Macquarie Media has posted “disappointing” earning results for the past financial year but remains confident it will bounce back following a shake-up of its scheduling.
The broadcaster, which is majority-owned by Nine, reported an underlying net profit after tax of $14.4 million, a 33% drop from the prior year. Revenue for the business was $131.8 million, a fall of 3.3% from the prior year.
Adam Lang, Macquarie Media CEO, acknowledged it was a “disappointing” outcome for shareholders.
“While these results are within the range of our May 2019 guidance for full year 2019 earnings … we recognise that this outcome is disappointing for our shareholders,” Lang says.
“The Macquarie Media strategy is to leverage our market leading audience into a greater financial return. We have executed significant changes to improve customer service to our audience and clients and, ultimately, deliver a better return for our shareholders.”
The broadcaster recently refreshed its line-up with long-time 2GB host Chris Smith departing in July, to the anger of some listeners. Smith was replaced by Steve Price, who previously hosted the station’s night program, and is now regularly joined by Karl Stefanovic.
While commenting on the drop in revenue, Macquarie Media said it was impacted by the NSW and federal elections, a weak housing market and variable business and consumer confidence.
“While advertising conditions remain subdued, we are encouraged by our audience growth, our improving capacity to engage advertisers and our continued drive for efficiencies to deliver a strong return for shareholders in the Financial Year 2020,” Lang says.
This comes just a day after the TV body ThinkTV put weaker TV advertising down to poor consumer and business confidence.
Macquarie Media's numbers in detail:
Macquarie Media's results for the financial year
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