Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


TVNZ boosts first-half profit jumps 47% as ad revenue gains

TVNZ boosts first-half profit jumps 47% as ad revenue recovers, writes off Igloo investment

By Paul McBeth

Feb. 27 (BusinessDesk) - Television New Zealand, the state-owned broadcaster, boosted first-half profit as advertising revenue gained and operating costs fell, and has written down the value of its investment in a joint venture with pay-TV operator Sky Network Television.

Net profit rose to $20.8 million in the six months ended Dec. 31, from $14.2 million a year earlier, the Auckland-based state-owned enterprise said in a statement. Operating revenue rose 3 percent to $201.9 million, with a 2.4 percent lift in TV advertising sales to $171.5 million and a 23 percent gain in digital revenue to $6 million.

“The highlight of our half year result is the strong growth in operating earnings, fuelled by increased advertising revenue and a 10% reduction in non-programming costs,” chief executive Kevin Kenrick said. “TVNZ’s half year results are encouraging and we expect our strong slate of new season content will ensure we achieve if not exceed our full year Statement of Intent forecast.”

The state-owned broadcaster, which is investigating staff using its facilities to host a political meeting, anticipates a net surplus of $16.8 million in the 12 months ending June 30, 2014, on revenue of $357.3 million, according to its latest Statement of Intent.

In September, TVNZ reached an agreement with shareholding ministers Craig Foss and Bill English to forgo dividends to allow the broadcaster to spend the proceeds of a property sale to SkyCity Entertainment Group on refurbishing its Victoria St West building and upgrading its online technology.

The broadcaster recognised an impairment of $3.2 million on property, plant and equipment, and a $6.1 million impairment and loss from its associates, saying it wrote down its remaining investment in its Igloo stake due to the uncertainty of the timing of future profits from the set-top box offering with Sky TV.

Last year TVNZ told Parliament's commerce select committee it may have to wait up to six years before their Igloo budget pay-TV service gets into the black.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Statistics: Net Annual Migration Passes 71,000

A record 71,300 more migrants arrived in New Zealand than left in the January 2017 year, Statistics New Zealand said today. This surpassed the previous annual record set in December 2016. More>>

ALSO:

Fossils: Ancient Penguins Lived Alongside Dinosaurs?

Penguins are much older than previously thought and their evolution probably dates back to the days of the dinosaurs, according to research on the fossilised leg bone and toes of a giant ancient penguin found in rocks near Waipara, North Canterbury. More>>

No Voda/Sky: Commission Declines Clearance For Merger

The Commerce Commission has declined to grant clearance for the proposed merger of Sky Network Television and Vodafone New Zealand. More>>

ALSO:

EARLIER:

Power: IEA Report On New Zealand's Energy System

Outside of its largely low-carbon power sector, managing the economy’s energy intensity and greenhouse gas emissions while still remaining competitive and growing remains a challenge. More>>

ALSO:

NASA: Seven Earth-Size Planets Around A Single Star

NASA's Spitzer Space Telescope has revealed the first known system of seven Earth-size planets around a single star. Three of these planets are firmly located in the habitable zone, the area around the parent star where a rocky planet is most likely to have liquid water. More>>

ALSO:

Auckland Transport Case: Men Guilty Of Corruption And Bribery Will Spend Time In Jail

Two men who were found guilty of corruption and bribery in a Serious Fraud Office (SFO) trial have been sentenced in the Auckland High Court today... The pair are guilty of corruption and bribery offences relating to more than $1 million of bribes which took place between 2005 and 2013 at Rodney District Council and Auckland Transport. More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news