GTN (GTN) H2 2024 earnings summary

Executive summary

• FY24 revenue grew 4% to AUD 184.2 million, with Adjusted EBITDA up 15% to AUD 22.3 million, driven by strong performances in Brazil and the UK and effective cost management, despite AUD 2.1 million in non-recurring executive transition costs.

• NPAT surged 115% to AUD 5.7 million, and NPATA rose 42% to AUD 10.2 million, with EPS of 2.8 cents, all distributed as dividends.

• Non-Australian businesses contributed 53% of total revenue, up from 50% last year.

• Strong balance sheet with net cash of AUD 23.6 million, and AUD 16 million in bank debt repaid during FY24.

• Ongoing share buyback and return to dividend payments, with over 4.7 million shares repurchased and a new buyback program announced.

Financial highlights

• Adjusted EBITDA up 15% to AUD 22.3 million; would have grown 26% excluding AUD 2.1 million transition costs.

• NPAT up 115% to AUD 5.7 million; NPATA up 42% to AUD 10.2 million; EPS at 2.8 cents.

• Final dividend of AUD 0.017 per share, total FY24 dividend AUD 0.028 per share, targeting 100% NPAT payout.

• Net cash position of AUD 23.6 million; debt reduced to AUD 8 million as of June 30, 2024.

• Over 15.8 million shares repurchased since FY23 (7.4% of share base); 4.7 million shares repurchased for AUD 1.9 million in FY24.

Outlook and guidance

• July and August 2024 revenue pacing more than 10% ahead of prior year, with strong growth in Australia, Brazil, and the UK.

• Canada slightly behind prior year; management plans further cost efficiencies in FY25.

• Future results highly dependent on economic conditions and short advertising sales cycles; no specific revenue forecast beyond August due to short lead times.