Broadcaster SCA lifted its audio revenue 15% in the September quarter as the advertising market continues its recovery from the pandemic in 2020.
CEO Grant Blackley told the company's AGM the recovery has been slowed by the impact of the prolonged lockdowns in New South Wales and Victoria.
But SCA’s broad portfolio of assets covering 57 locations around Australia partially insulated the company from adverse impacts, he says.
SCA also benefited from exposure to regional television, which has been less affected by the lockdowns and has performed in line with expectations following transition to its new affiliation with Network 10 from July.
"The re-opening of New South Wales earlier this week and the plans to re-open Victoria from late October have positively stimulated advertising activity and we are seeing improving booking demand into November and December," he says.
'We have remained vigilant and disciplined in managing our controllable costs to mitigate the adverse impacts of weaker markets over the past two months.
"Let me thank our people for their expertise, passion, and commitment in overcoming the many challenges of the last 18 months.
"That same expertise, passion, and commitment will drive our success in the years ahead."
SCA's net profit after tax improved by 91.6% to $48.1 million in the year to June.
Chairman Rob Murray told the AGM challenges remain despite the group’s healthy financial position.
"The COVID-19 pandemic continues to create uncertainty for all of us and seems likely to do so for some time," he says.
"While advertising spending by retail, home furnishing, construction, finance, and government recovered or grew during the last financial year, our advertising clients in many other categories continued to be heavily affected by the pandemic. These include automotive industries, live entertainment, travel, accommodation, cinemas, theme parks, and sport.
"With the long lockdowns in New South Wales and Victoria expected to taper off and end in coming weeks, there is some light at the end of the tunnel for these sectors."
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