Delivering on strategic objectives
APN News & Media’s (APN) strategy since early 2016 has been based on four key objectives:
In 2016, guided by our strategy, APN completed a number of milestone transactions that have redefined the business. In June, NZME was demerged, resulting in the creation of two independent and focused media companies: APN, a growth orientated media and entertainment company with assets in outdoor, radio and publishing; and NZME, a leading integrated media and entertainment business in New Zealand.
In October, APN acquired the remaining 50 per cent of Adshel and at the same time completed the acquisition of Conversant Media, a pure play digital media company. Conversant Media strengthens the digital capabilities of the Group and has increased exposure to the high growth areas of video and mobile.
In December, the sale of Australian Regional Media (ARM) was finalised, eliminating APN’s exposure to traditional publishing and freeing up capital to focus on growth assets in outdoor and radio, which now account for 51 per cent and 49 per cent of revenues respectively.
The roll-out of the Adshel Live digital network continued, driving above market segment revenue growth, with digital revenues now accounting for over 30 per cent of Adshel’s total revenues.
After a disappointing mid-year, ratings for Australian Radio Network (ARN) recovered late in the year. The business focused on improving its content offering across both broadcast and digital, with strong results in the final survey of 2016. ARN continues to generate noteworthy margins with strong cash conversion.
Year-on-year growth in segment revenue from continuing operations, and before exceptional items 1
Year-on-year growth in segment earnings before interest, tax, depreciation and amortisation (EBITDA) from continuing operations and before exceptional items 1
Net debt to EBITDA is down from 2.7 times in 2015 to 1.2 times in 2016
Declaration of fully franked dividend of 4 cents per share, being the first dividend since 2012
“APN is in a unique position to meet the changing way audiences consume media and the integrated needs of our advertisers.”
“Operational performance of the business was strong and highlights the strength of talent that exists across the Group.”
“In a transformative year for APN, solid results were achieved from the underlying businesses”
“ARN delivered strong results and was resilient in maintaining its position within the market. Going forward, ARN remains well placed to deliver positive results across its multi-platform business”
“It was a milestone year for Adshel, succeeding in a strong market and expanding digital capabilities. It remains focused on actively pursuing opportunities for growth”
“Strategic contract wins have set a solid foundation for 2017 and APN remains focused on rebuilding the business”
“Conversant Media is bringing its expertise to leverage the various digital opportunities identified across the APN Group”
100 William Street
SYDNEY NSW 2011
Telephone: +61 2 9333 4999
Fax: +61 2 9333 4900
APN’s Annual General Meeting
will be held on
Thursday, 4 May 2017
at 10.00am (AEST)
252 George Street,
Sydney NSW 2000