Fairfax Media today has announced full-year financial results posting a new profit of 83.2 million after tax, surpassing estimates.
Chief Executive and Managing Director Greg Hywood said:
“Fairfax has today reported top line growth for continuing businesses for a full year for the first time in eight years. Overall revenue grew 0.3%, a key driver of which was the 45% increase in Domain Group revenue.
“As we foreshadowed a year ago, we are investing in our growth businesses and ventures which include Domain, Life Media & Events, as well as Stan. A total of $ 39 million in additional growth related operating expenses was introduced in FY15, which together with the impact of acquisitions lifted Group operating expenses by 0.5%.”
So how did the radio arm pull up after the Macquarie Fairfax merger this year?
“Our Radio asset, which now takes the form of a 54.5% shareholding in Macquarie Radio Network, benefited from the reverse takeover by MRN,” Mr Hywood said.
“Cost synergies commenced in FY15. The business is on track to achieve targeted $10 million to $15 million in annualised benefits in FY16. MRN is well positioned to derive revenue synergies from the establishment of a genuine national network with the number one stations in Sydney and Melbourne.
“As MRN indicated this week, it expects FY16 EBITDA will be in the range between $20 million and $25 million.”
The full media release is available here.
While the 2015 Annual Report can be read here.