Several signs indicate that things are not going well at Televisa, the leading content production company in Latin America. There are signals at all levels: from the closure of local stations, scandals involving some of its most famous talents, legal issues in the United States—a key market for the company—and financial indicators in the red. All of this highlights a crisis in the company founded by Emilio Azcárraga, which seems to be worsening over time.
Why is Televisa in crisis?
For years, Televisa established itself as one of the most important entertainment companies in Mexico and Latin America, leading TV programming and exporting its productions worldwide. However, in recent years, particularly in 2024, a crisis in Televisa has surfaced, exposing long-standing issues and being at the center of several controversies that have affected its image and finances.
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What is happening with Televisa?
The year 2024 was a tough one for Televisa. The cancellation of iconic shows, the departure of key producers, the rejection of projects, and the restructuring of its content strategy, along with issues with some sponsors, are just a few of the challenges the company has faced. Additionally, investigations by the U.S. Department of Justice and the resignation of Emilio Azcárraga Jean from Grupo Televisa compound the situation.
The crisis at Televisa has also impacted its actors. One of the most drastic measures the company has taken is ending exclusive contracts. According to TV host Michelle Rubalcava, Televisa will terminate at least 10 exclusive contracts, affecting figures like Galilea Montijo and Andrea Legarreta. This measure aims to cut costs but also creates uncertainty among the company’s talents.
What changes are coming to Televisa in 2025?
To understand the scope of Televisa’s crisis, it is crucial to analyze the changes the company has announced for 2025. Some of the most significant include:
- Program cancellations: Comedy and drama shows like “Una familia de diez,” “Vecinos,” and “Como dice el dicho” have been canceled. Some of these programs will be rerun in 2025 while their future is decided.
- Departure of producers: Producer Giselle González did not renew her contract with Televisa after 30 years, representing a significant loss of talent that was a key part of the company.
- Rejection of projects: Several projects have been rejected, including the remake of “Código Postal” and the second season of “Las Aparicio” for the ViX platform.
- Strategy shift in telenovelas: Televisa will stop producing telenovelas for the 4:30 PM time slot, opting to rerun previous productions instead.
Key facts explaining Televisa’s crisis
As the saying goes, “the proof is in the pudding.” Here are ten key data points, according to Statista, documenting the complex situation Televisa is going through.
1. Decrease in assets
In 2023, Grupo Televisa’s total assets amounted to 262.67 billion Mexican pesos, a decrease of approximately 27.67 billion since 2019. This reflects a significant reduction in the company’s value.
2. Decline in Sky revenues
Sky, one of Televisa’s main divisions, generated revenues of 17.59 billion pesos in 2023, a 13.5% decline compared to the previous year. This drop in one of its key revenue sources highlights Televisa’s crisis.
3. Reduction in net cash
Televisa’s net cash in 2023 was 15.2 billion pesos, a significant drop from 27.27 billion in 2019. This indicates reduced liquidity and investment capacity for the company.
4. Increase in total equity
Although seemingly contradictory, Televisa’s total equity rose to 134.67 billion pesos in 2023, an increase of 29.27 billion since 2019. However, this growth does not offset the decline in assets and profitability.
5. Decline in profitability
Televisa’s operating profit was 2.66 billion pesos in 2023, a sharp decrease from 17.01 billion in 2019. This demonstrates that the company is generating fewer profits, deepening the crisis.
6. Loss of cable TV subscribers
Televisa had 4.06 million cable TV subscribers in 2023, a 9% decrease compared to the previous year. The loss of subscribers reflects the growing competition from streaming platforms and changing audience consumption habits.
7. Workforce reduction
Grupo Televisa employed 32,932 workers at the end of 2023, a significant decrease from 42,948 in 2019. This reduction in personnel is a cost-cutting measure but also reflects the crisis and need for restructuring.
8. Closure of Televisa Guerrero and other states
Televisa’s financial crisis has led to the closure of its local station in Guerrero, resulting in the dismissal of reporters, editors, and cameramen. Other states, such as Chiapas, have also seen local station closures.
9. Restructuring of TelevisaUnivision
Alfonso de Angoitia, Executive Chairman of TelevisaUnivision, acknowledged that the catalogs of Grupo Televisa and Univision have yet to operate in parallel, affecting financial efficiency and content integration.
He noted that the company is conducting a detailed review of its investments and operations to identify areas for optimization and resource rationalization.
10. Costly content and strategy changes
Daniel Alegre, CEO of TelevisaUnivision, emphasized that content is a crucial part of the plan to make the company more efficient. The company plans to integrate new programming ventures and continue successful productions. However, it will also focus on keeping costs low, ensuring investments are made in the right programming.
11. What is happening with Emilio Azcárraga?
Emilio Azcárraga, owner of Televisa, has stepped away from the company’s presidency due to an investigation by the U.S. Treasury Department over alleged resource misappropriation. This situation has contributed to Televisa’s crisis, generating instability in the company’s leadership.
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