NZME reported a return to profitability in the six months ended June 30, 2026, with operating revenue rising 1% to $167.0 million and operating EBITDA up 11% to $26.5 million. The group swung to a statutory net profit after tax of $6.6 million, compared with a $0.4 million loss in the same period a year earlier.
The audio division led growth, with revenue increasing 8% to $61.8 million and operating EBITDA surging 19% to $11.9 million. Traditional radio advertising rose 8%, while digital audio revenue climbed 16%. Agency share of audio revenue grew to 51%, with larger agency clients up 15% year-over-year. Audience milestones included The Hits reaching a record 460,000 listeners nationwide and Coast becoming the top music station on iHeartRadio with 5.9 million listening hours.
The publishing division reported stable overall EBITDA at $15.3 million, though digital publishing EBITDA rose 11% to $6.3 million while print publishing EBITDA declined 7% to $9.0 million. Total reader revenue fell 3%, with digital subscriptions up 1% and print subscriptions down 4%. The NZ Herald app, launched in June, recorded 108.6 million launches in H1 2026, accounting for 57% of total engagement time and 34% of sessions.
OneRoof, the group’s property platform, delivered operating EBITDA growth of 9% to $1.8 million, supported by a 13% rise in rest-of-New Zealand revenue. The platform’s app, launched in March, saw monthly users increase 54% and daily active users rise 53%. Upgrade conversion nationally reached 33%, with Auckland targeted to reach 60%.
NZME declared an interim dividend of 3 cents per share, unchanged from the prior year, while net debt declined $13.9 million to $19.4 million. Operating expenses fell 1% to $140.5 million, with print and distribution costs down 4% and third-party fulfillment costs dropping 37%. The group’s leverage ratio improved to 0.4 times EBITDA, below its target range of 0.5 to 1.0 times.
Management outlined a $15 million print plant investment program, with $7 million spent in 2026 and $8 million planned for 2027, expected to generate $7 million in annual savings by 2029. Efficiency and AI initiatives are projected to deliver $4 million in annualized savings by Q4 2026, with an additional $3 million in H1 2027.
