Fairfax profits fall as Domain costs increase
Domain costs are expected to increase by 13% percent over last year’s $206 million as Fairfax’s overall group profits have fallen by more than 4%, the company has stated in a trading update to the ASX this afternoon.
The market update was made ahead of the company’s lodgement of the Domain separation scheme booklet on Friday.
Another big drop coming in January when Chrome blocks the annoying autoplay video ads across SMH.
https://www.gizmodo.com.au/2017/09/chrome-will-soon-block-autoplay-videos-with-soundheres-why-you-should-be-worried/
looks like the whole Hywood-Catalano fandango is going fast off the rails. The traditional business is crashing revenue while the Domain construct shows big revenue gains and big cost leaps. Presumably Catalano is spending big on Domain only content and his side ventures. But it’s not a good look when Domain is already a long way behind REA on profit margin. And Domain has yet to load up with new overheads to go with its queer partial float and asx listing.
Judging from these numbers The two playboys will need to rush if they’re to get the new trick going before Fairfax print products tip into the abyss.
Re the decline of the traditional business (metro and community mastheads): The most recent SMI figures show that Digital revenue is now falling at a faster rate than print. So much for digital being the future of the business. https://mumbrella.com.au/newspaper-advertising-spend-revealed-fall-third-august-472150.