Fairfax Media has posted its full-year 2014/2015 financial results with the publisher's net profit after tax sitting at $82.3 million, which is down 63% from $224.4 million in the last financial year.
The publisher's revenue also fell 5.3% compared to the previous corresponding period, with the business bringing in $1,867.2 million in the last financial year.
Chief executive and managing director of the business, Greg Hywood, is positive about the results however saying: “Fairfax has today reported top-line growth for continuing businesses for a full year for the first time in eight years.
“Overall revenue grew 0.3%, a key driver of which was the 45% increase in Domain Group revenue.”
“Through organic growth initiatives and acquisitions we are moving to a position where the growth in our digital revenue offsets the decline in print,” Hywood added.
Hywood explained that the business is investing in its growth businesses and ventures – which include Domain, Life Media and Events, as well as streaming joint-venture Stan. Such investments he said saw a total of $39 million in additional growth-related operating expenses was introduced in FY15, which together with the impact of acquisitions, lifted group operating expenses by 0.5%.
“Excluding the investment in these new opportunities, the impact of acquisitions and some one - time costs, Group expenses were down around 4%,” he said.
When discussing the metropolitan media arm of the business, Hywood explained that for the full year, overall revenue increased 3.3%, notwithstanding the impact of the sale of Stayz and merger of RSVP with Oasis Active.
Contributing to this result is the consolidation of Metropolitan Media Publishing (MMP) following the move to full ownership, the very strong underlying momentum in Domain and Events, and growth in digital subscription revenue.
“Print advertising revenue only declined 0.5%, reflecting the acquisition of MMP. Excluding MMP, print advertising revenue was 11% lower for the full year, in line with the first half trend.
“Overall costs in the division increased 0.3% reflecting the consolidation of MMP costs and the ongoing operational investment in Domain.
“Adjusted EBITDA for the Metro division increased almost 30% as a result of the revenue uplift and cost control in metropolitan publishing.”
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