Seven West Media has been hit hard, with first-half profits down 40%, and the weak advertising market has forced the company to stick to its strategy.
The stock price has fallen 43% over the past year as the group's revenue fell 5% to $775 million and its market capitalization fell to $377 million.
2023 was a tough year for TV revenue – Seven’s decline rival your biggest rivalThat's because Nine's profits fell 38 percent in the previous financial year.
Seven puts on a brave face
Net profit also fell by 49%, but CEO James Warburton said the company “made good progress”. [its] Develop a period strategy to deliver consistent and engaging content to drive viewership growth and revenue share across television markets. ”
“Despite this progress and our disciplined cost management, our financial performance reflects weakness in the advertising market, particularly as the second quarter progresses,” he says.
“We continue to believe in the power of television and firmly believe that the entire television industry will regain market share. Total TV is currently growing and Seven is leading that growth.”
A time not suitable for television
ThinkTV recently announced its 2023 total TV ad revenue. For the full year, total revenue was $3.4 billion, a 10% decrease compared to 2022. Revenue for the December half was also down 9% compared to the same period in 2022. 2022.
“The results over the past year reflect the perfect set of economic headwinds faced by many Australian media companies,” ThinkTV CEO Kim Portrait said. “Inflationary pressures, supply chain disruptions, 13 interest rate hikes, and record-low consumer confidence collectively create a complex landscape for advertisers.”
Next, check out Best Super Bowl Ads of 2024.
Cover image by SWM.
