Floods and the mining sector downturn… who needs a boardroom coup?

Writedowns in the value of its Australian newspaper mastheads have contributed to a $455.8 million loss for APN News & Media. The $151 million “non-cash impairments” – which are in addition to the $485 million of mostly NZ write-downs – comes with a 13.4 per cent fall in revenue to $928.6 million.

Results were affected by the sale of 52 per cent of APN Outdoor into a joint venture. Earnings before interest, tax, depreciation and amortisation were down 25.3 per cent to A$156 million, and net profit after tax before exceptional items fell 30.4 per cent to A$54.4 million. But the company’s Scoop website says, on a continuing operations basis, stripping out the joint venture’s impact, revenue rose two percent to A$857 million, while EBITDA still fell 14 per cent.

The company notes that “current asset valuations are highly sensitive to changes in advertising revenues, the assumed post-tax discount rate, and long-term economic growth rates in both countries”.

New Zealand assets had delivered its “rejuvenation programme,” with the relaunch of the New Zealand Herald. The Herald on Sunday relaunches this month as part of continuing efforts. It is “progressing” with the sale of newspapers in Christchurch, Oamaru, and Wellington.