On 25th February 2019, oOh!media reported its full year CY18 earnings update.
Venture Insights forecasts strong growth for the OOH market.
oOh!media reported strong earnings and looks set to benefit from the ongoing momentum in the OOH space albeit with some short-term slowdown due to the elections.
On 15th February 2019, oOh!media reported its full year CY18 earnings (including one quarter of earnings from Adshel – the acquisition was finalised in Sep 2018). Some of the key highlights from the announcement included:
Revenue of A$482.6mn, up 27% YoY. Organic revenue growth of 10% YoY
Gross profit of A$225.7mn up 29% YoY. Gross profit margin of 46.8% vs. 46.2% in CY17.
Operational expenditure increased by 32% YoY, driven by costs related to the Adshel acquisition and increased employee costs relating to data science, cyber security and client partnerships
Operating EBITDA of A$112.5mn, up 32% YoY with Operating EBITDA margin declining marginally to 23.3% in CY18 vs 23.7% in CY17
Organic operating EBITDA of A$94.2mn, up 5% YoY
Net profit after tax of A$31.6mn, down 4% YoY driven by acquisition costs
oOh!media expects continued growth in the OOH sector and has guided for operating
EBITDA to be in the range of A$152-162mn for CY19. This guidance includes an increase in operating costs of between 5-7% before accounting for any synergy related costs and benefits.