UPDATE 1-Mexico's Televisa says 4th-quarter profit fell 17.8 pct

Thu Feb 20, 2014 10:24pm EST

Related Topics

* Q4 profit 2.5 bln pesos from 3.0 bln pesos

* New telecoms reform bites into sales

* Revenue rises 8.3 pct

MEXICO CITY, Feb 20 (Reuters) - Mexican broadcaster Grupo Televisa, the world's largest Spanish-language content producer, on Thursday said its fourth-quarter profit fell 17.8 percent on higher costs, currency losses and lower sales resulting from a new telecoms reform.

The company , which is facing tougher regulation as Mexico tries to increase competition in its television and phone markets, reported fourth-quarter profit of 2.464 billion pesos ($188 million), down from 2.998 billion pesos in the same period in 2012.

Televisa said revenue rose 8.3 percent in the quarter to 21.443 billion pesos, thanks to selling more advertising.

Under a reform approved last year, pay-television operators must carry public broadcast channels, and the broadcasters must offer their signals to pay-TV companies. Televisa said its sales were dented by a decrease in the money it generated from selling its channels to competitors

The reform is also expected to cut into Televisa's revenues as it encourages more competitors in public broadcast and pay television.

The detailed laws that will lay out how the reform will be enacted are set to be presented to Mexico's Congress shortly.

Shares in Televisa ended the day up 0.5 percent at 74.61 pesos before the company reported its results.

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