Nine’s profit slumps by 31 per cent
Profits at media giant Nine Entertainment have fallen by almost a third to $134 million for the full year, after rival Seven’s profit also nosedived.
Nine Entertainment’s accounts released to the share market Wednesday showed its statutory net profits dropped by 31 per cent in 2023/24.
“In a year of challenging economic and advertising market conditions, there were some clear positives in this result,” chief executive Mike Sneesby said.
In the current financial year, Nine recently had strong audiences and revenue across multiple platforms thanks to its broadcast of the Paris Olympics, and the network is covering the Paralympics.
Nine has spent $305 million to secure the Olympic broadcast rights including the games in Brisbane in 2032.
“The Olympics in Paris proved to be an enormously successful event for us and one that clearly demonstrates the merits of our strategy and significantly enhances our future positioning,” Sneesby said.
Nine’s revenue stands at $2.6 billion, down by three per cent, with earnings before interest, taxes and depreciation at $517 million, down 12 per cent.
The publisher of The Sydney Morning Herald and The Age cut costs by $65 million during 2023/24 and in June said it would eliminate 200 jobs, or about four per cent of its almost 5000 staff.
The new chair of Nine, Catherine West said the company was performing well in a challenging market.
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A fully franked dividend of 4.5 cents per share will be payable on October 24.
Seven West Media earlier this month reported that profits had slumped by 69 per cent to $45 million, amid bad publicity and a report on a “toxic” culture at its TV network.
– with AAP
