Outdoor and digital advertising group oOh!Media has lifted full-year profit 17.4 per cent and is targeting further growth in a year it hopes will include the completion of its merger with rival APN Outdoor.
Net profit for the 12 months to December 31 rose to $21.6 million following a trio of acquisitions and the continued rollout of its digital billboards.
Chief executive Brendan Cook said oOh!Media would benefit from increased savings from the integration of its recently acquired businesses in the 2017 financial year.
The company on Monday said the acquisition and integration of Executive Channel Network, Junkee Media and Cactus Imaging had already strengthened its reach, content capability and efficiency.
"We participate in a competitive and rapidly evolving broader advertising market ... (and) it's clear we need to invest and innovate," Mr Cook told analysts on Monday.
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"Therefore, to compete against global online players aggressive traditional media such as TV and radio, we will continue to invest in product, data and content to improve the effectiveness of out of home (adverting)."
Underlying earnings rose 27 per cent at $73.5 million, at the upper end of guidance issued in December, after the advertiser more than doubled its number of large format digital screens in premium locations from 90 to 190.
Mr Cook said digital conversion would continue at pace in 2017 even though the addition of 54 large format road billboards easily exceeded a prospectus target of 50 by 2018.
"Our performance highlights the benefits of our diversified portfolio of assets, and we firmly believe this positions the company for continuing growth," Mr Cook said.
"Importantly, the products are increasingly benefiting from greater co-ordination of campaigns and the network effect across multiple media environments and channels."
Mr Cook did not give earnings guidance for 2017 because the proposed $1.6 billion APN Outdoor merger is still subject to shareholder approval.
He said a scheme meeting was expected in April, with the merger hopefully completed in May.
Revenue for the 12 months to December 31 rose 20.1 per cent, with underlying earnings up 27 per cent at $73.5 million, at the upper end of guidance issued in December.
At 1200 AEDT, shares in oOh!Media were up nine cents, or two per cent, at $4.59.
OOH!MEDIA UPS FY PROFIT
* Net profit up 17.4pct to $21.6m
* Revenue up 20.1pct to $336.1m
* Final dividend up 3.3 cents to 10.0 cents, fully franked
