APN News & Media has released its annual result for the 12 months ending 31 December 2010. Revenue was up 2.8% to $1,059.1m, Earnings Before Interest and Tax (EBIT) was up 8.7% to $205.4m and Net Profit After Tax (before exceptional items and discontinued operations) was up 9.5% to $103.1m.
The company has declared a partially franked final dividend of 7 cents per share, payable on 31 March 2011. Together with the interim dividend of 5 cents per share, this represents an annual dividend of 12 cents per share.
APN’s Radio division increased revenue by 3%, but profit was still elusive for both the Australian and New Zealand Radio Divisions as costs rose. APN’s Outdoor Division leads the recovery with EBIT growth of 79%.
“Radio, in both Australia and New Zealand, has continued the momentum it built during late 2010 to be ahead of the prior year in both revenue and earnings.”
In Australia, APN’s publishing business has been affected by the floods in Queensland. January EBIT was down $3m year on year, but “revenue has recovered in recent weeks to be almost in line with the prior year.”
APN Chief Executive Brett Chenoweth told the market: “As the incoming CEO of the Company, it is pleasing to report that the 2010 result marks a return to growth for APN News & Media. APN’s revenue growth of 3% reflects the resilience of our diverse portfolio of media assets and is indicative of our markets emerging from the global financial crisis.
“A stand-out has been APN Outdoor, which has rebounded strongly. Elsewhere retail advertising is generally soft in Australia and New Zealand, however, an ongoing program of productivity improvements together with initiatives for growth, produced good increases in EBIT and Net Profit in 2010.
“APN remains a strong cash generator and our core businesses provide a robust platform for the next stage of growth as the economy …APN has a unique portfolio of media assets in publishing, online, radio and outdoor advertising. APN is taking steps to ensure we are strategically positioned in the rapidly changing media landscape… It is an exciting time to be a media company. APN is well positioned to take advantage of the myriad of opportunities and we are ready for the challenge.”