Bundling Foxtel pays dividends for Telstra as media division homes in on $1bn

August 11, 2016 10:39

Telstra has seen its media portfolio grow by 4.6% and is fast approaching becoming a billion-dollar division, led by a successful bundling drive for Foxtel and Telstra.

Overall Foxtel subscriber numbers were up 4.6% to 2.9m, although this figure continues to include a couple of hundred thousand subscribers to low-margin streaming service Presto.

Telstra’s overall net profit after tax from continuing and discontinued operations was up 35.9% to $5.8bn.

But Foxtel in its own right has seen a drop in earnings before interest, tax, amortisation and depreciation (EBITA), down by 2.2% due to increased investment in programming to support subscriber growth as well as the continued investment in Presto.

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Simon Canning

Simon Canning was Mumbrella's marketing and advertising editor from 2015-2017. In a career spanning journalism and communications over more than 30 years Simon has become one of Australia’s most respected analysts and commentators on the advertising, marketing and media industries. A regular commentator on radio and TV, Simon has also worked in media in the US and UK .

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