NZME has released its financial results for the half year ended 30 June 2021, reporting a profit (NPAT) of $5.6 million, up 85% on the corresponding period in 2020.
NZME also announced growth in Operating Earnings (EBITDA) to $30.1 million for the half year, representing 4% growth in Operating EBITDA against the first half of 2020.
Operating revenue1 was $172.5m which was 9% higher than the first half of 2020.
NZME CEO Michael Boggs told investors: “Emerging from the significant disruption encountered in 2020 NZME has maintained a steadfast focus on key strategic priorities. This has meant that as New Zealand’s many commercial sectors are steadily rebuilding their investment in audience engagement, NZME’s advertising revenues continue to approach the levels achieved in 2019, before the pandemic struck.”
NZME’s Net Debt was reduced by a further $15.2 million during the half year to $18.6 million and is now below NZME’s target leverage ratio, due to “rigorous commercial discipline and a continual focus on managing the cost base as business activity.”
The board has declared a fully imputed and fully franked dividend of 3.0 cents per share, indicating “NZME’s position as a robust, resilient, and agile multi-media business.”
The board was in a position to approve and announce a capital return to shareholders but, given the Covid-19 uncertainties that have emerged in the past week, the board has chosen to pause that return at this time.
- Statutory Net Profit After Tax of $5.6 million, up 85% on HY 2020.
- Operating EBITDA1 of $30.1 million, up 4% on HY 2020.
- Operating Revenue1 of $172.5 million, up 9% on HY 2020.
- Operating NPAT1 of $7.8 million, up 14% on HY 2020.
- Operating Earnings per Share1 of 3.9 cents per share, up from 3.5 cents per share in HY 2020.
- Net Debt of $18.6 million, down by $15.2 million on FY 2020.
- Achieved continued growth in NZME’s Radio revenue market share.
- New Zealand Herald subscriber base growth continues to 178,000 subscribers.
- Maintained growth in revenue market share achieved across all key channels.