Posts Tagged ‘oOh! Media’

  • Print delivers in strong results for oOh!

    Outdoor media infrastructure provider achieved double-digit revenue growth of 11 per cent, with improved gross margin and underlying earnings for the half-year ended June 30, although the stock market was unimpressed, with oOh! Shares falling by two per cent on the news.

    The company says it leads the industry in driving digital transformation across its portfolio, with digital revenue as a percentage of total sales climbing to almost two thirds of its revenue, 64 per cent, for the period.

    The 11 per cent growth was in underlying EBITDA, which increased to $37.9m with underlying NPATA lifting by two per cent to $14.9m.

    Revenue from its in-house print provider Cactus Imaging continued to grow, demonstrating, says the company, its value to the group. The company bought Cactus – founded by Warwick Spicer and Keith Ferrel in 1992 – from Opus Group two years ago for $6.1m.

    The company says it is continuing to benefit from above-market revenue growth in Road at 16 per cent with ongoing significant improvements in its Fly – which was up by 18 per cent – and Locate businesses from the second half of last year. Retail suffered a five per cent drop.

    While oOh! continues to digitise assets in premium locations, classic (print) metro sites also delivered a strong increase in revenue for the period.

    Financial highlights included revenue of $192m, up 11 per cent from the half year ended June 30 last year, gross profit of $87.6m, up 16 per cent on 1H17, and an increased gross profit margin of 46 per cent compared to 44 per cent in 1H17.

    Across the Tasman oOh! posted a strong turnaround in revenue from the prior corresponding period (up 19 per cent) despite the New Zealand market being nearly flat in the first half.

    The company maintained its Out Of Home industry position, with some 8,000 digital panels across Australia and New Zealand,

    12,000 classic (print) panels and eight online platforms

    CEO Brendon Cook, says: “oOh! has delivered another strong result with solid revenue growth demonstrating the value proposition of our product offering across the most diversified portfolio in the industry.”

    The Adshel acquisition is now in the hands of the ACCC, oOh! has raised all the necessary finance to fund the $570m acquisition.

  • ACCC reviews $1.77bn Out-of-Home deals

    The corporate regulator is calling for submissions in its investigation of two recent consolidation deals that saw oOh!media sign a $570m agreement to acquire HT&E’s Adshel just a day before French giant JCDecaux agreed to pay $1.2 billion to buy APN Outdoor.

    Last year, the ACCC blocked a proposed $1.6bn merger between market leaders oOh!media and APN Outdoor.

     The ACCC is considering whether the two new mega deals that would transform the local outdoor advertising market are likely to have the effect of “substantially lessening competition in a market.”

     The commission is inviting comments from interested parties before submissions close on 17 July 2018.  The provisional date for an announcement of a final decision or the release of a Statement of Issues has been set for 30th August 2018.

    The ACCC’s investigation is focused on: how closely oOh!media and Adshel compete with each other in (i) supplying out-of-home advertising services, and (ii) leasing out-of-home advertising sites; and how closely JCDecaux and APO compete with each other in (i) supplying out-of- home advertising services, and (ii) leasing out-of-home advertising sites.

    Other issues include: whether the price of out-of-home advertising services would be likely to increase or the rents paid to out-of-home advertising site owners decrease as a result of the proposed acquisitions; how easy it would be for customers to switch to other suppliers of relevant out-of-home advertising services after the proposed acquisitions; and how easy it would be for out-of-home advertising site owners to switch to other out- of-home advertising suppliers after the proposed acquisition.

    Submissions must arrive no later than 5pm on 17 July 2018. Responses may be e-mailed to mergers@accc.gov.au with the title: Submission re: oOh!media Limited – proposed acquisition of Adshel – attention John Rouw / Karina Geddes, or to mergers@accc.gov.au with the title: Submission re: JCDecaux – proposed acquisition of APO – attention Karina Geddes/John Rouw.

  • Print is ‘classic’ outdoor media

    In a world divided between digital and printed outdoor signage, oOH!Media, one of the ‘big two’ operators in the out of home space keeps a focus on print by terming its static billboards as ‘classic’ media.

    Despite the attention paid to digital and video screens, the number of printed billboards still heavily outweighs digital across the country. However the revenue generated by digital is now almost half of the total $837 million in out of home spend, according to the Outdoor Media Association.

    You’d never guess print or ‘classic’ billboard media still provides the lion’s share of money at the glittering, wham-bam! presentation ‘A world of the unmissable’ by oOH!Media this morning in Sydney’s Hilton Hotel. The focus was clearly on new media campaigns driven by measurable data and ‘six second’ creative

    According to Brendon Cook, CEO, the restructuring of the company he began in 2011, is still on track, even ahead of schedule. Promoting out of home as the “oldest advertising medium” he emphasized the social responsibility as well as the delivered effectiveness of the medium. He said how for oOH!Media “standing still was not an option.

