A robust ad market has helped Seven West Media deliver an interim net profit rise of 3 per cent as chief executive James Warburton heralds a successful turnaround of the Kerry Stokes-controlled media company.James Alcock
The company, which is primarily a free-to-air television business, reported earnings before interest, tax, depreciation and amortisation of $215.3 million for the fiscal half year, up 31 per cent on the prior year. The company upgraded its full-year group EBITDA guidance to between $315 million and $325 million. It had previously said it would exceed EBITDA of $260 million by between 7 per cent and 10 per cent.
“This result reflects the successful execution of our strategy over the past 30 months. We have a television network that has returned to the #1 position in a robust advertising market; a fast-growing digital business that now makes up 35 per cent of earnings; a turnaround at WAN; and a team focused on growth,” Mr Warburton said.“We have completed the acquisition of the assets of Prime Media Group, which unlocks an unrivalled opportunity for the business to capture a greater share of the $3.
A robust TV advertising market drove the strong result, with revenue from ordinary activities up 27 per cent to $818.4 million, with the net profit result of $120.5 million, up 3.2 per cent.