SYDNEY - Australian publisher Fairfax Media reported a loss of close to Aus$900 million (US$692 million) Wednesday but remained upbeat on signs that its digital and non-print businesses were performing strongly.
Fairfax -- which owns The Sydney Morning Herald, The Age and The Australian Financial Review -- booked a net loss after tax of Aus$893.5 million for the year to June 30
Fairfax -- which owns The Sydney Morning Herald, The Age and The Australian Financial Review -- booked a net loss after tax of Aus$893.5 million for the year to June 30.
This compared to a net profit of more than Aus$80 million in the previous corresponding period.
The media giant, like its international peers, has for years been battling declining advertising and revenues, particularly in traditional print divisions.
Chief executive Greg Hywood struck a positive note despite the loss, saying his company's push towards digital was succeeding, with star performer the real estate-focused Domain Group reporting a 33 percent jump in revenue.
"Digital and non-print earnings now constitute more than 40 percent of Fairfax's EBITDA (underlying or operating profit)," Hywood said in a statement.
"On current trends, next year this will be closer to 60 percent, reflecting the continued growth in digital and non-print earnings."
The company's share price fell after the announcement, dropping 5.03 percent to 94 Australian cents in midday trade in Sydney.
Total revenue slipped two percent for the period, while underlying profit came in at Aus$132.5 million, a 7.6 percent decline.
Advertising revenue in the metro media division dropped 15 percent.
The firm declared a final dividend of two cents for a total payout for the year of four cents.
Fairfax, the main rival in Australia to Rupert Murdoch's News Corp, has shed thousands of staff and restructured its operations in recent years to focus more on its digital operations.
Fairfax last week said it would book nearly Aus$1 billion in pre-tax impairment charges for the 2016 financial year, with a sizable chunk from major Australian metropolitan newspapers.