QMS Media posts 78% revenue jump in first half
Melbourne-based QMS Media has capitalised on the strong year in out-of-home, with revenue rising 78% for the first half of the 2017 financial year.
QMS has upgraded its outlook for the full year.
The company saw revenue rise from $44.4m in the first half of the 2016 financial year to $79m on the back of the acquisition of iSite in New Zealand in 2016.
The lift was matched by underlying earnings before interest, tax, depreciation and amortisation (EBITDA) which rose 67% to $17.9m, while net profit after tax rose to $7.5m, up 32%.
Revenue from digital media accounted for 43% of total group media revenue and 66% of Australian media revenue.
The result comes a week after Ooh Media announced a 20% jump in revenue and APN Outdoor also revealed a record result ahead of the two companies merging, which is expected to receive approval in coming weeks.
The outdoor industry has remained bullish as advertisers capitalise on the growth in digital signage.
QMS managing director and CEO Barclay Nettlefold said the company had benefitted from advertisers employing more co-ordinated and targeted campaigns.
“Our strong result reflects the continued delivery of our organic digital development strategy, and the strong performance of our New Zealand business following the acquisition and integration of iSite in FY16,” Nettlefold said.
“Our landmark digital roll-out is progressing ahead of expectations, and we are on track to exceed our original target, with over 68 sites now expected to be switched on by the end of the financial year. The media landscape is continuing to evolve toward more co-ordinated and targeted campaigns, and we are well placed to unlock additional value from our portfolio by leveraging customised, dynamic digital content across multiple platforms.”
He said the ongoing development of QMS Sport was also playing a role supporting the business with investments in OAMM, LIVE Docklands and Sportsmate completed in the first half.
QMS has predicted a full year EBITDA of $37m with an upgraded outlook for the remainder of the year.
