European streaming service Viaplay has ousted its chief executive and warned on profits, sending shares in the group known for Nordic drama down by more than 50 per cent.
In a press release issued in the early hours of Monday, Viaplay said Anders Jensen would be replaced as chief executive by Jorgen Madsen Lindemann, former head of MTG, the ex-parent company of Viaplay.
The Swedish group, which saw itself as a European rival to Netflix, said it now expected to report an operating loss of SKr400mn-SKr700mn ($37mn-$65mn) and withdrew its long-term guidance for sales, subscriber and profit growth.
It blamed factors including lower demand for streaming subscriptions, an “accelerated deterioration” in Nordic TV and radio advertising, and a slowing of its cost-cutting programme.
Shares in the company plunged by almost 60 per cent in early trading on Monday.
Source: Financial Times