Sky Network Television Ltd · NZX:SKT

Sky Network Television — H1 FY26 Earnings Presentation

31 slides from Sky Network Television's earnings presentation, Feb 26, 2026

  1. Slide 1: Sky Network Television Interim Results Presentation

    Sky Network Television Interim Results Presentation For the six months ended 31 December 2025 26 February © SKY 2021 2026

  2. Slide 2: Agenda

    Agenda ‣ Results highlights ‣ Financial and Operational Performance ‣ Business Update ‣ Outlook and Guidance ‣ Questions © SKY 2021

  3. Slide 3: Interim Result Highlights

    Interim Result Highlights Strong first half performance as expanded business builds momentum  Double digit growth in EBITDA driven by solid revenue performance in a difficult market and lower costs.  Unmatched position in sport strengthened by disciplined renewals. Refresh of entertainment strateg

  4. Slide 4: An accelerating acquisition

    An accelerating acquisition Capital light investment delivered immediate scale and stronger market position in advertising and digital ADVERTISING REVENUE +62% INCREASE IN DIGITAL AUDIENCE2 • Revenue market share boosted to 35% of MARKET SHARE (Linear)1 important linear segment3. 87% • Total adverti

  5. Slide 5: Financial Highlights

    Financial Highlights Strong performance in a challenging market • Revenue1 up 8%, driven by contribution from $415.4m $78.2m Sky Free and growth in Broadband and Streaming. UNDERLYING REVENUE1 +8% UNDERLYING EBITDA1 +29% • EBITDA1 up 29%, supported by tight cost H1 FY26 Sky Standalone: $379.8m (1%)

  6. Slide 6: Financial and Operational Performance

    Financial and Operational Performance

  7. Slide 7: Key Drivers of EBITDA Improvement

    Key Drivers of EBITDA1 Improvement 29% increase in underlying EBITDA driven by lower costs EBITDA1 MOVEMENTS (UNDERLYING) ($m) • Improved underlying EBITDA was driven by 6.7% lower costs in Sky Standalone that outpaced the 23.8 2.2 76.5 1.7 78.2 revenue decline of 1.3%. (4.2) • Programming costs wer

  8. Slide 8: Revenue

    Revenue1 Addition of Sky Free resulted in an 8% overall revenue increase REVENUE MOVEMENTS (UNDERLYING1) ($m) • Growth in Broadband and Streaming revenue offset 78% of the Sky Box decline. 34.4 1.1 415.4 385.0 4.3 6.1 379.8 • Sky Standalone revenue was 1.3% lower than last (13.3) (0.7) (0.3) (1.2) y

  9. Slide 9: Revenue by product

    Revenue by product Sky Box improved ARPU and Churn CUSTOMERS (000) UNDERLYING REVENUE ($m) & ARPU1 • Encouraging churn improvement and increased 253 246 500 ARPU contributed to slow customer and revenue 240 230 226 479 464 448 435 decline. $85 • New device customers increased to 40% from 30% $83 $84

  10. Slide 10: Revenue by product

    Revenue by product Sky Sport Now revenue grew 8% REVENUE ($m) & ARPU1 CUSTOMERS1,2 (000) • Sky Sport Now’s growth continued with revenue 37 40 170 rising 8% and customer numbers up +17%. 32 153 146 150 26 31 125 • ARPU rose 8% to $47.55, benefitting from a 10% $48 $44 $45 price rise in March 2025 on

  11. Slide 11: Revenue by product

    Revenue by product Broadband revenue increased 37% REVENUE ($m) & ARPU CUSTOMERS (000) 56 • Revenue increased 37% as customer numbers 26 23 200 51 continue to build (up 27%), despite a competitive 20 180 44 21 160 market. 17 36 100 16 13 15 0 140 30 • 10.7% of Sky Box customers have Sky bundled 120

  12. Slide 12: Revenue by product

    Revenue by product Advertising Revenue doubled REVENUE ($m) INCREASED REVENUE DIVERSITY (%) • Relatively stable revenue is a positive outcome for 64 Sky Standalone business as the prior period included 13 the Paris Olympics. 15% 29 30 30 • Digital revenue percentage (Sky Standalone) rose to 24 27 1

  13. Slide 13: Operating Expenses

    Operating Expenses Disciplined cost management supporting bottom line OPERATING EXPENSES (UNDERLYING1) ($m) • Programming Costs: Sky Standalone programming costs to revenue ratio reduced to 48.8% with 33.9 337.7 325.6 significant cost reductions due to: 6.3 0.5 303.8 - timing of one-off events (last

