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

 


TVNZ profit up

Friday 29 August 2014

TVNZ PROFIT UP 25%

TVNZ has posted a net profit after tax of $18.1 million, up 25% on the same period last year.

Announcing the annual result today, Chief Executive Kevin Kenrick said the company had delivered on its full year Statement of Intent earnings target.

Total revenue softened slightly by 0.4% to $360.6 million, and operating expenses were down 3.0% to $325.6 million.

Underlying earnings increased 7.5% to $27.2 million, after excluding gains on the sale of property, plant and equipment.

“Growth in Digital Media was the standout performance for the year - TVNZ Ondemand streams were up 78% for the year and now average more than 1 million per week, and an increased focus on publishing more, and faster, news online boosted onenews.co.nz video streams by 63%,” Mr Kenrick said.

Off the back of strong audience growth, online advertising revenue was up 30%.

“Online revenue is currently a modest component of total revenue, but it’s a major driver of future growth and the company is investing to significantly enhance both its TVNZ Ondemand and ONE News online service offerings.”

Mr Kenrick said TVNZ has the most compelling content with all 20 of the top 20 most watched TV shows for the year screening on TVNZ. Overall New Zealand’s Got Talentwas the most watched show, ONE News the most watched news, and Sunday the most watched current affairs show. Seven Sharp was the most improved show for year, he said, and is now performing more strongly than its predecessor Close Up and is regularly delivering more than twice the audience of 7pm shows on rival networks.

Mr Kenrick said viewers clearly welcomed TVNZ’s increasingly integrated approach to on-air and online content, with the multi-screen coverage of America’s Cup and FIFA World Cup events both showcasing examples of this growing trend in viewing behaviour.

As part of a tighter focus on its core on-air and online investments, TVNZ had divested surplus land & buildings during the year and relinquished its stake in both Hybrid Television Services and Igloo by selling its minority shareholding back to Hybrid and SKY TV respectively. Shortly after the financial year end, the company announced the sale of the TVNZ Archive to the Crown.

Mr Kenrick said the company’s focus was now on creating and sourcing the most compelling content, expanding online distribution, and delivering superior value to advertisers. The recent exit of non-core assets has freed up capital to invest in technology infrastructure to fast track online growth, and to refurbish its Auckland building to meet future accommodation needs in one central location.

“Encouraging progress has been made in the last year as we reshape TVNZ to succeed in the rapidly evolving media world. Content continues to be at the heart of the business and our future slate of new and returning local and international programming is very strong. Solid earnings growth during what has been a year of transformation has fuelled our confidence to invest boldly in the future of the business.”

Financial Highlights Summary - Year Ended 30 June 2014
FY2014 FY2013
$'000 $'000
Revenue and income 360,585 362,110
Television revenue 306,842 311,607
Digital Media revenue 12,890 9,925
Operating expenses (325,603) (335,825)
Operating earnings 34,982 26,285
Interest expense (249) (1,118)
Asset impairment and remediation reversal (3,188) 1,074
Financial Instruments (167) 394
Share of results of associates/impairment (6,342) (4,969)
Income Tax (6,925) (7,226)
Net Profit after tax 18,111 14,440


© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Scoop Business: NZ Dollar Catches Breath After "Goldilocks" Slump

The New Zealand dollar edged up following its dramatic slump yesterday after the Reserve Bank confirmed speculation it intervened in the currency market last month and PM John Key suggested a “Goldilocks” level far lower than at present. More>>

ALSO:

Biosecurity: Kiwifruit Claim To Hold Officials Accountable For Psa

Kiwifruit growers have joined forces to hold Biosecurity NZ accountable in the courts for its negligence in allowing 2010’s Psa outbreak that devastated New Zealand’s kiwifruit industry and exports. Foundation claimants representing well ... More>>

ALSO:

Poison: Anglers Advised Not To Eat Trout In 1080 Areas

With the fishing season opening in just a few days (1 October 2014), anglers are being warned by the Department of Conservation(DOC) not to eat trout from pristine backcountry waters and their downstream catchments, where the department is conducting 1080 poisoning operations. More>>.

ALSO:

Quotas: MPI Swoop On Suspected Fraudulent Fishing Activity

Ministry for Primary Industries (MPI) compliance officers swooped on a Hawkes Bay fishing enterprise today to secure evidence in an investigation into suspected fraudulent activity... “The investigation involves activity throughout the commercial supply chain – catching, landing, processing and exporting.” More>>

ALSO:

Scoop Business: Fonterra Slashes 2015 Milk Payout, Earnings Tumble 76%

Fonterra Cooperative Group cut its forecast 2015 milk price payout by about 12 percent, citing weaker global dairy prices and said there is a risk of further declines given strong global milk production. More>>

ALSO:

Scoop Business: RBNZ Keeps OCR At 3.5%, Signals Slower Pace Of Future Hikes

Reserve Bank governor Graeme Wheeler kept the official cash rate at 3.5 percent and signalled he won’t be as aggressive with future rate hikes as previously thought as inflation remains tamer than expected. The kiwi dollar fell to a seven-month low. More>>

ALSO:

Weather: Dry Spells Take Hold In South Island

Many areas in the South Island are tracking towards record dry spells as relatively warm, dry weather that began in mid-August continues... for some South Island places, the current period of fine weather is quite rare. More>>

ALSO:

Get More From Scoop

 
 
Computer Power Plus

Standards New Zealand

Standards New Zealand

Mosh Social Media
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news