Australian media titan Nine Entertainment has navigated a year of strategic transformation, reporting a slight dip in full-year profits while laying the groundwork for a digitally-dominated future powered by artificial intelligence.
The company announced a net profit after tax of A$258.3 million for the year ending June 2025, a 4.4% decrease from the previous year. This result comes amidst a challenging advertising market, particularly in its key free-to-air television and publishing divisions.
Strategic Divestment: Cashing in on Domain
In a major strategic shift, Nine confirmed the successful completion of its A$455.5 million sell-down of its remaining stake in property listings portal Domain. This move effectively severs a major legacy tie, providing a significant war chest for reinvestment.
Chief Executive Mike Sneesby framed the sale as a pivotal moment, stating the capital would be redeployed to accelerate the company's core digital and growth strategies.
Betting Big on AI and Digitalisation
The centrepiece of Nine's future vision is a sweeping, company-wide digitisation programme. A substantial portion of the Domain proceeds is being funnelled into this initiative, with a heavy focus on integrating artificial intelligence.
The ambitious plan aims to harness AI and machine learning to revolutionise content creation, automate advertising processes, and drive deeper audience engagement across its portfolio, which includes the Nine Network, streaming service Stan, and major newspapers like The Sydney Morning Herald and The Age.
Streaming Success and Broadcast Headwinds
Providing a bright spot in the results, Nine's streaming service, Stan, continued its strong performance, demonstrating the consumer shift towards on-demand content. In contrast, the traditional free-to-air broadcast business felt the pressure of a softer advertising market.
Despite the profit dip, the company's board showed confidence, maintaining a final dividend of 5 cents per share, bringing the full-year payout to 10 cents.
Nine's results signal a media group in the midst of a calculated evolution. By leveraging its Domain exit, it is boldly investing to future-proof its business, betting that AI and digitalisation will be the key drivers of growth in the next era of media.
