Prime’s decision to stick with Channel 7 content will pay handsomely as the Cricket now on 7 is generating a huge increase in viewer numbers for Prime.
Add to that (1) the growing economic performance of regional Australia despite a continuing drought in some regions, (2) continued strength in wine exports, (3)growing agricultural exports and (4) massive numbers of overseas tourists now heading to the regions.
These are all important elements that will help Prime’s financial performance over the next 1-2 years.
In addition Prime’s major shareholder, Bruce Gordon with 15% has just increase his stake in Channel 9 and stated we wants to take his 9 shareholding higher. We also have Murdoch in the background with unsatisfied desires to own some television licences in Australia.
So 2019 could be an interesting year. We may even get a franked dividend before Bowen becomes treasurer.
PRT Price at posting:
23.0¢ Sentiment: Hold Disclosure: Held
