Nine Shares Slump Despite Strong Year, Stan Success
Shares in Nine have taken a dip despite strong results for the year, with the company increasing its revenues and NPAT amid continued audience strength across platforms.
Nine shares fell 0.295 points, or 9.9 per cent, even as it grew total revenue by eight per cent to $2.3 billion and net profit after tax 76 per cent to $277.5 million.
Streaming service Stan was a point of success, with revenue growing 29 per cent to $311.8 million off the back of 2.4 million active subscribers; Nine this year launched Stan Sport, which now boasts 250,000 active subscribers, as well as signing a major deal with Comcast NBCUniversal and increasing its output of Stan Original programming.
Mike Sneesby, Chief Executive Officer of Nine Entertainment Co, says Nine has expanded its footprint over the year, especially in growth areas such as streaming.
“In Total Television, we have carefully invested in and expanded the reach of 9Now, while continuing to grow subscribers at Stan, and launching Stan Sport.
“Our Television and Publishing businesses have both reached critical inflexion points. Growth in 9Now, coupled with some recovery in Free to Air, has resulted in a combined television business that we expect can now consistently grow revenues through the cycle,” he said.
9Now, the Nine Network’s popular BVOD platform, saw 46 per cent revenue growth and EBITDA of $73 million, up 48 per cent on FY20.