    Working on the theme that in a fractured media landscape brands have ‘six seconds’ to get the message across, Cook curated a series of presentations from clients such as QANTAS, Lion, Contiki and Junkee Media, that not surprisingly, demonstrated the effectiveness of  the medium. The fast-paced show emphasized the importance of using data in location-based campaigns.

    Presenters talked of the problems of banner blindness and ad blocking across internet and mobile channels in contrast to the ‘unmissable’ presence of out of home. “Know the consumer and know the data,” was the message.

    For instance did you know there are nine million ‘cheese occasions’ across supermarkets with most coming from regional areas and, singularly, Queensland? Accurately targeting these locations with engaging creative produced a significant increase in sales for beverage and grocery conglomerate Lion.

    This morning’s timely event came as the out of home media scene is in the news with the arrival of French-based JC Decaux buying APN Outdoor for $1.2billion and oOH!Media taking up Adshel for $570 million. According to Cook, if the acquisitions go ahead, the two big group will emerge as roughly of equal size.

    “And it’s good to have an Aussie company in there, isn’t it,” he said, gleefully.

     

  • Winds of change – July 2013

    There’s been plenty of movement for the local sign and display sector this month, with Gary Smith, former Starleaton director, joining Spicers’ Sign & Display division, Spandex Asia Pacific choosing Wayne Hood as its new Victorian and South Australia regional manager, and oOh! Media announcing a series of new appointments.

    Gary Smith takes new role at Spicers

    Gary Smith, former director of Starleaton and sales manager at Budde International, took on his new role at Spicers’ growing Sign & Display division within weeks of leaving fellow digital wide format supplier, Starleaton.

    For Smith, the new appointment represents an opportunity to help leverage Spicers’ emerging standing in the national wide format sector as it works to diversify its product offering.

    “They want to move into the sign and display business,” says Smith, who is based in Sydney with the new role. “They’ve got the paper background and they’re huge in certain areas, but as the digital revolution marches forward, wide format is a huge part of that.

    “When I left Starleaton, I had a  few offers, but Spicers was the logical step. They needed some expertise in the sign, screen and display market, particularly for the Sydney operation. They’ve got good a good product range and brand, and they can see they need to be player in this marketplace,” he says.

    New addition for Spandex

    Last month, Spandex Asia Pacific announced it had appointed Wayne Hood (pictured) as its new Victoria and South Australia regional manager.

    Prior to the appointment, Hood – originally from South Africa – had made a name for himself in the local market with various sales and management within the Australian printing industry over the past 23 years.

    Hood’s career has been shaped by a desire and passion to be prepared with the best industry knowledge to assist his employer and clients. He has successfully attended internal and external training sessions that benefited his career and held positions in management, sales, production and human resources.

    He has worked across various industries including manufacturing, service and consulting, and along with his experience across HR management, sales and sales management, costing, estimating, planning and production can communicate effectively across all levels within a business.

    oOh! Media on the move with new appointments and divisions

    Trans-Tasman outdoor media player, oOh! Media has named Peter Whitehead (pictured left) as its new national sales director while also appointing Phil Eastwood (pictured right), formerly of rival APN Outdoor, as its new national commercial director of sales.

    oOh! CEO, Brendon Cook said with the integration of EYE Corp now complete and the recent addition of exciting new products including some of the most advanced digital offerings, oOh! was now strongly placed to attack the market share of other mediums.

    “Peter and Phil will be joining John O’Neill to give oOh! one of the strongest sales leadership teams in media,” Cook says. “We are confident that through our market leadership, coupled with our great team of sales professionals and our unique capability to connect advertisers with growing audiences while they are away-from-home, we will continue to drive the overall growth of the industry.”

    Whitehead’s most recent position was the Commercial Director Sales – Fly, where he was responsible for the sales performance of oOh!’s airport media assets. Prior to working in the sector, he spent five years as Southern Cross Austereo’s Melbourne Sales Director.

    Eastwood moves across from APN Outdoor where he spent the past three three years as National Sales Director.  Mr Eastwood was also the Managing Director of Glue Media, an outdoor advertising company specialising in developing and building large and small format billboards in Australia and New Zealand.

    They will be supported by state sales teams which are headed up by Sean Rigby (NSW), Tim Murphy (Victoria), Peter Reynolds (Queensland), Nathan Robertson (South Australia) and Mark Treasure (Western Australia), and the direct sales team headed up by Kevin Price.

    Across the pond, oOh! Media sets up a new production team in New Zealand as part of expansion plans, with Natalie Patterson appointed as the company’s first production manager in New Zealand, executing and delivering innovative campaigns that extend beyond the advertising panel and supporting the entire production requirements across all Fly, Retail and Study campaigns.