Seven profit down

On Wednesday the Seven Network posted an 18.7 per cent drop in net profit for the six months ended December 31 to $126.3 million.

But it noted that decline reflected the impact of a change in the company’s structure last year, following the formation of the Seven Media Group joint venture with private equity firm Kohlberg Kravis Roberts & Co (KKR).

Seven’s television, magazines and online businesses, delivered a 10 per cent lift in earnings before interest, taxation, depreciation and amortisation (EBITDA) in the half to $239 million

Television advertising revenue rose 11 per cent in the first half, outpacing overall market growth of nine per cent.

Seven’s David Leckie said Channel Nine had improved its performance.

“I think Nine is coming back, they’re doing very well but so are we,” Mr Leckie said.

“I think we’re managing it very well.”

Meanwhile, Seven, which holds a 19.4 per cent stake in West Australian Newspapers (WAN), is currently attempting to get two seats on the WAN board. Seven has denied the company is seeking to take control of WAN.

Source: Herald Sun