (down 40% from FY 2023). Profit margin: 7.4% (up from 6.9% in FY 2023). The increase in margin was driven by lower expenses. Board Change • Feb 01
Insufficient new directors No new directors have joined the board in the last 3 years. The company's board is composed of: No new directors. 5 experienced directors. 7 highly experienced directors. Lead Independent Director Benedetta Corazza was the last director to join the board, commencing their role in 2022. The following issues are considered to be risks according to the Simply Wall St Risk Model: Insufficient board refreshment. Reported Earnings • Nov 12
Third quarter 2024 earnings released Third quarter 2024 results: Revenue: €168.2m (flat on 3Q 2023). Net loss: €1.80m (loss narrowed 28% from 3Q 2023). Over the last 3 years on average, earnings per share has fallen by 24% per year but the company’s share price has only fallen by 1% per year, which means it has not declined as severely as earnings. Reported Earnings • Aug 02
Second quarter 2024 earnings released Second quarter 2024 results: Revenue: €265.2m (up 2.0% from 2Q 2023). Net income: €35.5m (up 11% from 2Q 2023). Profit margin: 13% (up from 12% in 2Q 2023). Over the last 3 years on average, earnings per share has fallen by 25% per year but the company’s share price has increased by 2% per year, which means it is well ahead of earnings. New Risk • Jun 30
New major risk - Revenue and earnings growth Earnings have declined by 2.9% per year over the past 5 years. This is considered a major risk. Ultimately, shareholders want to see a good return on their investment and that generally comes from sharing in the company's profits. If profits are declining over an extended period, then in most cases the share price will decline over time unless the company can turn around its fortunes. A trend of falling earnings can be very difficult to turn around. If the company is well already established it may also be a sign the company has matured and is in decline. In addition, if the company pays dividends it will also likely need to reduce or cut them, striking a dual blow to total shareholder returns. Currently, the following risks have been identified for the company: Major Risk Earnings have declined by 2.9% per year over the past 5 years. Minor Risk Unstable dividend paying track record with dividend experiencing an annual drop of over 20% in the past. Reported Earnings • May 14
First quarter 2024 earnings released First quarter 2024 results: €0.003 loss per share. Revenue: €168.9m (down 5.7% from 1Q 2023). Net loss: €1.60m (loss narrowed 11% from 1Q 2023). Upcoming Dividend • May 13
Upcoming dividend of €0.07 per share Eligible shareholders must have bought the stock before 20 May 2024. Payment date: 22 May 2024. Payout ratio is a comfortable 64% and this is well supported by cash flows. Trailing yield: 8.0%. Within top quartile of Italian dividend payers (5.4%). Higher than average of industry peers (6.1%). Announcement • Mar 30
RCS MediaGroup S.p.A., Annual General Meeting, May 08, 2024 RCS MediaGroup S.p.A., Annual General Meeting, May 08, 2024, at 10:00 Central European Standard Time. Agenda: To consider Financial statements at December 31, 2023, Directors' Report on Operations, Independent Auditors' Report, Report of the Board of Statutory Auditors, Presentation of the consolidated financial statements at December 31, 2023; to consider Appointment of the Board of Statutory Auditors; to consider Report on the Remuneration Policy and compensation paid pursuant to Article 123-ter of Legislative Decree 58/1998; to consider Authorization to purchase and dispose of treasury shares pursuant to Article 2357 et seq. of the Italian Civil Code subject to revocation of the prior shareholders' resolution; and to consider Proposal to introduce the possibility to held the Shareholders' meeting exclusively through the so called Appointed Representative and to held the Shareholders' meeting, as well as the Board of Directors' meeting and the Board of Statutory Auditors' meeting, by means of telecommunication. Reported Earnings • Mar 28
Full year 2023 earnings released Full year 2023 results: Revenue: €828.0m (down 2.0% from FY 2022). Net income: €57.0m (up 14% from FY 2022). Profit margin: 6.9% (up from 5.9% in FY 2022). The increase in margin was driven by lower expenses. Reported Earnings • Nov 13
Third quarter 2023 earnings released Third quarter 2023 results: Revenue: €167.6m (down 4.0% from 3Q 2022). Net loss: €2.50m (loss widened 400% from 3Q 2022). Reported Earnings • Aug 03
