SCA revenues and profits down in tough TV and radio market
Southern Cross Austereo – owner of the Today Network and Triple M radio stations along with the Southern Cross regional TV network – saw a fall in profits in the second half of 2012.
According to an update to the ASX today, the company saw revenues fall by nearly 10% to $327m for the half year. As a result, underlying profits before interest, taxation, depreciation and amortisation were down 15% to $64.9m.
The drop in revenues appeared to be as a result of tough markets across the board. Regional TV revenues were down by 16.5%, while regional radio was down by 1.8%. The metro radio business saw revenues fall by 6.1%.
The network acknowledged that the death of British nurse Jacintha Saldanha following a prank call had led to a “metro radio share loss exacerbated by on-air incidents”. However, it said that continuing financial impact of this was “immaterial”.
The company’s share price rose slightly today from 1.30 to 1.35.
Tim Burrowes founded Mumbrella in 2008. He worked on Mumbrella until 2021. At various points he was editor, content director and editor-at-large.
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