Nine Entertainment reported falls in revenue and profit in a "weak" advertising market for the half year to December.
Revenue fell 2% to $1.37 billion in the six months. Net profit after tax was down 21% to $149.5 million.
Nine says the advertising market remains difficult in the current March quarter with Metro free-to-air revenue expected to be down in the mid teens (%) on the same quarter last year.
Across total television, Nine’s revenue fell by 9% in the half to December due to the advertising market and "challenging" broader economy.
Nine Network reported a revenue decline of 11% to $508 million.
The metro free to air advertising market fell 13%, with Nine attaining a share of 39%, Nine’s Metro revenue share for the 2023 calendar year, the basis of group agency deals, was 40.4%, up marginally on CY22, and a more than 20-year high.
“Notwithstanding the impact of challenging economic conditions on the broader advertising market, the breadth of Nine’s business underpinned some key operational highlights across the half," says CEO Mike Sneesby.
"I am particularly pleased with the performance of our subscription businesses - with Subscription and Licensing revenues at Nine’s wholly owned businesses, Stan and Publishing, together growing by around 8%, to more than 30% of group revenue ex Domain.
"At Stan, 11% revenue growth (to $228.4 million) and more than 40% EBITDA growth is testament to Stan’s strong positioning in Originals and Sport which continues to pay off, as well as its focus on cost efficiencies.
"Within Publishing, the 9% growth in digital subscription and licensing revenue at our metro mastheads, inclusive of price increases, more than offset the decline in print subscription revenue."
Numbers for the half year to December 2023:
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