Southern Cross posts profit slide, axes dividend
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The news: Southern Cross Austereo has posted a 49% profit slide for the 2024 fiscal year and declared that it will not pay a final dividend as it renews the sale process for a bundle of regional television assets.
The numbers: Southern Cross raked in $499.4 million in revenue for the 2024 financial year, down 1% on the previous year. Earnings before interest, taxes, depreciation and amortisation was down 14.3% to $66.2 million.
Underlying net profit after tax was $11.2 million, down 49% on the previous year. Southern Cross declared that there will be no final dividend for the fiscal year.
The context: The company said its digital audio platform LiSTNR achieved underlying EBITDA profitability into the fourth quarter in line with forecast, while digital revenues came in at $35 million, up 42% on the year previous.
The company said it has also restarted a strategic review of “non-core regional television assets” and is in active negotiations with several parties over possible acquisitions.
What they said: “SCA maintained dominant audience shares in our core metro and regional radio and digital audio markets during FY24,” Southern Cross chief executive John Kelly said in a statement.
“Despite challenging advertising market conditions, our improved financial performance in the second half has provided strong momentum into the new financial year. Our national leadership in the core buying demographics for men and women aged 25-54 provides our sales teams with a strong platform for continued growth into FY25.”
The source: ASX release
