Report: ANALYSIS OF THE FINANCIAL EFFICIENCY OF THE MEDIA SECTOR IN THE REPUBLIC OF CROATIA

While the media sector in Croatia plays a crucial role in informing the public, shaping public opinion, and fostering democratic processes, it faces various challenges, such as technological changes, shifts in consumer habits, and economic and regulatory pressures. This study offers a unique analysis of the media sector in Croatia, particularly focused on the financial sustainability of media companies.

The objective of this analysis was to address the following key questions:

1. What are the key factors influencing the financial efficiency of media companies in the Republic of Croatia?
2. What is the average level of efficiency among media companies in Croatia, and how has this efficiency changed over time?
3. Are there significant differences in financial efficiency among different types of media companies (subsectors within the media sector)?
4. How do external factors, such as economic cycles, impact the financial sustainability of media companies in Croatia?

To answer these questions, the analysis utilized data from the Financial Agency (FINA) on the business performance of companies in the Croatian media sector. The study covers a two-decade period, from 2002 to 2022, allowing for an in-depth examination of long-term trends and changes in financial efficiency, as well as the identification of key periods and events that have influenced the business operations of media companies.

The analysis comprised two main components:
• An examination of changes in selected financial indicators over time
• An analysis of the structure of financial statements

Authors: Nebojša Stojčić, PhD