Prime profit edges higher as audiences swell

Regional broadcaster Prime Media Group says growing audience share in a challenging advertising market has led to a rise in first half net profit.

The Seven Network affiliate and radio station operator said net profit for the six months to December 31, 2011, was $16.15 million, up 4.9 per cent from the previous corresponding period.

Revenue advanced 4.9 per cent to $138.69 million, Prime said in a statement on Tuesday.

Prime said the ratings at its television stations rose 2.9 percentage points, which translated into a 2.95 percentage point increase in television advertising revenue share.

"Prime has delivered on its strategy to grow television audiences in order to improve its revenue position," chief executive Ian Audsley said in the statement.

"We focused on that plan in 2011 and it has delivered an exceptional, even enviable, result."

In terms of the outlook, Prime said in a slide presentation accompanying the financial results, the television advertising market had "limited visibility", an industry term that implied weak forward bookings.

However, it said there would be some benefits from having an additional two Australian Football League games in the schedule when the season kicked off in March.

Prime said that while the tough advertising conditions in radio had shown some recent signs of stability, it was too early to describe it as a trend.

"Radio continues to struggle in a depressed market still recovering from the effects of tropical cyclone Yasi and widespread flooding that occurred early in calendar year 2011," it said.