ARN Media reported revenue down 4% to $165.9 million for the half year to June as advertising revenue from radio dipped.
The company says radio advertising revenue was impacted by reduced consumer spend and a slowing of the economy, partly offset by growth in digital audio revenues.
However, the company says it's seeing "improved revenue conditions" in the current September quarter.
Net profit almost doubled to $52.5 million, mainly due to the disposal of the group’s investment in Soprano Design for $66.3 million cash in March.
iHeartRadio platform continues to grow, up 12%, with more than 2.5 million registrations.
ARN advertising revenues of $151.2 million were down 4%. ARN metropolitan advertising revenues in the period were back 7%.
However, ARN digital audio advertising revenue hit $8.8 million, up 37%.
“Despite ongoing challenges in local advertising markets stemming from macro-economic conditions, we remain confident in our All Audio strategy to build an integrated audio business by leveraging the strength of our metro and regional broadcast radio assets and growing digital audio listenership and revenue streams,” the company told the ASX.
“Key to our DNA is our continued investment in creating a culture where our people can thrive and deliver their best work, under the Culture in Action framework.
“Now over two years into this important journey, we are not resting on our recent successes, but are very pleased with the progress made to date.
“As a business, we recognise the importance of inclusion and national reconciliation and have commenced the important process of preparing a Reconciliation Action Plan, which will be completed over the next 12 – 18 months, under our structured ESG program, named ‘Intune @ARN’.”
ARN monthly average podcast listening increased 23% to 6.6 million people.
iHeartRadio platform continues to grow, up 12%, with more than 2.5 million registrations.
CEO Ciaran Davis says he's seeing increasingly positive trends in all of audio measurement metrics.
"Metro commercial radio audiences continue to grow in listener numbers, in key day part listening and the amount of content consumed, with the latest industry survey showing 82% of the metro population aged 10 years and older listened to radio in the past 7 days, which is an extraordinary indicator of the power of audio," he says.
“Our regional network continues to deliver over 147 localised shows, more than any other Australian audio broadcaster, and our leadership in podcasting resulted in a significant lift in digital audio advertising spend, making it the fastest growing category of all general display advertising.
“ARN Media is seeing improved revenue conditions in quarter three after gaining market share in July and we are confident our ‘All Audio’ strategy will deliver a strong and integrated audio business for listeners and clients.”
Numbers for the half year to June 2023:
Have something to say on this? Share your views in the comments section below. Or if you have a news story or tip-off, drop us a line at adnews@yaffa.com.au
Sign up to the AdNews newsletter, like us on Facebook or follow us on Twitter for breaking stories and campaigns throughout the day.