Ooh Media reports strong growth on back of digital gains
Ooh Media’s rapidly growing digital portfolio was a key driver of revenue, generating 60% of the out of home company’s total revenue for CY17 according to the company’s annual results released this morning.
The out of home giant, which also owns Junkee Media, Cactus Imaging and Executive Channel Network (ECN), reported $380.3m in revenue, up 13.1% in 2017.
Ooh Media finished the year with an increase in revenue and profit
The result is up 8 percentage points from the half year results, which saw digital make up 52% of 173m in revenue.
Underlying earnings before interest, tax, depreciation and amortisation (EBITDA) was up 25% to $87.9m while Net Profit After Tax (NPAT) climbed by 35.5% to $33.1m.
Costs of media sites and production for the out of home company rose from $336,142 in CY16 to $380.276m.
Meanwhile ‘other revenues, which including ECN and Junkee Media, rose from $7.648m in CY16 to $18.283m last year.
Longstanding Ooh Media CEO Brendon Cook’s base salary was $622,259 in 2017, while shares granted under his short term incentive plan amounted to $317,803.
His achievements – as outlined in the annual financial report – included significant growth in revenue, EBITDA and NPAT, as well as growing the business during the proposed merger between Ooh and APN Outdoor. His successful integration of 2016 acquistions ECN, Cactus Imaging and Junkee Media were also mentioned.
Of Ooh Media’ categories – road, retail, fly, Locate by Ooh! and ‘other’ all saw revenue growth in CY17, with retail climbing 15.7% to $126.3m and Located by Ooh! gaining by 17.4% to $34m.
Ooh Media’s New Zealand arm saw a fall of 2.2% from $9.8m to $9.6m in revenue.
Of the final results, Cook said it was a “quality financial result” in the stock market announcement.
“While the out of home sector has performed strongly, we’re growing our business faster than the out of home market by continuing to lead the market in delivering innovative solutions for clients to integrate data and content as part of our audience-led strategy across our network,” Cook said.
He said the “diversity” and “scale” of the product combined with engaging content has provided advertisers with a “compelling” offering.
“We are confident that our investments in our portfolio, data capability, systems and people provide us further opportunity to leverage the scale of our platform to deliver the next phase of revenue growth and sustainable value creation for shareholders,” he said.
Following today’s results, the board of directors have provided guidance of EBITDA between $94m-$99m for the 2018 calendar year.
How did a faulty digital billboard make the front page of the annual report? Look at the bottom 25 digital panels, all not working and half of Corey Bernadi’s head and headlines are missing!
User ID not verified.