The release of SCA‘s half year financial results to the 31st of December 2024 saw improvements in both operating and financial performances. The company also has a new CFO Toby Potter and will complete the sale of its television assets on March 1. The latter was the sticking point for the failed takeover bid of the network to ARN last year.
Highlights of the SCA half year results:
- Revenue was $209.7 million, up 5.3% and EBITDA of $24.1 million was up by 24.6% for the half year. NPAT including the discontinued television operations was $3.2 million, up 5.5%
- LiSTNR achieved underlying EBITDA profitability in the first half. Digital revenue grew to $22.1 million, up 42% on the first half of 2024. 2024 digital audio revenue was up 48% on 2023. LiSTNR is forecast to be profitable for FY25, which will have been achieved in four years since it launched in 2021
- SCA’s continued their dominance of the 25-54 audiences in metro and regional radio markets
- Non-Revenue Related (NRR) costs for continuing operations (exc. NRI’s) were down $5 million from the first half of 2024. FY25 NRR costs for continuing operations are forecast to be below $270 million.
- Capex was $4.8 million with full year FY25 capex expected to be less than $10 million.
- There was a reduction in net debt, with leverage ratio down to 1.58 times
SCA CEO John Kelly said:
“The embedded cost discipline and effective cost management within the business has meant that we have again been able to reduce costs, despite the ongoing inflationary market pressures.
SCA is all about Audio – the sale of the 3-Agg-Market TV Licences to Network 10 has satisfied all regulatory conditions and will complete on 1 March 2025 and this morning we announced that we have signed a binding proposal with Australian Digital Holdings (“ADH”) to divest our remaining TV assets.
The successful exit from Television allows SCA to focus on building upon the positive operating momentum within our leading radio and digital audio assets, led by LiSTNR, HIT and Triple M.”
Toby Potter has also been announced as SCA’s Chief Financial Officer, replacing Tim Young who departed the role in January. Toby had been acting as CFO since December and has worked for SCA for over a decade as Head of Commercial Finance and Head of Business Transformation.
Sarah Tinsley has also been recently appointed Chief Legal Officer and Company Secretary. Toby and Sarah will work alongside SCA’s Executive Team, reporting to John Kelly.
SCA’s half year results can be found here: https://www.sca.com.au/investors/asx-announcements/