Nine Entertainment Shares Rise on Upgraded Savings
The broadcaster raised its cost-savings target and flagged another year of revenue and EBITDA growth in FY27.
Updated on Nov. 6, 2026 in Corporate Finance
Nine Entertainment shares rose 7.2% to 78.2 cents at 12:07pm AEDT after the company issued a trading update ahead of its AGM. The update lifted its annualised cost-savings target to at least $180 million by the end of FY27.
Why it matters
The upgraded savings target and growth outlook give investors a clearer view of the company's earnings trajectory despite a weaker quarter in television. The company also reported stronger digital subscription growth, which it is positioning as an offset to traditional TV pressures.
The company's Q1 FY27 total TV revenue fell 6% against the prior corresponding period, while digital subscription revenue at Nine Publishing grew 7%. The annualised cost-savings target was lifted from $160 million to at least $180 million by the end of FY27, and the full-year TV revenue outlook remains unquantified beyond a low single-digit decline expected in Q2.
The players
Nine Entertainment
An Australian media company that owns the Nine Network and digital publishing and streaming assets, and is listed on the Australian Securities Exchange.
The details
The decline in TV revenue was attributed to a later start to The Block and the impacts of the FIFA World Cup and Commonwealth Games on other networks. Nine Entertainment said its FY27 EBITDA growth will be weighted to the second half, and outdoor media revenue is expected to grow in the mid-teens percentage in H1 FY27.
Timeline
Q1 FY27: digital subscription revenue grew 7% and total TV revenue fell 6%.
Q2 FY27: a low single-digit percentage decline in total TV revenue is expected.
H1 FY27: outdoor media revenue is expected to post mid-teens growth.
First half of FY28: first cash payments under the News Bargaining Incentive are expected.
Market Dynamics
Nine's reliance on digital subscriptions and cost cuts reflects a wider shift away from linear television advertising, a pressure felt across Australian free-to-air broadcasters. Expected first payments under the News Bargaining Incentive in the first half of FY28 add a government-backed revenue stream to that transition.
Shareholders are weighing a company whose TV revenue is under pressure against rising digital subscription income and a larger cost-savings programme. The growth weighted to the second half of FY27 means the earnings benefit will largely arrive later in the financial year.
The takeaway
Investors watching Nine Entertainment should track whether digital subscription gains and cost savings can offset the weakness in television revenue through the second half of FY27. The second-half weighting of earnings growth makes the next reporting period an important checkpoint.
Further reading
Explore more on Corporate Finance to see how listed companies manage costs and guide investors.
Source note: This article includes information reported by Capital Brief.
