Finance Finance News Domain’s profit drops 120% on print advertising write-downs

Domain’s profit drops 120% on print advertising write-downs

Domain has written down some assets. Photo: AAP
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Real estate listings company Domain Holdings has experienced a 120 per cent drop in full-year profit.

The company reported a $6.2 million loss in the 2017-18 financial year, which is a significant drop from the $23.5 million net profit it posted in the prior year.

Domain’s loss was effected by a write-down of $29.6 million, predominantly related to its print and transactions segments.

Print revenue fell 13 per cent, due to ongoing structural shifts to digital advertising, Domain said in its annual report.

Its print business includes Domain’s magazines, and listings published in newspapers like The Sydney Morning Herald, The Age and the Australian Financial Review.

In addition, there were $4.6 million worth of restructuring and redundancy costs.

“The statutory result is not representative of the underlying performance of the business,” the company said.

Domain posted an underlying net profit of $52.9 million, a gain of 7.7 per cent, when the significant expenses are excluded.

It will pay a final dividend of 4 cents per share, 70 per cent franked.