Ten Network Holdings Limited records worst ratings ever

Ratings for the network just aren’t what they used to be.

| More on:
a woman

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

The start of 2014 brought excitement for investors in Ten Network Holdings Limited (ASX: TEN), as historically large audiences turned to the television network’s broadcast of the Big Bash League, giving optimism that the company could return to profitability this year. In fact, in January alone its shares soared nearly 27% from 28c to 35.5c while its broadcast of the Sochi Olympic Games in February also attracted strong audiences.

Unfortunately, that optimism was short-lived with shares now trading just above their 52-week low of 24c. Last week, the network endured a record low weekly audience for prime time with just a 13.8% share between 6pm and midnight. This was behind ABC’s 17.9%, Nine Entertainment Co Holdings Ltd (ASX: NEC) 31% share and Seven West Media Ltd’s (ASX: SWM) 33% share.

What was an even poorer result was Ten’s ratings on Sunday night. It attracted a terrible 5.9% audience share.

It’s obvious that things are a mess for the network. It’s just not attracting the audiences that it used to. Perhaps this is in large part due to a younger target audience than that of its rivals, whereby younger adults are increasingly turning to other digital sources such as Facebook or YouTube.

To make matters even worse, it was announced last week that chairman Lachlan Murdoch was stepping down from the role to accept positions as co-chair of Twenty-First Century Fox Inc (ASX: FOX) and News Corp (ASX: NWS), although he did retain his 8.8% shareholding of the network.

Foolish takeaway

While it is currently purely speculative, recent reports have suggested that the Coalition government could relax cross-media ownership laws which would open up the possibility of a rival network making a takeover bid for Ten. However, such speculation is not tempting enough to hit the “buy” button anytime soon. It’s becoming more and more obvious how far behind the competition Ten Network is, particularly as more companies are now choosing to advertise online.

Motley Fool contributor Ryan Newman does not own shares in any of the companies mentioned.

More on ⏸️ Investing

Close up of baby looking puzzled
Retail Shares

What has happened to the Baby Bunting (ASX:BBN) share price this year?

It's been a volatile year so far for the Aussie nursery retailer. We take a closer look

Read more »

woman holds sign saying 'we need change' at climate change protest
ETFs

3 ASX ETFs that invest in companies fighting climate change

If you want to shift some of your investments into more ethical companies, exchange-traded funds can offer a good option

Read more »

a jewellery store attendant stands at a cabinet displaying opulent necklaces and earrings featuring diamonds and precious stones.
⏸️ Investing

The Michael Hill (ASX: MHJ) share price poised for growth

Investors will be keeping an eye on the Michael Hill International Limited (ASX: MHJ) share price today. The keen interest…

Read more »

ASX shares buy unstoppable asx share price represented by man in superman cape pointing skyward
⏸️ Investing

The Atomos (ASX:AMS) share price is up 15% in a week

The Atomos (ASX: AMS) share price has surged 15% this week. Let's look at what's ahead as the company build…

Read more »

asx share price competitions represented by businessmen arm wrestling
Retail Shares

How does the Temple & Webster (ASX:TPW) share price stack up against Nick Scali (ASX:NCK)?

How does the Temple & Webster (ASX: TPW) share price stack up against rival furniture retailer Nick Scali Limited (ASX:…

Read more »

A medical researcher works on a bichip, indicating share price movement in ASX tech companies
Healthcare Shares

The Aroa (ASX:ARX) share price has surged 60% since its IPO

The Aroa (ASX:ARX) share price has surged 60% since the Polynovo (ASX: PNV) competitor listed on the ASX in July.…

Read more »

asx investor daydreaming about US shares
⏸️ How to Invest

How to buy US shares from Australia right now

If you have been wondering how to buy US shares from Australia to gain exposure from the highly topical market,…

Read more »

person reading news on mobile phone
⏸️ Investing

Why Fox (NASDAQ:FOX) might hurt News Corp (ASX:NWS) shareholders

News Corporation (ASX: NWS) might be facing some existential threats from its American cousins over the riots on 6 January

Read more »