Seven records profit, slashes debt pile, and sets sights on continued cost cuts

Seven West Media has reported a net profit of $116.4 million for the half year ending 26 December, and revealed it has slashed its significant debt pile by 42% to $329 million, landing in a “significantly improved financial position”. The group’s revenue was down 9.9% to $644.2 million for the six month period, driven by a lower TV revenue share and the ongoing effects of the COVID-19 pandemic.

Chief executive James Warburton also confirmed the media company’s $170 million cost savings program is on track, with a further $30 million in cuts identified, including “onerous sports contracts”.

At the end of last year, Seven escalated its dispute with Cricket Australia by lodging Federal Court proceedings, putting a question mark over the $450 million broadcasting deal Seven wants to pay less for. Mid last year, the TV network also struck a new deal with the AFL, resulting in $87 million of ‘net benefits’.

Subscribe to keep reading

Join Mumbrella Pro to access the Mumbrella archive and read our premium analysis of everything under the media and marketing umbrella.

Subscribe

Get the latest media and marketing industry news (and views) direct to your inbox.

Sign up to the free Mumbrella newsletter now.

"*" indicates required fields

 

SUBSCRIBE

Sign up to our free daily update to get the latest in media and marketing.