SKT - Sky Network Television

[LoungeLizard]

Pitiful volume. Everyone's lost interest it seems.

[Plata]

More than just sky with no volume, seems most of the NZX has gone quiet. Must be the nice weather?

[LoungeLizard]

It is quiet. Too quiet.....

[Plata]

I keep looking back at the investor presentation and thinking, where is all the cash flow? If you exclude the one offs of the property sale etc they only generated ~44 million in cash for the year. That sort of FCF/market cap is not that hard to find and for the risks involved here I'm wondering is this as good as it gets SP wise?

[LoungeLizard]

I keep looking back at the investor presentation and thinking, where is all the cash flow? If you exclude the one offs of the property sale etc they only generated ~44 million in cash for the year. That sort of FCF/market cap is not that hard to find and for the risks involved here I'm wondering is this as good as it gets SP wise?

Not sure about that - $44m is big lift on last years $19m and there has been a fair bit of capex spend this year which affects FCF. There's still a fair bit of headroom to lift the dividend, which is needed in my view, to mitigate the rightly perceived risk.

I think if the Board hadn't rattled shareholders trust and confidence - shaky to begin with - with their ridiculous move on Mediaworks, there might be a bit more confidence out there about SKYS future. The financials are improving but there's some pretty tricky waters ahead to navigate and half the Board, including the Chairman,  doesn't even reside in NZ which says a lot about their commitment.

[Plata]

Capex is expected to lift by a lot next year and stay that way for a little while, so the situation is only going to get worse. I think at the current price the risk reward is no longer very favourable and the money is better off elsewhere. Holding on now would only be in the hopes that the capital return somehow doesn't impact the share price which I am not willing to gamble on.

Disc: Sold out completely this week

[LoungeLizard]

Capex is expected to lift by a lot next year and stay that way for a little while, so the situation is only going to get worse. I think at the current price the risk reward is no longer very favourable and the money is better off elsewhere. Holding on now would only be in the hopes that the capital return somehow doesn't impact the share price which I am not willing to gamble on.

Disc: Sold out completely this week

That's fair, but they have done a good job in reducing costs with more reductions to come, so I don't expect FCF to be any worse next year.
It's a little bit crystal ball gazing with SKY, and in the normal course of events a return to dividends plus a substantial shareholder return would have given the SP a bit of a boost. It did for a day and then went backwards. As you say, there's real uncertainty out there as to what will happen after the capital return. Is it priced in or will we see a stampede for the exit after the return is made.
Disc. Hanging in there.

[mistaTea]

https://www.express.co.uk/life-style/science-technology/1663012/Sky-TV-update-Stream-Puck-release

Sky UK releasing an IP-only box shortly.

The first version SNT release will be the hybrid box, which is fine...but I hope they have an IP-only version ready very soon after.

Though we don't want them to rush the rollout, it is frustrating that we are now in September and still nothing. Especially when you consider that we had spent a bunch of money developing a new box that should have been rolled out 4 years ago.

A new UX, with bundles that include access to popular platforms like Amazon as part of a Sky Entertainment package will be popular with a younger generation I think. A one-stop shop that provides an On Demand focus with Live TV options too.

[Mysterion]

https://www.tvtechnology.com/news/nep-group-appoints-martin-stewart-cfo

NEP Group Appoints Martin Stewart CFO



"Stewart was Chief Executive at SKY New Zealand, where in just two years he and his team turned the business around to one of growth"

[mistaTea]

Today is the last day shares can be bought and qualify for the dividend payment? Two days standard settlement?

[Mysterion]

Me looking for on market stock purchases by directors or CEO

[Mysterion]

AFL signs $4.5b, seven year broadcast deal with Seven and Foxtel

https://www.afr.com/companies/sport/afl-signs-bumper-broadcast-deal-with-seven-and-foxtel-20220906-p5bftg

The deal is worth $4.5 billion – including more than $4 billion in cash – over seven years and dwarfs the $2.5 billion paid in 2017 which was extended for another two year for $946 million at the start of the pandemic.

Bids from Network Ten and streaming partner Paramount Plus and Nine Entertainment with streaming service, Stan, helped push the bid to over $642 million a year, well over the $600 million a year the AFL had hoped for.

[mistaTea]

https://www.nzx.com/announcements/398425

Good to see our gal spreading the Good Word at the Craigs Investment Conference.

[Mysterion]

https://www.nzx.com/announcements/398425

Good to see our gal spreading the Good Word at the Craigs Investment Conference.

Only $10m?

[Mysterion]

Am I reading this right?

$417m per year in 2019 to $643m in 2025

50% increase?