ARN Media cuts debt in 2025 amid transition year results

ARN Media (ASX:A1N) has released its full-year financial results for 2025, describing the period as a year of transition focused on cost-efficiency and strategy resetting.

The company reported total revenue of $285.2 million, representing a 10% decline compared to the $317.1 million recorded in FY24.

Underlying EBITDA from continuing operations also saw a reduction, falling 23% to $47.5 million.

The company's financial performance was heavily influenced by an aggressive cost-reduction program.

ARN realised $24 million in cost savings during FY25, contributing to a total of $31 million released since 2020.

Management has identified an additional $24 million in potential savings, targeting a cumulative total of $55 million by FY27.

Despite the decline in top-line revenue, digital revenue grew by 7% to reach $27.4 million, showing improved profitability within that sector.

ARN Media reported a reduction in net debt, which fell by 28% to $63.8 million, down from $88.4 million the previous year.

The company also refinanced its debt, extending its facility by three years and maintaining $66 million in headroom.

Free cash generation improved to $40 million, up 6% year-on-year, driven by working capital initiatives.

This resulted in a free cash conversion rate of 234%, a substantial increase from the 101% reported in FY24.

Statutory EBITDA for the period was $45.7 million, down 27% from the prior year’s $62.9 million.