RE:RE:My analysis
Item 6 of my post was about Bell Media.
6. With reference to asset sales:
There is always a buyer for a business like Bell Media with an adjusted EBITDA of ~ 900m considering this is one of Canada’s leading multimedia companies, operating across television, radio, digital media, and content production.
Television Networks
CTV: Canada’s largest private broadcaster, offering both national and local programming.
Specialty Channels: Including TSN (The Sports Network), RDS (Rseau des sports), and various CTV-branded specialty channels.
Crave: A streaming service providing a wide range of content, including original programming and partnerships with HBO and Showtime.
Radio Stations
iHeartRadio Canada: Encompassing numerous radio stations across the country, such as Virgin Radio, Pure Country, and others.
Digital Platforms
Crave: Bell Media’s flagship streaming service.
CTV.ca and CTV App: Offering live TV and on-demand streaming.
Content Production
Bell Media Studios: Produces a variety of shows, including The Marilyn Denis Show and Etalk.
Advertising
Astral: Bell Media’s outdoor advertising division, managing billboards and digital displays.
Adjusted EBITDA for the last 4 quarters total 838m and are shown below, thus assuming ~900m for 2025 leads to 9B ?
Q3 2024: Adjusted EBITDA increased by 25.1% to $254 million, with a margin improvement to 32.5%.
Q2 2024: Adjusted EBITDA grew by 1.9% to $218 million, delivering a 0.2 percentage-point increase in margin to 26.8%.
Q1 2024: Adjusted EBITDA was $218 million, reflecting a decrease of 11.4% compared to Q1 2023.
Q4 2023: Adjusted EBITDA was $148 million, representing a 14.7% increase from the same quarter in the previous year. This growth improved the Adjusted EBITDA margin to 18.0%, up from 14.5% in Q4 2022.
These figures reflect Bell Media’s ongoing efforts to adapt to the evolving media landscape, with a focus on digital transformation and content diversification which should command a multiple of 8-10x EBITDA or about 8B, reducing the net debt to ~ 30B.