Arn Media Limited · ASX:A1N
Arn Media — 1HFY25 Earnings Presentation
35 slides from Arn Media's earnings presentation, Aug 27, 2025
Slide 1: FY Results August 2025
arnmnedia lH FY RESULTS August 2025
Slide 2: Company Highlights
Company Highlights 2025: Reset for Growth Financial Results Summary and Outlook
Slide 3: 1HFY25 Company Highlights
1HFY25 COMPANY HIGHLIGHTS • 2024 audience challenges impacting commercial share in 1HFY25 REVENUE $142m • Audience share improvements in 1HFY25 to aid share recovery in 2HFY25 • Full commercial team restructure undertaken in 1H25; Building future sales capability • Slower market post federal electio
Slide 4: 2025: Reset for Growth
2 2025: RESET FOR GROWTH Ciaran Davis | CEO 4
Slide 5: 2025: Reset for Growth
2025: RESET FOR GROWTH NEW LEADERSHIP & GROWING AUDIENCES TRANSFORMATIONAL DIGITAL CAPABILITY IN 2025 PROGRAMME COO and CFO hired; Growth in broadcast radio audiences; Over $40m to be delivered over 3 years1; Commercial Team restructure; Commencing national roll-out of Gold; $35m already actioned In
Slide 6: Transformational Cost Out Programme
TRANSFORMATIONAL COST OUT PROGRAMME Operational Model simplification; Enterprise-wide 3 YEAR COST OUT PROGRAMME integration; AI-led automation Organisational right-sizing; 240 roles removed Outsource of Commercial, Technology and Finance +$40m Cost Out Program $40m operations +20% of cost base $35m
Slide 7: New Leadership & Capability Investment
NEW LEADERSHIP & CAPABILITY INVESTMENT Investing in content and commercial capability to drive growth Digital Transformation Leaders • New COO hired (Michael Stephenson) 11.0 million • New CFO hired (Alexis Poole) AM/FM Monthly Reach Commercial Strategy and Revenue • Digital Strategy Specialists • D
Slide 8: Growing Audiences in 2025
GROWING AUDIENCES IN 2025 • #1 network share • K&J #1FM Breakfast Show for 52 surveys in a row H1 METRO RADIO PERFORMANCE SYDNEY • Average weekly cume of 2 million; Reaches 41% of Sydney population METRO SHARE, P25-541 • GOLD 104.3 #1 FM • The Kyle & Jackie O Show achieved its highest P25-54 +2.4pts
Slide 9: Kyle & Jackie O
KYLE & JACKIE O AUSTRALIA’S MOST LISTENED TO SHOW Breakfast Mon-Sun (25-54)7 5:30am – 12mn (25-54)7 Survey 1 2025 16.9% Survey 1 2025 11.7% #1 #1 Survey 2 2025 16.3% Survey 2 2025 11.9% Breakfast show nationally x 52 consecutive survey +4.5pts +4.7pts P25-541 wins in Sydney2 Survey 3 2025 18.6% Surv
Slide 10: Gold Expansion to Drive More Profitable Growth
GOLD EXPANSION 9 TO DRIVE MORE PROFITABLE GROWTH • National expansion across key markets in FM; DAB+ and iHeart • Exceptionally strong talent line-up • Further audience growth potential with lower cost base; margin expansion • New commercial opportunities – national advertisers, premium integration,
Slide 11: ARN Podcast Powerhouse
ARN Exclusive partnerships with PODCAST POWERHOUSE local and global publishers • Reaching 7m monthly listeners • 24m+ monthly downloads • 36% of all weekly podcast ranker listeners • Kyle & Jackie O - #1 radio show • Exclusive partnerships with global brands MONTHLY PODCAST LISTENING TOP PODCASTS -
Slide 12: Continued Growth in Digital Audio
CONTINUED GROWTH DIGITAL REVENUE IN DIGITAL AUDIO +21.4% • Digital audio revenue $15.4m (+21%) 14.2 13.4 • Live streaming revenue growth (+93%) 11.1 11.0 • 3 million registered signed in users 8.8 • 145 million podcast downloads • 50 million hours of broadcast radio live streamed H1 23 H2 23 H1 24 H
