Australia’s television advertising market recorded a sharp decline in October, with revenues falling by as much as 13 per cent. The result suggests companies are becoming more cautious about household spending even though interest rates have already been cut three times.

Seven West Media chief executive Jeff Howard told shareholders the company recorded flat television revenue in the September quarter compared with the same period last year. However, revenue deteriorated rapidly in October. The deterioration forced management to increase its planned cost reductions from $35 million to $50 million.

“We expect Seven’s total TV advertising revenue to be down 2 per cent in the second quarter of FY26 compared to the previous corresponding period,” Howard said at the company’s annual general meeting (AGM) on Thursday.

He also said the company’s advertising bookings for this summer’s cricket season are running 10 per cent to 15 per cent higher than last year.

Guideline SMI, which monitors spending by advertising agencies, reported this week that the overall Australian advertising market in September was down 10.4 per cent compared with a year earlier.

The meeting was tense. Seven West Media received a strike against its remuneration report as shareholders took aim at eight years without a dividend and a declining share price.

It is widely viewed as likely to be Kerry Stokes’ final AGM as chair. Seven West Media is expected to be acquired by Southern Cross Media, the owner of Triple M and Hit. Stokes, whose wealth is estimated at $12.69 billion on the Financial Review Rich List, would step down early next year if the deal proceeds.

Stokes has spent decades building a large ownership position in Seven West. He has also seen the value of the business erode as Meta, TikTok, Netflix and YouTube have captured billions of advertising dollars that once flowed to Australian television, newspapers and radio.

More than 35 per cent of shareholders voted against the remuneration report for FY25. Under Australian law, a vote of 25 per cent or more against triggers a strike. Bonuses were not paid to executives in either of the past two years because performance targets were not achieved.

One retail shareholder, Paul Keighery, who invested $1 million when Seven West traded at $5 a share, said his holding is now worth about $27,000 at the current 13.5 cent share price. He called the absence of dividends unacceptable and said minority holders were being treated with contempt. He did however express admiration for the company’s television programs and praised Stokes for his long contribution to Australian media.

Stokes said he understood the frustration. He reminded investors that he had also received no dividend on his roughly 40 per cent stake. He argued that the damage to traditional media has been caused by foreign digital platforms that do not pay Australian tax and have no accountability in the local market. He said he hoped dividends could resume once the merger with Southern Cross is completed.

Teresa Dyson and Michael Ziegelaar were both re-elected to the board, although each received more than 10 per cent of votes against. Ziegelaar will leave if the takeover is finalised.

Two other directors, Colette Garnsey and Michael Malone, confirmed they will retire from the board.