The new-look Pacific Star Network has released its first operating and financial results after merging with Crocmedia earlier this year.
Now under the guidance of CEO Craig Hutchison following the March 29 deal, the business has detailed its three key business segments:
Broadcasting: including owned radio platforms and broadcast partners’ radio network, which leverage sports and entertainment content.
Publishing: including production and sale of magazines, subscriptions and merchandise from frankie press and AFL Publishing.
Complementary Services: including events and entertainment services (talent management, television production, boutique creative agency).
The financial results comprise 12 months of Pacific Star revenues and a three-month contribution from Crocmedia.
The company reported a net loss after tax of $2.986 million compared to the corresponding period (2017: $7.341 million loss). The underlying net profit before tax (excluding the impact of significant items $4.227 million) was $1.632 million (2017: $1.769 million).
Total revenue (excluding non-sport revenue) was up from $15.3m in FY 2017 to $24.7m in FY 2018.
The underlying EBITDA for the two years lifted from $1.7m to $3.0m. The company detailed that, if one-off costs relating to the merger were excluded, that EBITDA figure lifts to $3.7m.
Pacific Stat will release an investor presentation later this month with commentary on the results, details of organic growth initiatives and strategic investments plus an outlook giving guidance on the financial year ahead.
Pacific Star stated growth initiatives that are expected to drive future earnings growth include:
• expanded multiyear radio broadcast rights partnerships
• additional resources to support new rights partnerships, including talent
• appointment of Gerard Whateley as Crocmedia’s Chief Sports Caller
• expansion into live commercial radio broadcasting of premier sporting events
• launch of SEN+
• additional senior executive and broadcasting team appointments
• expanded in-stadium advertising (LED signage and big screen) and hospitality inventory at Optus Stadium (Perth), Adelaide Oval and GMHBA Stadium (Geelong).
Two recent strategic investments were acquiring the AFL publishing business and a 25% shareholding in Melbourne United basketball club.
Top Photo: Pacific Star/Crocmedia CEO Craig Hutchison with director Chris Giannopoulos