Conversant Media contributes $4.2m to HT&E’s annual revenue, but EBITDA is just $0.3m
Conversant Media has posted $4.2m in revenue in its first year under Here There & Everywhere ownership, but its earnings before interest, tax, depreciation and amortisation (EBITDA) was only $300,000, new financial figures from HT&E show.
The launch of video platform Club Roar cost the company $320,000.
The publisher was acquired by APN News & Media (later rebranded as HT&E) in October 2016 as part of what was deemed a commitment to digital investment. At the time, APN News & Media bought the publisher for $11.6m plus earn outs.
Meanwhile, the company’s other acquisition, Adshel, posted a revenue of $221.3m, up 7.5% year on year. EBITDA also climbed, up 11.3% from $46.2m in 2016 to $51.5m in 2017.
Costs also increased to $169.8m.
HT&E’s latest revenue figures. Source: HT&E
HT&E’s Australian Radio Network (ARN) saw revenue dip for calendar year 2017, down 0.6% to $218.7m . While the company’s costs remain relatively stagnant, EBITDA also slipped, down $2.3m to $83.1m in 2017.
ARN – the owner of Kiis, Gold and WSFM – finished the year with the number one national 10+ network position in radio surveys five to eight.
Overall, HT&E’s revenue climbed an additional 28%, to $472.3m. EBITDA was up 30% to $118.4m and the company’s net profit after tax was $54.1m.
The 2017 financial results come after the outdoor, radio and digital company sold its Australian Regional Media business to News Corp and divested its New Zealand print business.
HT&E’s latest results suggest it has been freed from the loss-making print operations which saw its statutory net loss plunge to $257m in the six month to June 30, 2016.
Ciaran Davis, HT&E CEO and managing director, pointed to the momentum of the radio and outdoor businesses.
“Regaining and retaining the number one position was a key priority for ARN in 2017, which subsequently delivered the best ratings year in its history, and we finished 2017 as the leading national radio network in Australia,” Davis said.
“Adshel continued to outperform the market in terms of revenue share and we are actively pursuing new contracts, having already secured the Metro Trains Melbourne contract for seven years.
“In line with our strategy, we have expanded our portfolio of digital investments, including entering the strong growth area of e-sports. We are increasingly of the view that e-sports will be compelling for advertisers, with a growing fan base made up of a valuable, younger demographic.
“Development of the division is ahead of schedule, with Dell signed on as presenting partner, and an exclusive deal secured with Hoyts cinemas to build a dedicated state-of-the-art e-sports arena in Sydney, and long-term prospects to extend that with venues across Australia.”
