How GTN Plans to Slash $10M in Costs Amid FY25 Revenue Drop

A Challenging Year for GTN

GTN Limited’s fiscal year 2025 results reflect a media company grappling with a difficult operating environment. Revenue slipped 2% to $180.2 million, while adjusted earnings before interest, taxes, depreciation, and amortisation (EBITDA) plunged 26% to $16.6 million. These declines were driven by subdued advertising markets across Australia, Brazil, Canada, and the UK, compounded by one-off corporate costs linked to a recent takeover and rebranding efforts.

Despite these headwinds, GTN managed to generate a positive operating cash flow of $13 million and took the opportunity to repay $8 million of bank debt. The company also refinanced its facilities on improved terms, signalling a focus on financial resilience amid uncertainty.

Strategic Cost-Saving Initiatives Underway

In response to the challenging macroeconomic backdrop, GTN has embarked on two major initiatives aimed at reshaping its cost structure. First, a strategic and operational review of the affiliate networks at atn and CTN is underway to optimise inventory and reduce associated costs. Second, GTN is restructuring its aviation operations across atn, CTN, and BTN, with plans to phase out costly helicopter services by the second half of FY26. These moves are expected to deliver more than $10 million in annualised savings without compromising the company’s advertising value proposition.

Shareholder Returns and Governance Confidence

GTN’s board has maintained a clear commitment to shareholder value, distributing $13.4 million through dividends and share buybacks during FY25. The capital return of 23 cents per share paid in August underscores this focus. Market confidence appears to be growing, with the company’s share price rising 48% over the fiscal year. The recent re-election of all directors with strong shareholder support further reinforces trust in GTN’s governance and strategic direction.

Looking Ahead – Foundations Remain Strong

Chairman Peter Tonagh emphasised that despite the setbacks, GTN’s core business model remains robust, supported by strong market positions and long-term affiliate relationships. The company’s ongoing contract renegotiations and operational improvements are expected to underpin a stronger performance trajectory once market conditions stabilise. The management team’s leadership and employee dedication across multiple countries were also highlighted as key strengths during this transitional period.