Second quarter 2023 earnings released Second quarter 2023 results: Revenue: €260.1m (flat on 2Q 2022). Net income: €32.1m (up 29% from 2Q 2022). Profit margin: 12% (up from 9.5% in 2Q 2022). Revenue is forecast to grow 1.9% p.a. on average during the next 2 years, compared to a 2.4% growth forecast for the Media industry in Italy. Over the last 3 years on average, earnings per share has increased by 20% per year but the company’s share price has only increased by 5% per year, which means it is significantly lagging earnings growth. Reported Earnings • May 21
First quarter 2023 earnings released First quarter 2023 results: €0.003 loss per share. Revenue: €179.1m (down 2.5% from 1Q 2022). Net loss: €1.80m (loss widened 157% from 1Q 2022). Revenue is forecast to grow 1.6% p.a. on average during the next 2 years, compared to a 2.0% growth forecast for the Media industry in Italy. Over the last 3 years on average, earnings per share has increased by 16% per year but the company’s share price has only increased by 8% per year, which means it is significantly lagging earnings growth. Upcoming Dividend • May 15
Upcoming dividend of €0.06 per share at 7.6% yield Eligible shareholders must have bought the stock before 22 May 2023. Payment date: 24 May 2023. Payout ratio is a comfortable 59% but the company is paying out more than the cash it is generating. Trailing yield: 7.6%. Within top quartile of Italian dividend payers (5.3%). Higher than average of industry peers (6.8%). Reported Earnings • Mar 27
Full year 2022 earnings released Full year 2022 results: Revenue: €845.0m (flat on FY 2021). Net income: €50.1m (down 31% from FY 2021). Profit margin: 5.9% (down from 8.6% in FY 2021). Revenue is forecast to grow 1.3% p.a. on average during the next 2 years, compared to a 2.5% growth forecast for the Media industry in Italy. Over the last 3 years on average, earnings per share has increased by 22% per year but the company’s share price has only increased by 3% per year, which means it is significantly lagging earnings growth. Reported Earnings • Nov 16
Third quarter 2022 earnings released Third quarter 2022 results: Revenue: €174.5m (down 7.3% from 3Q 2021). Net loss: €500.0k (down 106% from profit in 3Q 2021). Revenue is forecast to stay flat during the next 2 years compared to a 2.2% growth forecast for the Media industry in Italy. Over the last 3 years on average, earnings per share has increased by 19% per year but the company’s share price has fallen by 10% per year, which means it is significantly lagging earnings. Board Change • Nov 16
Less than half of directors are independent There is 1 new director who has joined the board in the last 3 years. The new board member was an independent director. The company's board is composed of: 1 new director. 11 experienced directors. No highly experienced directors. 5 independent directors (7 non-independent directors). Lead Independent Director Benedetta Corazza was the last independent director to join the board, commencing their role in 2022. The following issues are considered to be risks according to the Simply Wall St Risk Model: Minority of independent directors. Insufficient board refreshment. Upcoming Dividend • May 09
Upcoming dividend of €0.06 per share Eligible shareholders must have bought the stock before 16 May 2022. Payment date: 18 May 2022. Payout ratio is a comfortable 43% and this is well supported by cash flows. Trailing yield: 8.4%. Within top quartile of Italian dividend payers (4.8%). Higher than average of industry peers (5.5%). Price Target Changed • Apr 27
Price target increased to €0.90 Up from €0.80, the current price target is provided by 1 analyst. New target price is 19% above last closing price of €0.76. Stock is up 1.5% over the past year. The company is forecast to post earnings per share of €0.096 for next year compared to €0.14 last year. Reported Earnings • Nov 13
Third quarter 2021 earnings released The company reported a strong third quarter result with improved earnings, revenues and profit margins. Third quarter 2021 results: Revenue: €188.2m (up 8.0% from 3Q 2020). Net income: €7.80m (up 77% from 3Q 2020). Profit margin: 4.1% (up from 2.5% in 3Q 2020). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has fallen by 32% per year but the company’s share price has only fallen by 2% per year, which means it has not declined as severely as earnings. Price Target Changed • Nov 11
Price target increased to €0.90 Up from €0.82, the current price target is an average from 2 analysts. New target price is approximately in line with last closing price of €0.87. Stock is up 71% over the past year. The company is forecast to post earnings per share of €0.11 for next year compared to €0.061 last year. Major Estimate Revision • Aug 06
