Southern Cross Media has today announced its financial results for the full year to 30 June 2015, with the radio and regional television business reporting a net loss after tax of $284.9 million.
The business reported its earnings before interest tax depreciation and amortisation (EBITDA) of $163.2m, with its net profit after tax excluding significant items, being $64.8m.
CEO Grant Blackley said: “The full year FY 2015 results reflect a weaker television advertising market and a reduced, but stabilised metro radio market share.
“Whilst the financial results have been disappointing, I am excited by the opportunities that the group presents and have begun implementing a number of strategic and operational initiatives that are focused not only on delivering short term improvements in financial performance, but positioning Southern Cross Austereo for long term success.”
Chairman Peter Bush announced a final fully franked dividend of 3.0 cents per share and this brings the full year dividend to 6.0 cents per share, a payout ratio of 67% on earnings per share excluding significant items.
In terms of advertising, the business's regional radio advertising revenue grew for the fourth consecutive year, increasing by 3.5%, and the business also reported that its digital revenues grew 13.1% year-on-year.
The results come just days are the first radio survey where SCA's Hamish and Andy were back in the mix, with the duo making a strong gain. Many commented that it wouldn't be the result SCA would be hoping for.
This is the first full-year results for Blackley who took the top job in May this year, and at the time he told AdNews that the business could definitely do better.
“I think we can distill a lot of continuous improvement that can go on within the organisation – we can definitely do better. The issue on our balance sheet is not one of gross financial mismanagement by the management or board, it's really a result of a big chunk of revenue we lost through a talent decision. Now that talent decision is way behind us and something that we're dealing with the consequences of.
“It's not as though there’s been poor fiscal management in that respect to do with the balance sheet and I think there’s a level of short-term tolerance from our shareholders. Certainly those I've spoken to understand that we are selling off some lazy assets and doing some other things while we focus on the main game, which is getting our revenue up and getting our audience up,” he said.
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