SCA sees fall in profits and revenues
Southern Cross Austereo has revealed a drop in profits and revenues in the last financial year.
Although on air scandals did have an impact on the company’s metro radio share, the biggest hit came from the poor performance of its regional TV operation.
Revenue for the company was down by 6.5 per cent to $642m and EBITDA profits were down by 6.6 per cent to $210.9m.
However, the company’s regional TV business was down 12.9 per cent to $214.4m. The Southern Cross network has affiliate agreements with Seven and Ten. The fall came mainly as a result of declining ratings for Ten. SCA has a market capitalisation of just over $1bn.
And if you look at the detailed annual report it paints a pretty poor picture for their metro radio business – revenue down 11m, Ebitda down, audience share down across key demos with increased marketing spend. Not a great report card for them
Pretty sluggish all round but regional TV has fallen off a cliff last 2 years. F11 close to $270m in regional TV, F13 $214m in regional TV.
NPAT stable YOY but this stability is due to 11m profit on an asset sale.
How can the management at SCA continue to bury their heads in the sand over their responsibility to manage their ‘announcer incidents’ and deliver well below par annual results. They are incompetent and should be held accountable for these poor business results. The radio business is in pretty poor shape
Its one thing to critisize the results by themselves but how do the results stack up against competitors. I think you will find the results are much more positive
@mumbs I think you’ll find your very wrong. ARN and DMG are both growing nicely from what I hear