RTL Group points to future profits despite decline in group revenue in first half of 2025
RTL’s top streaming show Die Verräter – Vertraue Niemandem! (The Traitors)
European media giant RTL Group expects operating profits in the coming years to be “significantly increased” by improved macroeconomic conditions in Germany, streaming profitability and its acquisition of Sky Deutschland.
RTL Group made the positive outlook while announcing its results for the first six months of 2025 today as it pointed to an “acceleration” in the group’s strategy to diversify revenue streams beyond traditional advertising in recent months.
This comes as the H1 results show a 3.2% decline in group revenue compared to the first half of 2024, going from €2.87bn (US$3.34bn) to €2.78bn due to lower TV advertising and content production revenue.
Group revenue for the second quarter of 2025 was €1.49bn (Q2/2024: €1.55bn), having been €1.29bn in the first quarter of 2025.
RTL Group’s global content business Fremantle generated revenue of €905m in the first half of 2025, down from €957m in the first half of 2024.
The company said this was mainly due to lower revenue from the US and “phasing effects,” partly offset by the acquisition of Asacha Media Group in March 2024. It said the revenue decrease in the US was “largely expected” as the first half of 2024 benefited from a spin-off of America’s Got Talent.
It comes after RTL hailed a “solid start to 2025” in May, despite its quarterly financial results showing that group revenue was down 2%, with its content business Fremantle also continuing to struggle.
Fremantle continues to target full-year revenue of €3bn “in the mid-term.” Fremantle had previously stated its ambition to reach that level of income by this year – a deadline that RTL pushed back last year due to “increased headwinds” in the global TV sector.
RTL Group is looking to reach this target via the acquisition of small and medium-sized production companies, IP and partnerships with creative talent.
So far in 2025 the company has struck deals with Emma Stone and Dave McCary’s Fruit Tree and Eureka Studios in Australia and launched Fremantle Sports, AI-focused Imaginae Studios and unscripted originals hub Fremantle Global Originals.
C21 reported this week Fremantle had hired unscripted development exec and comedy writer Simon Craig to join the newly-launched label.
Following the closing of the sale of RTL Nederland to DPG Media last month, RTL Group and DPG Media entered a strategic partnership that means RTL Group’s broadcasters in Germany, France, and Hungary have first-look rights to new programmes developed by RTL Nederland.
Meanwhile, overall losses at the group were partly offset by higher streaming revenue, which was up 27% to €235m, from €185m in the first half of 2024.
This was driven by a higher number of paying subscribers, increased subscription prices in Germany and rapidly growing advertising revenue on RTL+ in Germany and M6+ in France.
RTL Group is targeting streaming profitability in 2026, something it said will contribute to its “significantly increased” operating profits in the years ahead, along with improved macroeconomic conditions in Germany and its acquisition of Sky’s businesses in Germany, Austria and Switzerland, which was announced in June.
This deal with US media giant Comcast for an initial US$175m, when approved by regulators, will be “transformational” for the group, Rabe has said.
The transaction will combine Sky’s premium sports rights, including Bundesliga, DFB Cup, Premier League and Formula 1, with RTL’s entertainment and news brands across RTL+, free-to-air and pay TV.
Among the top streaming shows on RTL+ in the first half of 2025 were Gute Zeiten, Schlechte Zeiten (Good Times, Bad Times), the 18th season of I’m a Celebrity… Get Me Out of Here!), daily series Alles was zählt (All That Matters) and reality shows Are You The One? and Ex On The Beach as well as Die Verräter – Vertraue Niemandem! (The Traitors).
Rabe said: “In the first half of 2025, we made key steps to accelerate the transformation of RTL Group. We grew our streaming revenue by almost 30%, renewed our successful distribution partnership with Deutsche Telekom until 2030 and announced the acquisition of Sky Deutschland.
“Following a long regulatory review, we closed the sale of RTL Nederland to DPG Media. Our shareholders will benefit from the sale via an expected dividend of €5 per share, payable in 2026.
“Over the past five years, we have focused RTL Group’s portfolio on our biggest business units. We have generated proceeds from disposals of more than €2.7 billion with high cash returns to our shareholders.
“We are confident to significantly increase our operating profits in the coming years, driven by improved macroeconomic conditions in Germany, streaming profitability and synergies from the Sky Deutschland acquisition, when approved by the regulators.”