Slide 13: Continued Digital Audio Growth Opportunity
CONTINUED DIGITAL AUDIO GROWTH OPPORTUNITY 42% Live streaming (10%) Live streaming 42% of audience is digital 10% of revenue is digital Podcast Podcast (32%) DAB+ of ARN audience delivered on digital platforms; only Regional Radio Reg. FM Radio 10% of revenue (14%) 58% of audience is traditional 90%
Slide 14: Strategic Divestiture
STRATEGIC DIVESTITURE NON-CORE ASSET CODY • Leading OOH specialist pioneering high quality outdoor solutions across Hong Kong • 27-year track record of securing and maintaining a portfolio of OOH contracts • Long-standing collaborations with major advertising agency groups and blue-chip clients • Es
Slide 15: Financial Results
3 FINANCIAL RESULTS Alexis Poole | CFO 15
Slide 16: 1HFY25 ARN Results
1HFY25 ARN RESULTS EXCLUDES DISCONTINUED OPERATIONS EBITDA OF $23M DELIVERED 1HFY25 1HFY24 A$ Million Continued Continued Var $ Var % Operations Operations1 RESULTS Revenue before finance income 142.3 152.8 (10.5) (7%) • ARN Revenues declined by 7% compared to Other income 1.7 1.2 0.5 42% 1HY24 Shar
Slide 17: 1HFY25 Underlying EBITDA
1HFY25 UNDERLYING EBITDA EXCLUDES DISCONTINUED OPERATIONS UNDERLYING EBITDA $24.9M 1HFY25 1HFY24 Var % A$ Million Continued Continued RESULTS Operations Operations2 $% Change Metro 75.3 85.2 (10.0) (12%) • Better margins & reduced operating expenses have offset revenue shortfall Regional 53.7 56.6 (
Slide 18: Gross Margin Improvement
GROSS MARGIN IMPROVEMENT EXCLUDES DISCONTINUED OPERATIONS DRIVEN BY DIGITAL REVENUE SHARE IS SHIFTING MORE TO DIGITAL RESULTS 5% 9% • Digital now represents 9% of revenue and 38% 1HFY23 1HFY25 38% 4.7% continues to grow in profitability 58% 53% • Both Digital and Radio have improved their gross marg
Slide 19: 1HY25 Cost Base
1HY25 COST BASE EXCLUDES DISCONTINUED OPERATIONS $12M REDUCTION H1 1HFY25 1HFY24 Var % A$ Million Continued Continued RESULTS Operations Operations 2 $ Change • Excluding investment in talent $12.2M (10%) Employee benefits expense1 63.9 68.9 5.0 7% savings achieved. Production & distribution expense
Slide 20: Cashflow
CASHFLOW EXCLUDES DISCONTINUED OPERATIONS STRONG CASH GENERATION 1HFY24 1HFY25 Continued Var Var RESULTS A$ Million Continued Operation $% % Operations (restated)5 • Strong cash management and disciplined Net debt Start of period (88.4) (82.2) (6.3) 8% capex investment led to Net cash from Operation
Slide 21: Capital Broadcast Strength Into Digital
CAPITAL BROADCAST STRENGTH INTO DIGITAL EXCLUDES DISCONTINUED OPERATIONS STRONG LIQUIDITY POSITION CONTINUES TO SUPPORT DEBT OPTIMISATION & DIVIDEND PAYMENT RESULTS NET DEBT • Strengthened balance sheet:, Net Debt reduced by $10.9m, a 12% reduction • Maintained robust liquidity with $15.5 million in
Slide 22: Summary & Outlook
4 SUMMARY & OUTLOOK Ciaran Davis | CEO 22
Slide 23: Building on 1HFY25 Reset
BUILDING ON 1HFY25 RESET 2025 RESET H2 AREAS OF FOCUS • Significant iHeart product • Simplified operating model upgrade in October • $35m of $40m cost out • New data and ad tech actioned rollout • Improved leadership and • Launch of new commercial digital capability digital products • Commercial Tea
Slide 24: 2HFY25 Outlook
