SYDNEY — Strong growth in advertising revenues helped boost the Seven Network’s net profits by 54% to $A85 million ($51 million) in the 12 months ended June 24.
Announcing the results Wednesday in Sydney, exec chairman Kerry Stokes said the Seven web outstripped overall TV market growth as its share of total TV ad revs soared by 20% in the half-year to June.
Stokes said the company has “essentially changed the way we do business” in the past year, pointing to a cost management program that resulted in the restructuring of its broadcast and nonbroadcast businesses and the shedding of 145 staffers.
Stokes said Seven has asked regulator the Australian Competition and Consumer Commission to urgently arbitrate the terms and conditions of access for its sports pay channels C7 to Telstra’s cable network.
A recent federal court ruling confirmed that C7 should have access to Telstra’s web, but both the telco and its pay TV partner Foxtel have refused to enter into negotiations with Seven. C7’s exclusive pay TV coverage of the Olympic Games will, however, air on Foxtel as well as the Optus and Austar platforms.