ProSiebenSat.1, a prominent German media company, has unveiled a strategic restructuring initiative involving the elimination of approximately 430 full-time positions. This cost-cutting measure is designed to fuel the company's digital transformation and enhance overall efficiency.
The job reductions, agreed upon with employee representatives, will be facilitated through a voluntary redundancy program. ProSiebenSat.1 emphasized the necessity of streamlining its organizational structure to navigate the evolving media landscape. A one-time restructuring charge, anticipated to fall within the mid to high double-digit million euro range, is projected for the second quarter of 2025. Although this will affect net income and free cash flow, the company assures that adjusted EBITDA and adjusted net income will remain unaffected.
The company anticipates realizing substantial financial gains from reduced staffing and material costs, starting in the latter half of 2025. These savings are projected to reach mid double-digit million euros for the year, escalating to a high double-digit million euro annual amount by 2026. “We have a clear strategy and are implementing it consistently. At the same time, the economic environment remains very challenging for us. This makes it all the more important that we continually strengthen our competitiveness and improve our cost structure,” stated Bert Habets, Group CEO of ProSiebenSat.1. “Against this backdrop, the announced job cuts are a difficult, but necessary decision. In order to adapt to the profound structural change in the media industry and return to sustainable growth, we must become even faster, more efficient, and more digital. With our new structure and the planned measures, we are setting the course for this,” added Habets.