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ASX-listed media group Nine Entertainment has posted a 30% profit increase for the half year to the end of December, boosted by the A$896.6m ($1.06b) sale of its stake in real estate advertising business Domain.
Nine, which recently re-entered the New Zealand market with the acquisition of outdoor advertising company QMS, reported a net profit of A$95m while earnings before tax improved 6% to A$192m.
Group revenues were down 5% to A$1.1b.
Streaming service Stan and the company’s mastheads – the Sydney Morning Herald, Melbourne Age, and Australian Financial Review – were the standout performers as Nine grew subscription revenues by 13% and compensated for a soft advertising market.
Shares in Nine have fallen about 35% in the past 12 months, while the main S&P/ASX 200 index has put on 9% over the same period.
Foreign Affairs Minister Winston Peters has announced more sanctions against Russia and $8 million in new assistance for Ukraine. Of that, $5m will go to international aid partners supporting Ukrainian civilians badly affected by the war and $3m to the World Bank-administered Ukraine Relief, Recovery, Reconstruction, and Reform Trust Fund, which supports energy resilience and reconstruction.
“These contributions will help address urgent needs as a result of Russia’s brutal winter attacks on Ukrainian civilians and energy infrastructure,” Peters said.
He said new sanctions on Russia included lowering the price cap on Russian crude oil and sanctioning 100 shadow fleet vessels.
“These are calculated steps to curtail oil revenues fueling Putin’s illegal war of aggression against Ukraine,” Peters said.
Dual-listed metal distributor Vulcan Steel’s net profit for the six months ended December fell to $8.7m from $9.2m in the same period year ago, despite revenue rising 8.6% to $535.4m from $493m.
The weaker bottom line comes as general administrative expenses jumped about $16m to $140.3m over the year and margins eased.
Vulcan chief executive Gavin Street said the economic climate in New Zealand and Australia has remained mixed, with both countries facing challenging economic conditions.
The company completed a $93.8m acquisition of Roofing Industries over the half, and three months of its earnings are included in the interim result.
Vulcan’s operating cashflows were down more than half to $38.7m from $80.7m a year ago, but managed a $30.1m reduction in net debt.
The company said the outlook across both sides of the Tasman remains difficult. While it is “cautiously optimistic” about a gradual improvement in conditions, it said profitability in the industry remains challenging.
