Nine blames profit and revenue falls on weak ad market
Nine Entertainment’s profit has fallen marginally, as has revenue which is down by 2 per cent, it revealed this morning in it’s half yearly results.
The company’s $88.8m profit result was down 6.7 per cent.
The company also announced a share buyback worth $150m over 12 months in a bid to shore up it’s share price which yesterday closed at $1.855. The share price rose 8.5 per cent in early trading today after news of the buyback broke.
The company’s EBITDA fell 9 per cent to $171m and it carries $491m in debt, down $47m from the previous reporting period.
….so nothing to do with an over bullish sales team, consistent under deliveries and CPM’s running through the roof then?
Have to agree with ‘agency guy’. Nine’s digital service level has dropped considerably over the last two years.
This is the just the first slide of what will be an ever deepening decline of a defunct business model. A share buy back is just ridiculous: $150m would surely by you better programming and staff….
We work in a supply and demand industry, as long as agency demand continues, so will CPM inflation.
Maybe too many people have communications degrees and not enough with business degrees.
So Nines measure of success includes share of spend on TV. Really? 40% of a shrinking pie won’t be attractive to shareholders.
@John – Couldn’t have summed it up better myself.