New Zealand media company NZME has posted a half-year after-tax profit of $6.6 million, a sharp turnaround from the $400,000 loss recorded in the same period last year, despite economic conditions proving tougher than expected. The result, announced to the NZX on Monday, signals cautious optimism for the media sector as the country navigates a slow recovery.
Operating revenue and other income rose to $167 million for the six months to June 30, up from $165.7 million in 2025. Net debt was trimmed by $13.9 million to $19.4 million, and the board declared an interim dividend of 3 cents per share. The company said it expects full-year 2026 operating Ebitda to exceed the $62.3 million reported in 2025, subject to trading conditions in the second half.
Why audio is NZME's standout performer
Audio was the clear winner in the first half, with operating revenue up 8% to $61.8 million and operating Ebitda jumping 19% to $11.9 million. Growth came from both radio and digital audio advertising, a trend that chief executive Michael Boggs said carried momentum from late 2025 into 2026.
Publishing operating Ebitda held steady at $15.3 million, with digital publishing Ebitda up 11% to $6.3 million. Total subscriptions across print and digital now exceed 250,000, a milestone that reflects the company's ongoing shift toward digital revenue. OneRoof, the property portal, saw digital revenue grow 4%, and its new app has lifted monthly users by 54% since launch.
How AI and automation are reshaping NZME's cost base
Chair Steven Joyce pointed to future cost savings as a key driver of profitability. The company has announced a print plant investment expected to deliver $7 million in annualised benefits, alongside new AI and automation initiatives worth another $7 million annually. Negotiated reductions in Auckland Central office lease costs are due to be finalised late in 2026.
Boggs told staff in an email that the company would continue investing for growth while remaining disciplined on costs.