TVN Jumps as Profit Tops Estimates on Lower Costs: Warsaw Mover

TVN SA (TVN), Poland’s second-largest television network, jumped the most in three weeks after it posted a higher-than-expected net income in the third quarter.

The stock climbed as much as 3.8 percent, and traded 2.4 percent higher at 6.83 zloty, the biggest gain since Oct. 17, as of 11:05 a.m. in Warsaw. Turnover amounted to 173 percent of the three-month daily average. TVN has fallen 34 percent this year, while the WIG20 Index advanced 9.7 percent.

Its third-quarter profit stood at 62 million zloty ($19 million), compared to a 357.2 million-zloty loss a year earlier and 57.5 million-zloty profit median estimate of six analysts surveyed by Bloomberg.

“Results surprised on the upside due to excellent cost containment leading to better-than-expected profitability,” Leszek Iwaszko, an analyst at Societe Generale SA in Warsaw, said in a research note. “Importantly, TVN maintained its full- year guidance for the advertising market, expecting the fourth quarter to be similar to the third.”

TVN reiterated its forecast that the TV advertising market will fall 6 percent to 9 percent this year as Poland’s economic growth slows.

To contact the reporter on this story: Piotr Bujnicki in Warsaw at pbujnicki@bloomberg.net

To contact the editor responsible for this story: Gavin Serkin at gserkin@bloomberg.net

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