SCA reports strengthening radio market in half year results

By AdNews | 24 February 2022
 
Credit: Victor Freitas via Unsplash

Broadcaster SCA released its half year results showing improved earnings but flat revenue and reduced profit.

SCA grew underlying EBITDA 16.3% to $46.5 million for the six months to December. The company will pay a fully franked dividend of 4.5 cents per share

Revenue was flat at $259.8 million and net profit after tax down 48% to $16.8 million. 

CEO Grant Blackley: “The recovery in advertising markets continues to strengthen but is uneven, with Omicron related disruptions tempering the strong momentum from November and December. 

"January Audio revenue rose 3%. SCA’s Q3 Audio revenues are expected to finish with mid-single digit growth on the prior year, while television revenues are expected to deliver a result consistent with H1.

“Advertising markets in Q4 are expected to benefit from a normalising market, improving consumer and business demand and the upcoming Federal Election."

Half year numbers:

sca half year dec 2021

Audio revenue grew 11.5% to $193.8 million, strengthening in broadcast radio markets coupled with accelerating growth in digital audio markets.

Broadcast audio revenue grew by 10.3% to $183.3 million. Metro revenue grew by 13.8%, reflecting not only market growth but an improved commercial share for SCA’s metro radio stations. Regional revenue lifted 4.9% as local markets continue to recover.

SCA’s digital audio revenue outpaced growth in the market increasing by 36.8% to $10.5 million. LiSTNR has over 500,000 signed-up users since launch in February 2021.

Television EBITDA (excluding federal grfantys JobKeeper and PING) grew 27.3% to $17.5 million. The primary driver was SCA’s market leading sales performance. 

 

 

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