NZME reported an 11% increase in first-half operating EBITDA to NZD 26.5 million, supported by a 1% rise in total revenue to NZD 167.0 million. The company swung to a statutory net profit of NZD 6.6 million, reversing a NZD 0.4 million loss in the prior-year period.
The audio division led growth, with revenue up 8% and operating EBITDA surging 19% to NZD 11.9 million. Digital audio revenue accelerated 16% to NZD 6.2 million, now accounting for 10% of total audio revenue. Agency share of audio revenue rose to 51%, while digital radio listening hours increased 8% and podcast downloads grew 4%. The company extended its iHeartRadio partnership for a decade and highlighted record listenership for The Hits at 460,000 nationwide.
Publishing revenue edged up 1% to NZD 118.6 million, with digital publishing EBITDA rising 11% to NZD 6.3 million. Print publishing EBITDA fell 7% to NZD 9.0 million. Total subscriptions reached 250,000, with digital-only subscribers at 176,000, representing 70% of the base. The new NZ Herald app, launched in June, generated over 108 million launches in the half, with users spending six times longer on the app than on the web and reading five times more pages. Video views across platforms surged 132% year-over-year, with YouTube, social media, and the NZ Herald platform contributing to the gain.
OneRoof, the property platform, reported a 9% rise in operating EBITDA to NZD 1.8 million, with digital revenue up 4% offsetting a 15% decline in print. New Zealand residential listings reached 60,000, up 3% year-over-year, while listings revenue outside Auckland grew 13%. The new OneRoof app, launched in March, drove a 54% increase in monthly active users and a 53% rise in daily active users since January.
Operating expenses declined 1% to NZD 140.5 million, with print and distribution costs falling 4% to NZD 22.8 million. People expenses remained flat at NZD 70.5 million. Net bank debt decreased by NZD 13.9 million to NZD 19.4 million, and the leverage ratio improved to 0.4 times EBITDA, below the target range of 0.5 to 1.0 times. Free cash flow surged to NZD 7.3 million from NZD 2.2 million.
Chief Executive Michael Boggs stated the company is reshaping its business to deliver stronger earnings through the cycle, noting ongoing efficiency initiatives and automation savings targeting NZD 4 million in annualized savings in Q4 2026, with an additional NZD 3 million expected in H1 2027. A 2025 restructuring program has already delivered NZD 3.1 million in annualized savings.
The company declared an interim dividend of 3 cents per share, aligning with its payout policy targeting 50–80% of free cash flow.
