Southern Cross Austereo CEO Grant Blackley rejects claims he’s on the way out

Media executive Grant Blackley has shot down recent claims he’s departing his role as chief executive officer.

Southern Cross Austereo chief executive officer Grant Blackley.

Southern Cross Austereo chief executive Grant Blackley isn’t going anywhere.

In an exclusive interview with The Australian, the veteran media executive — who has been at the helm of the entertainment company for seven years — shot down recent newspaper reports that a search is on to replace him, after it emerged SCA had engaged an external headhunting firm.

When asked if he was moving on, Mr Blackley said: “No, I’m not.”

“I’m thoroughly enjoying the challenge of managing the affairs of SCA, I’ve been here for seven years, I was at Ten for 25 years and I know that there are any number of CEOs that have been in their roles for longer than seven years,” he said.

“It really depends on my desire to continue in the role, the board’s desire to continue to employ me in the role … and fundamentally how the company has performed through what have been both good and bad times.”

He said SCA is “duty bound” to search for a new CEO and senior executive team members annually and it’s something that has been done for the past five years.

“This year we elected to also bring in (consulting firm) Korn Ferry to assist with that process, they have effectively spoken with and evaluated both internal and external candidates for a number of roles, such that the board has visibility on succession for the future,” Mr Blackley said.

“We will do it again this time next year and every year thereafter and we think that’s healthy for the business and it’s healthy for our shareholders.”

SCA’s chairman Robert Murray also issued a statement on the recent reports that Mr Blackley’s position was under threat, saying the engagement of Korn Ferry was “part of the board’s routine succession planning for senior executives”.

He refuted any suggestion that Mr Blackley was on his way out of the company.

SCA is undergoing an on-market share buyback of $40m, while focusing intently on investing in its digital strategy to boost audiences and revenue opportunities. In its half-yearly profit update through to December 31, SCA’s digital streaming app LiSTNR had accumulated 500,000 users in its first year and Mr Blackley said this is continuing to grow.

“It’s got a very strong growth rate which includes downloads of the app, the conversion of people within the app and time spent on the app as well,” he said.

“Every measure has improved demonstrably.”

The app includes 108 podcasts, 25 new music stations and has secured digital audio streaming rights to games in sports including the NRL, AFL and Cricket Australia.

SCA last year also secured a partnership with the BBC, allowing it to broadcast some of its content in Australia.

Mr Blackley said SCA is also working with American sports channel ESPN and Apple.

In the company’s half-yearly profit update in March, it reported audio revenue rose by 11.5 per cent or the equivalent of $20m, broadcast audio rose 10.3 per cent to $183.3m, but television revenue fell by 22.3 per cent to $65.8m.

Mr Blackley, who is also Commercial Radio Australia’s chairman, said advertising revenue is continuing to recover post-Covid at a “reasonable pace”.

He said unlike TV, radio advertising is directly exposed to the small-to-medium enterprise market with a “greater portion of revenue, that’s at both a metro and regional level”.

SCA changed its regional TV affiliation from Nine to Network Ten last year after signing a two-year agreement and Mr Blackley said they expected less revenue as a result.

Blackley will address the Radiodays Europe conference in Sweden on Monday to discuss Australia’s rapid digital audio transformation.