oOh!media reported a 7% jump in revenue to $296.6 million for the half year to June as the company rides a surging outdoor media sector, with better results ahead from a series of contract wins.
Statutory net profit after tax was up 6% to $6.4 million. A fully franked interim dividend of 1.75 cents a share, an increase of 17%, was declared.
The company says revenue momentum is building, with double-digit sales growth in May and June.
And oOh!media’s September quarter media revenue is currently pacing 7% higher than the same quarter last year.
New contracts secured mean about $30 million in annualised revenue upside from mid-2024.
CEO Cathy O’Connor says the company is leveraging the strong growth in out-of-home (OOH) which continues to outperform other media formats.
Road format revenue was up 12%, ahead of pre-pandemic levels, up 33% on the same six months in 2019.
The recovery in air travel generated 73% revenue growth in the Fly category.
“While there has been no material change in status for leases expiring in CY23 since our last update in February, we continue to have positive active dialogue with our lease Partners,” says O’Connor.
“We remain confident that the strength of our market-leading OOH offering positions us well in these renewal processes.
“Separately, we continue to target new revenue opportunities to further enhance the diversity and scale of our metropolitan and suburban network.
“During the period we successfully secured three new contracts representing approximately $30 million in annualised revenue upside from mid-2024.
“These contracts, including Sydney Metro, Sydney Metro Martin Place Station and Woollahra Council, also provide significantly enhanced coverage across the key Sydney CBD and inner metropolitan market to deliver network advertising solutions for our customers.
“We continued to make good progress on our strategy which remains focused on driving revenue growth through leveraging our portfolio of existing assets with continued investments in digital and data capabilities to improve advertisers’ return on investment.
“We refreshed our data planning and attribution feed, partnering with Unpacked by Flybuys, Australia’s top-rated customer loyalty program, and DataX from Westpac.
“These new partnerships continue to position oOh! as offering best in class data-led planning and attribution insights to demonstrate the return on investment for customers’ OOH spend.”
Numbers for the half year to June:
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