Ad revenue down, but Seven making ‘solid progress’ in changing media landscape

Seven Network has reported a 6% decline in ad revenue in the six months to December 2024, but said efforts to strengthen premium content and digital are driving audience and revenue momentum into the new year.

The fall in advertising revenue to $590 million was due to “soft” market conditions and competition from major one-off sporting events such as the FIFA Women’s World Cup and the Olympics.

While the second half of 2024 saw group revenue fall 6% to $727 million, Seven’s investments in digital helped offset some of the decline.

Advertising revenue for 7plus surged 15% to $85 million, driven by strong performance from BVOD, which saw 43% audience growth. In contrast, linear TV advertising revenue dropped 9% to $505 million.

Seven West Media managing director and CEO Jeff Howard said Seven’s focus on digital sports rights and premium content was attracting high-value audiences and opening new opportunities for advertisers.

“The launch of 7plus Sport starting with the AFL Grand Final drove a step change in audiences as the first half progressed,” he said.

“Total TV remains strong and more relevant than ever with 43% audience growth on 7plus more than offsetting the modest decline in linear audiences of 1.8%.”

Howard said Seven had a “clear objective” to stabilise and bolster cash flow regardless of advertising market conditions.

“We are making solid progress under our new operating structure to reshape Seven West Media into a better, more agile and returns-focused business that can adapt to the challenges and opportunities in the changing media landscape,” he said.

Looking ahead, Seven expects advertising conditions to improve in Q3, with revenue tracking slightly ahead of last year. The network is also banking on a boost from the upcoming federal election and continued growth in digital audiences to strengthen its position.