Seven West Media is claiming to be “in its strongest financial position in over a decade”, despite today’s results showing company profits were down more than 33 per cent for FY22.
Seven reported $1.54 billion in revenue, a leap of 21.3 per cent year-on-year. Profits after taxes were at $211.1 million, down from the $318.1 million brought in during FY21.
The acquisition of the regional Prime Media Group in December saw the company report net debt of $256 million.
Company earnings before interest, taxes, depreciation and amortisation were up 34.9 per cent for the year.
“These results represent the best Seven television EBITDA results in 11 years, the best EBITDA from West Australian Newspapers in five years, and our best group EBITDA result in six years,” CEO James Warburton said.
Seven is also claiming the overall lead in free-to-air television ratings and total TV revenue share.
Ad spending is also expected to slow down in FY23, with spending in July for the metro markets would down 17 per cent year-on-year, with the previous July seeing the Tokyo Olympics draw advertisers.
In addition, the lack of federal election spending and government COVID campaigns will also leave a spending hole during FY23.
Seven has committed to a share buyback within the next 12 months.
