Television Ad Market Plummets by 13% in October
Australia’s television advertising market, worth billions, fell by up to 13 percent in October, signaling concerns about consumer spending and overall business confidence despite three interest rate cuts.
Seven West Media Faces Investor Backlash
At its recent annual general meeting, Seven West Media encountered dissatisfaction from investors upset over years without dividend payouts and a declining share price.
Revenue and Cost-Cutting Measures
Jeff Howard, CEO of Seven West Media, which owns Network Seven and The West Australian newspaper, reported flat television revenue for the quarter ending September compared to the previous year.
However, October brought a sharp revenue drop, forcing the company to increase its planned cost reductions from $35 million to $50 million.
"The decline prompted the company to increase the size of its cost cuts from $35 million to $50 million."
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Summary: Australia's TV ad market's sharp October decline has pushed Seven West Media to intensify cost cuts amid investor concern over stagnant earnings and share value.