Consensus EPS estimates increase to €0.11 The consensus outlook for earnings per share (EPS) in 2021 has improved. 2021 revenue forecast increased from €811.3m to €844.8m. EPS estimate increased from €0.081 to €0.11 per share. Net income forecast to shrink 48% next year vs 53% growth forecast for Media industry in Italy . Consensus price target down from €0.82 to €0.80. Share price rose 8.4% to €0.72 over the past week. Reported Earnings • Aug 03
Second quarter 2021 earnings released The company reported a strong second quarter result with improved earnings, revenues and profit margins. Second quarter 2021 results: Revenue: €247.4m (up 67% from 2Q 2020). Net income: €41.9m (up €47.8m from 2Q 2020). Profit margin: 17% (up from net loss in 2Q 2020). The move to profitability was driven by higher revenue. Over the last 3 years on average, earnings per share has fallen by 47% per year but the company’s share price has only fallen by 14% per year, which means it has not declined as severely as earnings. Price Target Changed • Jun 05
Price target increased to €0.82 Up from €0.67, the current price target is an average from 2 analysts. New target price is 9.5% above last closing price of €0.75. Stock is up 11% over the past year. Reported Earnings • May 15
First quarter 2021 earnings released The company reported a solid first quarter result with reduced losses, improved revenues and improved control over expenses. First quarter 2021 results: Revenue: €174.4m (up 1.8% from 1Q 2020). Net loss: €3.20m (loss narrowed 48% from 1Q 2020). Price Target Changed • May 13
Price target increased to €0.69 Up from €0.63, the current price target is an average from 2 analysts. New target price is 11% below last closing price of €0.77. Stock is up 27% over the past year. Upcoming Dividend • May 10
Upcoming dividend of €0.03 per share Eligible shareholders must have bought the stock before 17 May 2021. Payment date: 19 May 2021. Trailing yield: 3.9%. Within top quartile of Italian dividend payers (3.9%). In line with average of industry peers (4.2%). Reported Earnings • Mar 20
Full year 2020 earnings released The company reported a poor full year result with weaker earnings, revenues and profit margins. Full year 2020 results: Revenue: €749.5m (down 19% from FY 2019). Net income: €31.7m (down 54% from FY 2019). Profit margin: 4.2% (down from 7.4% in FY 2019). The decrease in margin was driven by lower revenue. Over the last 3 years on average, earnings per share has fallen by 37% per year but the company’s share price has only fallen by 15% per year, which means it has not declined as severely as earnings. Is New 90 Day High Low • Mar 03
New 90-day high: €0.63 The company is up 11% from its price of €0.57 on 03 December 2020. The Italian market is up 5.0% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Media industry, which is up 6.0% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is €1.06 per share. Is New 90 Day High Low • Feb 10
New 90-day high: €0.60 The company is up 19% from its price of €0.51 on 12 November 2020. The Italian market is up 11% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Media industry, which is up 15% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is €1.04 per share. Is New 90 Day High Low • Nov 25
New 90-day high: €0.59 The company is up 4.0% from its price of €0.57 on 26 August 2020. The Italian market is up 6.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Media industry, which is up 11% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is €0.94 per share. Analyst Estimate Surprise Post Earnings • Nov 11
Revenue beats expectations Revenue exceeded analyst estimates by 1.3%. Earnings per share (EPS) were mostly in line with analyst estimates. Over the next year, revenue is forecast to grow 5.6% while the growth in Media industry in Italy is expected to stay flat. Is New 90 Day High Low • Oct 16
New 90-day low: €0.50 The company is down 21% from its price of €0.63 on 17 July 2020. The Italian market is down 7.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Media industry, which is down 3.0% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is €0.77 per share. Major Estimate Revision • Oct 08
Analysts update estimates The 2020 consensus earning per share (EPS) estimate increased from €0.02 to €0.029. Revenue estimate for the same period was approximately flat at €761.3m. Net income is expected to grow by 88% next year compared to 74% growth forecast for the Media industry in Italy. The consensus price target of €0.69 was unchanged from the last update. Share price is up 8.7% to €0.55 over the past week. Is New 90 Day High Low • Sep 18
New 90-day low: €0.54 The company is down 15% from its price of €0.63 on 19 June 2020. The Italian market is up 1.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Media industry, which is up 6.0% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is €0.78 per share.