WINNIPEG – Canwest Global Communications Corp. has announced revenue increases for both Ten Network Holdings Limited, which owns and operates the TEN Television Network in Australia, and EYE Corp.’s multi-national out-of-home advertising business.
The results are for the six months ended February 29, 2008. Canwest owns approximately 56% of Ten Holdings.
Ten Holdings reported second quarter fiscal 2008 consolidated revenues of A$199.5 million and consolidated EBITDA of A$41.2 million. These second-quarter fiscal results represent increases in consolidated revenues of 5.2% and consolidated EBITDA of 2.5% compared to normalized second quarter results last year.
For the first six months of fiscal 2008, Ten Holdings reported consolidated revenues of A$526.5 million and consolidated EBITDA of A$163.7 million. These first half-year fiscal results represent increases in consolidated revenues of 8.9% and consolidated EBITDA of 11.0% compared to normalized first half results of the last fiscal year. Normalized results for 2007 exclude the A$8.9 million one time gain from EYE’s sale of Big Tree Outdoor Malaysia, reported last year in revenue and EBITDA results.
For the first half of fiscal 2008, TEN reported revenues of A$433.8 million, a 7.7% increase over the same period last year, and EBITDA of A$158.7 million, an 11.4% increase compared to the same period last year.
TEN achieved an aggregate metropolitan television advertising market share of 30.8% in the six months ended December 31, 2007, which exceeded the prior comparable period. TEN also achieved a 36.6% EBITDA margin for the six-month period in fiscal 2008, an improvement from 35.4% achieved over the same period last year.
“Our strategy to expand TEN’s pipeline of international programming and enhance its domestic production slate is positively affecting both ratings and earnings. For the six weeks of survey 2008 to date, we’re number one in 18-49, enjoying significant audience growth in all major demographics and gaining revenue market share,” said Nick Falloon, Ten Holdings’ Executive Chairman in a statement.
For the first six months of fiscal 2008, EYE reported out-of-home advertising revenues of A$92.7 million, up 15% from the normalized comparable period last year, and EBITDA of A$5.5 million which increased marginally from the normalized EBITDA for the same period last year.
“EYE’s start-up businesses in the United States and United Kingdom are tracking well as it invests for the long term. We remain confident in EYE’s business model and the potential for its international operations to ultimately mirror the financial performance of their established Australasian counterparts,” Falloon said.
During the second quarter, Ten Holdings paid an interim dividend which resulted in Canwest receiving dividends in the amount of approximately A$52 million (about C$46 million).
(www.canwest.com)
