Key developments

Overall, the media sector in Australia and New Zealand have struggled to maintain their position over the last year with the deterioration of economic conditions. Economic growth is sluggish relative to previous years, and the impact on advertising continues to depress valuations for ad-dependent stocks.

ARN Media

ARN Media’s shares fell close to 20% during the last month, as the company released its 2024 half yearly results which featured 4% prior corresponding period revenue growth from $168.1m of revenue and 10% prior corresponding period EBITDA growth from $35.5m of EBITDA. The share price decline may be attributed to the fall in NPAT (-19% prior corresponding period NPAT growth from $10.4m of NPAT) and the slashing of the dividend from 3.5cps in HY23 to 1.2cps in HY24.

Southern Cross Media

Southern Cross Media’s stock fell over 20% during the month, with the company releasing its full year FY24 results which entailed -1% YoY revenue growth from $499.4m of revenue and -14% YoY EBITDA growth from $66.2m of EBITDA. The company noted that Digital revenue growth of 42% helped to offset declines in Broadcast Radio (-1.7% decline) and TV (-8.6% decline).

GTN

GTN’s stock rose 21.5% over the past month, with the company releasing its full year FY24 results which saw GTN recording 4% YoY revenue growth from $182.2m of revenue, and 15% YoY EBITDA growth from $22.3m of EBITDA. Management pointed to strong growth in the company’s Brazil and UK based revenues, and a lower overhead cost base helping to drive performance.

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