ARN puts 2025 in the rearview as revenue and profits fall
ARN's CEO Michael Stephenson told investors that 2025 was a transitional year -- and pointed toward a bright multi-format future
ARN is writing 2025 off as “a year of transition”, as net profits dropped by 68% and the company hacked away at costs.
During the investor call on Wednesday morning, new CEO Michael Stephenson sold investors on the future shape of ARN, where it can “create and distribute content across multiple platforms and monetise that content off the one cost base.”
Stephenson said that 2025 was all about transformation, a year that saw the company cutting costs and resetting its strategy.
In the Directors Report – Summary of Financial performance from continued operations – NPAT attributable to Shareholders is only 4.8 million down from 16.9 million (so down over 70%). Not only do they have overall net debt of 68 million. In terms of talent remuneration they owe Kyle and Jackie more than ARN is worth in Market Cap – Liquidate it, walk away from K&J, find a buyer and start again
The reported liability to K+J is $20m per year. You may be thinking of the headline that they had a $200m deal across ten years.
Tim – Mumbrella
Hi Tim – my understanding is that K&J are only 3 years into the deal (could be wrong) that would mean ARN still owes / has a liability of $140million – more than current mkt cap which will be about 109 million tomorrow
What a debacle!!
I do hope the previous CEO and senior executives are living comfortably, on money they squirreled away during their, highly remunerated, time with the company.
Some blame should be directed at the Board though. Seems many of the members have been asleep at the wheel!