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NZME (NZM) investor relations material

NZME H2 2025 earnings summary

Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.
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H2 2025 earnings summary23 Feb, 2026

Executive summary

  • Delivered strong improvement in underlying profitability in 2025, with disciplined cost management and improved performance across all core divisions.

  • Operating EBITDA rose 15% year-over-year to NZD 62.3 million, driven by cost savings and growth in core divisions.

  • Returned to statutory profit of NZD 13.1 million, reversing a NZD 16 million loss in 2024, which included a NZD 24 million non-cash impairment.

  • Free cash flow improved to NZD 25.4 million, up NZD 14.1 million from the prior year.

  • Maintained robust balance sheet, reducing net debt and leverage, supporting shareholder returns.

Financial highlights

  • Operating revenue was NZD 345.1 million, down 1% year-over-year due to closure of unprofitable community newspapers; underlying revenue up 1%.

  • Operating expenses fell 4% to NZD 282.8 million, reflecting targeted savings and lower print volumes.

  • Operating NPAT increased 46% to NZD 17.7 million; operating EPS up 45% to NZD 0.094.

  • Total dividends declared at NZD 0.09 per share, payout ratio of 67% of free cash flow.

  • Net debt reduced to NZD 15.5 million, with a leverage ratio of 0.3x EBITDA.

Outlook and guidance

  • Cautiously optimistic for 2026, with gradual recovery expected amid lingering inflation and global uncertainty.

  • Advertising revenues in Q1 2026 tracking over 3% growth year-on-year.

  • Full annualised impact of 2025 savings (NZD 3 million) to be realized in 2026, with $12 million in annualised cost savings from restructuring.

  • No major new cost-out programs planned, but ongoing focus on cost discipline and divisional accountability for growth.

  • Continued focus on OneRoof expansion.

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Frequently asked questions

NZME Limited is a New Zealand-based media company that operates across multiple platforms, including print, radio, and digital media. The company is known for its comprehensive portfolio of news, entertainment, and lifestyle content. Its assets include leading newspapers, popular radio stations, and a range of digital platforms that reach a broad audience. NZME provides news and information through its flagship newspaper, The New Zealand Herald, and operates various radio brands such as Newstalk ZB and The Hits.

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