23 February 2017:  Nine Entertainment Co. has reported the Company’s interim results for the 2017 financial year. For the six months, the Company reported Revenue of $659m, Group EBITDA of $120m and Net Profit After Tax, pre Specific Items, of $75m.  
 
Specific Items of $312m after tax were also reported, primarily an accounting-led $260m non-cash impairment of goodwill and the $85m Warner Bros. settlement announced in August 2016. Net Loss After Tax, inclusive of Specific Items, was $237m.
 
Highlights for the period include:
 
– Dominant ratings performance post Olympics
– Vastly improved ratings performance for the start of season 2017 
–       – Continuing cost discipline across each division, with group-wide costs down 4%
– Growth in affiliate revenue 
– 71% growth in registered users and 74% growth in catch up streams at 9Now across 6 months
– Strong subscriber additions at Stan, especially over summer
– 4.5 cent fully franked interim dividend
 
Hugh Marks, Chief Executive Officer of Nine Entertainment Co. said: 
“We are very pleased with the progress we have made in the past six months and have delivered on our commitment to compete more effectively in Free To Air television at the start of the 2017 ratings year. 
And the hard work we continue to do on costs means we are highly leveraged to benefit from the flow-on effect of our audience gains on revenue share.”
 
The more positive start to Nine’s ratings year should begin translating to revenues in Q4 FY17 and give Nine positive momentum into FY18. 
In FY17, FTA reported costs are expected to be down 1.5%, as stated at the AGM in November.  The Group is also progressing plans to achieve further efficiencies, with an additional $50m reduction in costs targeted by FY19. Digital expects to further progress recent initiatives in 9Now, 9Honey and Car Advice, with the second half focus turning to more effective monetization.
Hugh Marks added, “Our unique and complementary mix of television and digital assets continues to meet the changing needs of our audiences, providing an important and diverse foundation for Nine’s growth”.
 
 
For further information, please contact Nine Network Publicity:
Nic Christensen
nchristensen@nine.com.au
0404 460 607
02 9156 6923