Sky TV says profits up to $171m

Photo / Dean Purcell

Sky Network TV said its net profit rose by 6.4 per cent to $171.8 million in the year to June, despite a slight decline in its subscriber base.

Earnings before interest, tax, depreciation and amortisation were flat at $379.8m while total revenue rose by 2.0 per cent to $928 million.

The pay tv operator's average revenue per subscriber, per month, increased by 2.6 per cent to $79.54 from $77.52 last year.

Sky said its subscriber base dropped by 1.5 per cent to 851,561. The company's decoder boxes are now in 47 per cent of New Zealand homes. Sky declared an imputed final dividend of 15 cents per share.

Sky said the decline in customer numbers had not been helped by the slower than anticipated introduction of new services like NEON -- a subscription video on demand service - which it said was now performing well.

Looking ahead, Sky said its on-demand features for all SKY subscribers would offer more internet delivered content alongside linear channels.

Plans were advanced to grow subscriber numbers with the introduction of new digital products that should appeal to younger audiences and non-subscribers, it said.

Sky had introduced a new service, FAN PASS, which offered a season or part season pass to online sports including Super Rugby, NRL and Formula 1.

"With our traditional SKY pay television business experiencing more competition than ever, we will continue to invest in content and expand our services," Sky said.

The company said it planned to have all set top boxes internet-enabled to ensure all customers have access to on-demand viewing, catch up television and to Sky's library of movies.

Sky's shares last traded closed on Thursday at $5.63, having lost 57c or 9.2 per cent over the last 12 months.

See Sky's latest financial results presentation here: