Nine Entertainment says its earnings, led by a lift in TV advertising, for the December half are coming in better than forecast.
The company told its AGM last November it expected EBITDA (earnings before interest, taxes, depreciation, and amortisation) for the six months to be up by around 30%, compared to $251 million in 2019.
"Since this time, trading conditions have continued to improve," he company tiold the ASX.
EBITDA before specific Items for the six months to December is now expected to be up by more than 40%.
Nine’s December quarter is now expected to show growth in metro FTA advertising revenue of almost 20%, up from 15% forecast previously.
This means that the group‘s metro TV ad revenues in the December half are now expected to be up by around 1% on the same six months in 2019.
"Nine continues to believe that, given limited visibility of the second half advertising market, it is not in a position to provide guidance on earnings for the full year.
"Nine expects to be in a better position to address this at the half year results in February."
Nine posted its full year results in August, showing revenue up 17% to $2.17 billion but the media company posted a $508.78 million loss mainly on impairment of goodwill. Excluding special items, profit fell 17% to $155.4 million for the year to June.
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