Television Ad Market Dropped 13% in October: Seven West
Investors expressed frustration at Seven West Media’s annual general meeting on Thursday, criticizing years of no dividend payments and a declining share price.
Australia’s television advertising market, worth billions, fell by around 13 percent in October, raising concerns about overall business confidence and consumer spending despite three recent rate cuts.
Company Performance and Response
Chief executive Jeff Howard stated that while television revenue remained stable during the July–September quarter compared with last year, the company saw a sharp decline in October.
“Seven West Media recorded flat television revenue in the three months to September compared with last year, but experienced a steep fall in October,” said Jeff Howard.
In response to the downturn, the company widened its cost-cutting program from 35 million to 50 million dollars.
Business Outlook
The company hopes that increased efficiency measures will stabilize operations as the advertising sector faces continued headwinds.
Author’s summary: Investor discontent and a steep 13% drop in October ad revenue have pushed Seven West Media to expand cost-cutting efforts amid weakening market confidence.