Macquarie Radio revenue declines as Smart Radio drains profits

Revenues have declined for Macquarie Radio with the network admitting regional network Smart Radio has been a drain on profits despite the continuing dominance of Sydney station 2GB.

Half year financial results for the network show the revenues dropped by seven per cent to $29.4m in the six months to December last year when compared with the corresponding period of 2012.

After the results were released yesterday shares in the company fell 13.6 per cent on the Australian Securities Exchange, dropping from $1.36 to $1.18.

Russell Tate, executive chairman of the Macquarie Radio Network (MRN) said the network was not able to successfully run the regional stations it had bought from the Smart Radio Network in 2011 for $6m.