Documents submitted to the Stock Exchange by World Audio indicate that the consolidated operating loss for the period in the six months to December 2003 is likely to be about 20% more than last year ($2.1 million).

The company says personnel costs increased by 20% and legal costs of $563,000 were incurred during the six month financial period.

A structural review in October reduced personnel costs by $400,000 and advertising revenue is up by 40% according to the company.

World Audio is currently expanding its operations beyond its Sydney station Radio 2, expending much of it’s immediate capital.

The net operating cash flow for the quarter ended 31 December 2003 was $1,077,579.