APN News and Media has reported a $256.9 million loss in the six months to 30 June as it continues with its “transformation plan” to move out of publishing assets.
The result is a fall from the $7.5m profit reported in the previous corresponding period.
The company has been looking to sell out of its print assets including selling New Zealand publisher NZME to Fairfax and divesting out of regional media unit ARM.
It moved to split out its results into discontinued operations, which includes its publishing assets and continuing operations which is focused on Australian Radio Network (ARN), Adshel and its Hong Kong outdoor assets.
Discontinued operations saw a loss of $249.3m over the period from $21.5m profit in the previous period. Revenue for continuing operations however was $129.1m, relatively flat from the 2015 half which reached $129.4m.
APN CEO Ciaran Davis says the past six months has seen the group complete al of its key objectives, namely the sale of ARM, with the goal of having “zero exposure to traditional publishing assets, and 100% exposure to growth media assets with good cash flow profiles”.
“This is a game changer for APN and our strategic priorities for APN are clear,” Davis says. “We are going to focus our energy and investment on those areas of the business that will deliver the greatest shareholder returns.
“For ARN that means investing in new business and digital initiatives aimed at growing audiences, particularly our younger audience, and delivering content across multiple platforms. Adshel's priority is to continue to drive above market growth with an ongoing roll-out of its digital network.”
ARN reported business revenue growth of 10% year on year to $114.8m with earnings before interest, taxes, depreciation and amortisation (EBITDA) also increasing 10% to $40.2m
Adshel's year on year revenue growth was 15% to $82.8m while EBITDA grew 25% to 18.0m.
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