Seven West Media’s Profit Plummets 63% Amid Revenue Slide
Seven West Media reports a 4.5% revenue decline and a sharp 63.3% drop in net profit for FY2025, with no dividends declared.
- Revenue down 4.5% to $1.35 billion
- Net profit falls 63.3% to $16.63 million
- EBITDA decreases 15.2% to $158.65 million
- EBIT declines 22.9% to $116.22 million
- No dividends declared for FY2025
Seven West Media’s Financial Performance
Seven West Media Limited (ASX – SWM), one of Australia’s leading media companies, has released its full year results for the fiscal year ended 30 June 2025. The company reported a 4.5% decline in revenue, down to $1.35 billion, reflecting ongoing challenges in the media landscape. More strikingly, net profit attributable to members plunged by 63.3% to just $16.63 million, signaling significant pressure on profitability.
Earnings and Profitability Under Pressure
The company’s earnings before interest, tax, depreciation and amortisation (EBITDA) also fell by 15.2% to $158.65 million, while earnings before interest and tax (EBIT) dropped 22.9% to $116.22 million. These declines suggest that operational costs and margin pressures have intensified, despite a modest 24.6% increase in other income. The results underscore the difficulties traditional media companies face amid shifting consumer habits and advertising market dynamics.
Dividend Suspension and Investor Implications
Notably, Seven West Media did not declare or pay any dividends for the year ended 30 June 2025, continuing the trend from the previous year. This decision likely reflects a cautious approach to preserving cash amid uncertain market conditions and the need to invest in digital transformation and content offerings. Investors will be watching closely for management’s strategy to restore growth and profitability.
Outlook and Market Context
The company’s portfolio includes the Seven Network, 7plus streaming service, and several prominent publishing assets such as The West Australian and The Sunday Times. While these platforms maintain strong audience reach, the broader media sector is grappling with evolving viewer preferences and competitive pressures from global digital players. Seven West Media’s audited financial statements, reviewed by KPMG, provide a transparent view of these challenges but leave questions about the company’s next steps.
Bottom Line?
Seven West Media faces a critical juncture as it seeks to reverse profit declines and reassure investors amid a tough media environment.
Questions in the middle?
- What specific factors drove the sharp net profit decline despite stable revenue?
- How will Seven West Media balance investment in digital growth with cost control?
- When might investors expect dividends to resume, if at all?
