ASX Announcement: FY19 Interim Results Presentation

Investor briefing on 26 February 2020

Interim financial result for the period ended 31 December 2019

HALF-YEAR RESULT 2020 FINANCIAL YEAR

• CORE NET PROFIT*: $5.5 million within market guidance.
• STATUTORY PROFIT: $4.5 million, down 56.2% on prior period.
• TOTAL REVENUE: $90.8 million down 7.2% on prior period:
• • Advertising revenue in the aggregated market of New South Wales and Victoria back $6.9 million or 7.8% compared to the market decline of 7.2% in the same period^
  • Total advertising revenue share: market leading 41.2 share points^
• EBITDA: $11.5 million down 47.4% on prior period.
• OPERATING COSTS: up $0.8K or 3.1% on prior period includes:
• • $1.5 million transaction costs and $0.8 million reduction in operating costs from the application of AASB 16 Leases.
  • Normalised operating costs were flat year against the prior year.
• NET OPERATING CASHFLOW: $13.5 million, up $5.6 million or 71.4%:
• • Prior year includes one-off transitional spectrum licence fees of $6.2 million.
• NET CASH (pre AASB 16): $3.3 million. Capex during the period of $0.3 million was unusually low and is expected to increase in the second half of the financial year.

• Core net profit is a non IFRS measure that in the opinion of the Directors is useful in understanding and appraising the company's performance.
  ^ Source: KPMG three aggregated regional markets of Northern New South Wales, Southern New South Wales and Victoria industry data

APPLICATION OF NEW ACCOUNTING STANDARDS

• AASB 16 LEASES
• • The Group adopted AASB 16 using the modified retrospective method of adoption
  • Right-ofuse asset: $5.0M
  • Lease liabilities: $5.2M
  • Reduction in 1H20 operating expenses: $805,000
  • Increase in 1H20 depreciation: $808,000
  • Operating costs excluding transaction costs of $1.5M and pre-AASB 16 Leases were flat compared to the prior year.

OUTLOOK

• Regional markets remain challenged. No change to trading environment January through March 2020
• Tokyo Olympics will be a key focus in the lead up to the broadcast
• Overall declines in regional advertising revenue markets expected to continue for remainder of FY20
• Full-yearCore EBITDA range of $22.0 million to $24.0 million
• Full-yearCore NPAT range maintained between $8.0 million to $10.0 million
• Capital requirements: after much discussion, your Board decided to not reinstate the payment of dividends, given sustained decline in advertising revenue across the sector