VIVHY Vivendi SE (PK)

   By Mauro Orru 
 

Vivendi SA said Thursday that its net profit and revenue for 2019 jumped thanks to the "very strong" performance of Universal Music Group.

The French media company reported net profit of 1.58 billion euros ($1.73 billion) for the year, from EUR127 million the previous year when a EUR1.07 billion write-down of the value of its Telecom Italia SpA shares blew a hole in its finances.

Analysts were expecting net profit of roughly EUR1.18 billion, according to FactSet.

Revenue for the year rose to EUR15.9 billion from EUR13.9 billion the previous year, with Universal Music Group contributing EUR7.2 billion.

Analysts polled by FactSet were expecting revenue to come in at roughly EUR15.7 billion.

In December 2019, Vivendi signed an agreement with Chinese internet-based conglomerate Tencent Holdings Ltd. to sell a 10% stake in Universal Music Group for EUR3 billion, with the transaction expected to close by the end of the first half of 2020.

Vivendi said earnings before interest and taxes for the year rose to EUR1.38 billion from EUR1.18 billion the previous year.

Analysts were expecting EBIT of roughly EUR1.6 billion, according to FactSet.

Vivendi said the general shareholders' meeting would vote on a proposed dividend of EUR0.60 per share, up 20% from EUR0.50 a share for the previous year.

Write to Mauro Orru at mauro.orru@wsj.com

(END) Dow Jones Newswires

February 13, 2020 12:33 ET (17:33 GMT)

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