• 2HFY25 revenues currently forecast low to mid-single digit decline compared to same period last year • Commercial team reset and 1HFY25 audience growth supports trajectory for improving 2HFY25 commercial performance and some share regain • 2HFY25 digital audio revenue growth rates expected to impr
Slide 25: Arn Media Limited
arnnedia
Slide 26: Disclaimer
This document has been prepared by ARN Media Limited (ARN Media) to provide general information about the activities of ARN Media and its subsidiaries at the time of release of this document. Unless specified otherwise, information in this document refers to the relevant financial period covered by
Slide 27: Appendices
APPENDICES 27
Slide 28: Australia's Most Engaged Media Channel
AUSTRALIA’S MOST ENGAGED MEDIA CHANNEL BROADCAST BROADCAST STREAMING MUSIC STREAMING PODCAST1 METRO RADIO1 REGIONAL RADIO1 RADIO1 (Ad Supported)1 11.0 million 7.1 million 7.4 million 9.6 million 7.6 million people people people people people +2% vs FY24 +7% vs FY24 +11 vs FY24 +8 vs CY24 -4% vs FY24
Slide 29: Balance Sheet
BALANCE SHEET 1HFY25 FY 24 Results A$ Million Continued Continued Var $ Var % Group • Decline in net assets by $4.2 million Operations Operations Cash and deposits 15.5 12.6 2.9 23% • Liabilities reduced by $10.5 million, though this Receivables 51.0 54.1 (3.1) (6%) was offset by a $14.7 million red
Slide 30: Reconciliation of Results to Statutory Result
RECONCILIATION OF RESULTS TO STATUTORY RESULT Result before significant items Exceptional items Statutory result A$ million 2025 2024 2025 2024 2025 2024 Revenue before finance income 142.3 152.8 - - 142.3 152.8 Other income 1.7 1.2 (0.3) - 1.4 1.2 Share of associate profits 1.7 2.2 - - 1.7 2.2 Cost
Slide 31: Discontinued Operations Hong Kong & Emotive
DISCONTINUED OPERATIONS HONG KONG & EMOTIVE • Revenue Growth: Revenue increased by $24 million, A$ million 1HFY25 1HFY24 Var $ Var % representing a 157% uplift on prior year, driven by the strong performance of the two new contracts Total revenue 39.1 15.2 23.9 157% secured in FY24 Direct costs (13.
Slide 32: Significant Items
SIGNIFICANT ITEMS A$ million 2025 2024 Results Transformation costs (2.8) • Transformation costs $2.8m include program management and Restructuring, redundancy and termination costs (3.6) (0.6) implementation costs associated with the 3-year $40m cost out Disposal of properties (0.3) - program • Red
Slide 33: AASB 16 Leases 1HFY25
AASB 16 LEASES 1HFY25 AASB 16 AASB 16 AASB 16 Continuing ops - Discontinued ops - Continuing Discontinued Leases Leases Leases Result without Result without A$ million operations operations Adjustment Adjustment Adjustment adoption of adoption of ARN Hong Kong Investments AASB 16 AASB 16 ARN 23.1 –
Slide 34: AASB 16 Leases 1HFY24
AASB 16 LEASES 1HFY24 Continuing ops - Discontinued AASB 16 Leases AASB 16 Leases AASB 16 Leases Continuing Discontinued Result without ops - Result A$ million Adjustment Adjustment Adjustment ops ops adoption of without adoption ARN Hong Kong Investments AASB 16 of AASB 16 ARN 29.6 – (3.9) – – 25.7
Slide 35: Reconciliation of Cashflow by Segment
RECONCILIATION OF CASHFLOW BY SEGMENT 1HFY25 1HFY24 Var $ 1HFY25 1HFY24 Var $ 1HFY25 1HFY24 Var $ A$ million Group Group Group Cont. Ops Cont. Ops Cont. Ops Disc Ops Disc Ops Disc Ops Net debt Start of period (82.5) (75.1) (7.3) (88.4) (82.2) (6.3) 6.0 7.0 (1.0) Net cash from Operations 43.4 18.3 25