CANBERRA: Ten Network’s full year loss almost doubled to $312.2 million but the free-to-air broadcaster is predicting a big lift in advertising revenue thanks to its tie up with Foxtel’s MCN.
Ten said its after tax losses for the 2015 financial year widened by 85.5 per cent on 2014’s $168.3 million on the back of the previously announced writedown in the value of its television licence. But television revenue increased 4.6 per cent to $629.3 million and chief executive Paul Anderson said Ten’s new advertising deal with Multi Channel Network, which took effect on September 1, was already bearing fruit.
Gross advertising revenue is expected to increase by at least 10 per cent in the first three months of 2015/16. “For Ten, the partnership with MCN is creating scale, new efficiencies, improved data capability and broader integration opportunities for our clients,” Mr Anderson said. “We expect our partnership to drive further improvement in Ten’s revenue share and power ratio.”
Ten achieved its biggest audiences in total people, and the sought after 25-54 demographic, since 2012 and its highest commercial share since 2011. Network Ten is the only commercial network to grow in terms of total people over the past year.
Ten reported one-off costs of $262.9 million, most of which was the $251.2 million writedown in its licence announced with its first-half results in April.
Its shares have been placed in a trading halt ahead of an entitlement offer under which pay TV operator Foxtel and existing shareholders will each pay $77 million. Foxtel got the thumbs up to take a 15 per cent stake in Ten last week from the competition watchdog.
