Seven West Media (SWM) H2 2025 earnings summary

Executive summary

• H2 EBITDA grew 6% and underlying NPAT rose 33%, reversing earlier declines and marking the first half-yearly growth since FY22.

• 7plus delivered 26% revenue growth for the year and 41% in H2, with daily active users up 27% and streaming minutes up 41%.

• Completed acquisition of Southern Cross Media's TV licenses, making the company the largest commercial regional broadcaster in Australia and immediately accretive.

• Total TV audience increased 1.1%, with the 25-54 demographic up 1.5% and TV revenue share reaching 40.4% for the fifth consecutive year.

• Total TV advertising revenue decline moderated to 1% in H2 (vs. 6% in H1), with a full-year decline of 4%.

Financial highlights

• Group revenue declined 4% to $1.354 billion, mainly due to a $56 million fall in TV revenue and $5 million decline in The West.

• Operating expenses before D&A were $1.196 billion, down 3% year-over-year, with personnel costs down 5%.

• EBITDA before significant items was $159 million, down 15% year-over-year, but H2 saw a 6% increase.

• Statutory NPAT was $17 million, down 62% year-over-year; underlying NPAT (excluding significant items) was $57 million, down 27%.

• Basic EPS was 3.7 cents (underlying) and 1.1 cents (statutory).

• Net debt reduced to $287 million, leverage at 1.8x, with a target to return to 1x-1.5x in FY26.

Outlook and guidance

• FY26 cost guidance set at $1.235-$1.245 billion, reflecting new AFL contract and Southern Cross integration.

• Targeting to modestly exceed consensus FY26 EBITDA forecast of $161 million.

• 7plus bookings tracking up 25% in Q1 FY26; digital strategy expected to continue strong momentum.

• Total TV ad market stabilizing, with flat year-on-year performance in July and August and positive momentum into September.

• Focus on driving 7plus revenue growth, delivering costs in line with plan, and reducing leverage to 1-1.5x.