  14. Slide 14: Capital Expenditure

    Capital Expenditure Capital intensity returns to longer term run-rate level STATUTORY CAPITAL EXPENDITURE ($m) • Underlying Sky Standalone Capex for the half was $13m lower than the first half of last year due to: 46 44 - the prior period early replacement of transmission 5 equipment to support sate

  15. Slide 15: Cash Flow

    Cash Flow Strong cash flow resulting in closing cash balance of $100m 92 • Core business generated $55m of cash in the first half (compared to $7m for H1 25) 25 100 (26) • Cash was boosted by cash acquired with Sky Free 87 of $25m and $8m of compensation from Optus. (10) 8 • Operating cash flow was

  16. Slide 16: Capital management

    Capital management 76% Dividend growth reflects strong first half cash generation DELIVERING DIVIDEND GROWTH (cps) Dividends: At least 30 cps • As a result of strong cash generation in the first half the Board has decided to pay a higher percentage1 of the expected full year dividend as an interim d

  17. Slide 17: Business Update

    Image update Business Update © SKY 2021

  18. Slide 18: Sport Strategy – continuing to control our content destiny

    Sport Strategy – continuing to control our content destiny We have and unrivalled position in sports that can’t easily be unbundled • No one else comes close to offering the quality and depth of sport available on Sky • Secured through long term agreements and hedged by content breadth and staggered

  19. Slide 19: Genuinely world-class sport alongside the best of local

    Genuinely world-class sport alongside the best of local Results Presentation © SKY 2021 For the six months ended 31 December 2025

  20. Slide 20: Entertainment Strategy – controlling our content destiny

    Entertainment Strategy – controlling our content destiny Powerful refresh based on audience insights • New and expanded agreements with chosen partners • Increased access to premium mainstream content (from premium niche) • Fiscal flexibility to increase choice, moving away from output deals to crea

  21. Slide 21: A new glow for Neon

    A new glow for Neon Neon’s strategy refresh to deliver more consistent performance • Customers will see a refreshed identity, clearer content strategy and more consistent content cadence. • Delivering a steady drumbeat of premium titles across the year. • Content focus shifts to ‘premium mainstream’

  22. Slide 22: Must See Entertainment delivered consistently

    Must See Entertainment delivered consistently Results Presentation Page 22 © SKY 2021 For the six months ended 31 December 2025

  23. Slide 23: The power of our expanded portfolio

    The power of our expanded portfolio Providing choice for customers and maximising the value of Sky’s unrivalled content Sky Box Broadcast Sky Social Media 2.2M 1.2M 2.6M 3.0M Followers monthly viewers weekly viewers monthly viewers Sky Venue 2,000 38,000 2,300 Licensed Hotel & Motel Rooms Gyms, reta

  24. Slide 24: Outlook and Guidance

    Outlook and Guidance © SKY 2021

  25. Slide 25: Outlook and FY 2026 Guidance Update

    Outlook and FY 2026 Guidance Update FY 2026 FY 2026 FY 2026 Outlook $m guidance1 guidance1 guidance1 • Economic conditions remain challenging, impacting Sky Standalone Sky Standalone Combined Group Revenue in the near term. (22 Aug 2025) (26 Feb 2026) (26 Feb 2026) • Programming costs expected to mo

  26. Slide 26: Questions

    Questions © SKY 2021

  27. Slide 27: Appendix

    Appendix © SKY 2021

  28. Slide 28: Financial Performance

    Financial Performance din Underlying earnings improved while statutory earnings boosted by one-off gains H1 FY26 H1 FY25 % change H1 FY26 H1 FY25 $m 1 1 Underlying Underlying Underlying 1 Statutory Statutory Revenue 415.4 385.0 7.9% 414.4 384.8 • Underlying EBITDA 29% higher, and underlying NPAT 77%

  29. Slide 29: Summary of Adjustments

    Summary of Adjustments din Non-recurring items (largely Sky Free acquisition1 and Optus satellite migration) have been adjusted to allow a like for like comparison of underlying performance $m H1 FY26 Description H1 FY25 Revenue $0.9m Optus: Customer credits $0.2m Optus: Customer credits Sky Free: (

  30. Slide 30: Appendix

    Appendix Table of expenses by category: Sky introduced an Advertising expense category at H1 FY26 to disaggregate these costs from Other costs. H1 FY26 includes Sky Free costs for the five months from 1 August 2025. $m H1 FY24 H2 FY24 H1 FY25 H2 FY25 H1 FY26 Programming Costs 197.9 193.8 209.3 175.1

  31. Slide 31: Disclaimer

    Disclaimer This presentation has been prepared by Sky Network Television Limited and its group of companies (“the Company”) for informational purposes. This disclaimer applies to this document and the verbal or written comments of any person presenting it. Information in this presentation has been p

Sky Network Television — H1 FY26 Earnings Presentation on 6ix