apr-11.pdf (2.07 MB) - Crown Ownership Monitoring Unit

Television New Zealand LimitedCHAIR » Sir John AndersonBOARD » Joan Withers,Anne Blackburn, AlisonGerry, Roger MacDonnell,Barrie Saunders, Wayne WaldenCHIEF EXECUTIVE » Rick EllisActivitiesTVNZ has six TV channels:two commercial free-to-air(TV ONE and TV2); two digitalchannels on Freeview, beingone commercial free-to-air digitalchannel (Channel U) and onenon-commercial free-to-air digitalchannel (TVNZ 7); and two paychannels on SKY TV (Kidzone24and TVNZ Heartland).TVNZ also has an online presencewith tvnz.co.nz, providing newsand entertainment, and “tvnzondemand” providing “catch-upTV”.TVNZ has a 33% shareholding inHybrid Television Services (ANZ)Pty Ltd (HTS), which owns theAustralasian rights for TiVo.Financial performance measures2007 2008 2009 2010 2011ReturnsTotal shareholder return 4.2% 0.0% (44.8%) 59.8% 7.0%Dividend yield 4.2% 0.0% 3.9% 0.6% 1.6%Dividend payout 73.5% 0.0% 73.8% 6.9% 16.4%Adjusted ROE (2.3%) 6.5% 1.6% (14.3%) 2.3%EfficiencyROCE (1.2%) 10.0% 3.1% (5.6%) 13.4%Operating margin 3.5% 10.7% 6.0% 1.0% 14.2%Generator efficiency N/A N/A N/A N/A N/ALeverageNet gearing 12.6% 10.9% 15.5% 18.4% 3.4%Interest cover* 3.13 11.19 10.64 1.22 19.49Current ratio 2.24 1.51 1.15 1.67 1.72OtherFive-year averageDividend growth (23.9%)Revenue growth 0.3%Income statement$m 2007 2008 2009 2010 2011Revenue 374 391 384 355 378EBITDAF 13 42 23 4 54NPAT (5) 19 2 (26) 2Balance sheet$m 2007 2008 2009 2010 2011Total assets 313 312 304 259 229Total liabilities 119 129 119 101 74Commercial value** 350 350 183 291 306Cash flow statement$m 2007 2008 2009 2010 2011Operating activities (net) 34 25 27 35 45Purchase of fixed assets 13 16 12 21 9Dividends paid 15 - 10 1 5Net cash flow (1) (8) (3) (1) 3Notes:* TVNZ calculates interest cover on a different basis and in 2009/10 reports a higher interest cover** Commercial valuation from the SCIpage | 98