SKT Sky Network Television Limited.

[bull....]

without sport im afraid ... the end is near

[Sideshow Bob]

Update today:

Sky withdraws guidance for year ended 30 June 2020

18/3/2020, 8:59 amMKTUPDTE

Sky withdraws guidance for year ended 30 June 2020
18 March 2020
Due to increasing uncertainty surrounding the Covid-19 outbreak, Sky Network Television Limited (NZX/ASX:SKT) has today announced that it is withdrawing its Revenue and EBITDA guidance for the year ended 30 June 2020.

The responsible actions taken by the New Zealand Government and sports administrators to combat the spread of Covid-19 has impacted upon a number of the live sporting events for which Sky holds broadcasting rights. While several sports such as the NRL, the A-League and the ANZ Premiership Netball are currently adapting by playing without fan attendance, and New Zealand Rugby is looking at innovative ideas for a short-term local derby, Sky recognises the potential for further disruption.
While the company has options to recover some costs associated with sports content rights, Sky is aware of the crucial role it plays in the sport ecosystem in New Zealand. Decisions made now have the likelihood of impacting on the health and sustainability of New Zealand sport for some years to come.
As a business with a strong focus on delivering sport content to its customers, the sustainability of New Zealand sport is an important consideration. In the first instance, Sky is working closely with its content partners to develop the best possible package to deliver to customers. Sky is also able to draw upon its extensive library of marquee sporting events covering a range of codes and tens of thousands of hours of premium content, documentaries and original production.
Sky’s entertainment offerings, available through both the Sky satellite platform and its Neon and Lightbox streaming services, continue to deliver a high-quality line-up of content.

Chief Executive Officer, Martin Stewart commented: “In these unprecedented times, our focus remains on working with our sport partners and the wider network of rightsholders and suppliers to deliver on our promise of connecting New Zealanders with the sport and entertainment content they love in ways that work for them. The Sky team is working hard to deliver content our customers value to keep them connected, entertained and inspired during this challenging period.”
“Sky fully supports the New Zealand Government’s response to the current situation which is in the best interests of our communities.”
Sky is taking decisive actions including the reduction of operating expenses, deferring non-essential capital projects and implementing a travel and hiring freeze. Appropriate measures are in place to protect the health and wellbeing of Sky people, following best practice and the guidelines provided by the Ministry of Health.
Sky expects to host an Investor Day when the Covid-19 impacts are better understood.
ENDS

[blackcap]

Otherwise I'm due to give them a call and cancel sport or similar.

I'm in that boat too. But if I give up sport I would cancel my whole sub and that is at $98 per month. SKY need to come to the party fast to subscribers before it is too late. I am giving them another week. If I don't get movies or such like for free its bye bye to your $98 per month from me. No use putting on a whole host of past sporting events. That kinda **** does not flow with me.

[mistaTea]

I'm in that boat too. But if I give up sport I would cancel my whole sub and that is at $98 per month. SKY need to come to the party fast to subscribers before it is too late. I am giving them another week. If I don't get movies or such like for free its bye bye to your $98 per month from me. No use putting on a whole host of past sporting events. That kinda **** does not flow with me.

Will be interesting to see what they are able to do here. Adding movies for free for a month or two would be a great gesture to existing customers I agree.

And for customers that already pay for Starter + Entertainent + Movies/SOHO + Sport... give them MySky for free for a couple of months.

They don't have to bankrupt themselves with freebies, but a nice gesture would go a long way for sure.

Martin is very customer-focussed, so let's see what he does next.

[blackcap]

They don't have to bankrupt themselves with freebies, but a nice gesture would go a long way for sure.

.

Would it though? Because surely the marginal cost of providing movies to extra customers is zero? As it would be for sport or any other channel. Or have I read the situation incorrectly? Any goodwill they can generate now will be beneficial if they survive as a going concern. Because the current share price to me indicates the market things SKY is gone burger.

[mistaTea]

Would it though? Because surely the marginal cost of providing movies to extra customers is zero? As it would be for sport or any other channel. Or have I read the situation incorrectly? Any goodwill they can generate now will be beneficial if they survive as a going concern. Because the current share price to me indicates the market things SKY is gone burger.

There are some incremental costs they have to pay to their entertainment content owners on a per subscriber basis.

So if they started giving movies etc away for free there will be a cost to Sky. I can’t quantify how much though.

[RTM]

I am a sailor and enjoy watching sailing on TV.
The 18's in Sydney are a good watch.
This is streamed on facebook live. And 18footers.com.au
https://www.18footers.com.au/18-foot...18-footers-tv/
This, or a variant, seems to be the future to me.
Not sure how long it will take, but yes, SKY looks like gone burger to me.
Without sport....why would I pay to subscribe to SKY ?

[mistaTea]

I am a sailor and enjoy watching sailing on TV.
The 18's in Sydney are a good watch.
This is streamed on facebook live. And 18footers.com.au
https://www.18footers.com.au/18-foot...18-footers-tv/
This, or a variant, seems to be the future to me.
Not sure how long it will take, but yes, SKY looks like gone burger to me.
Without sport....why would I pay to subscribe to SKY ?

The majority of their subscribers currently subscribe to Sky for their entertainment offerings.

Sport is a significant minority of their subs, and without sport there would be a big hole in their offering for sure - but I also think we need to keep some perspective here too.

Why do you think that Sky Sport will be permanently damaged by current events? We don't know how severe the impact will be - and I am pretty sure life will go on and professional sport will continue once this blows over.

Unless coronavirus causes Sky to go bankrupt (not likely), then I don't see how current events affect the Business Case long term.

[moimoi]

What a woeful level of information provided in this announcement for current or potential owners to base decisions on..

The company needs to provide disclosure on what the following are...

"the company has options to recover some costs associated with sports content rights"

And disclose the level of cancellations being received both in total and package by package, and signups. (if there are any...)

They could take a leaf out of the SKC Covid announcement, also provided today, which has provided a line by line breakdown of month to date impacts.

[steveb]

Sky should press NZ Rugby to bring forward the Mitre 10 cup.They don't get huge crowds so the loss of gate reciept's would not be huge.Sky could keep their large outside broadcast team gainfully employed,and hey you never know,but with the lack of sport around they could even sell some overseas rights!