SKY NETWORK TELEVISION LIMITED (SKT)
Share Price Analysis and Chart

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26/02/2026

1

Outperform

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Macquarie saw SKY Network Television releasing a "solid" H1 performance with management re-affirming standalone FY26 guidance, as well as providing consolidated group guidance for the first time.

THe declaration of a NZ15c interim dividend is seen as the reflection of significant improvement in free cash flow generation as well as
confidence in the outlook.

Macquarie highlights SKY Network Television intends to review capital management options and a further update is to be provided as part of the FY26 earnings announcement.

The broker sees a compelling value investment opportunity, with the shares trading significantly below estimated fair value while offering a high dividend yield.

Macquarie retains an Outperform rating and target of NZ$3.56. Minor amendments seem to have been made to forecasts.

FORECAST
Macquarie forecasts a full year FY26 dividend of 26.78 cents and EPS of 22.85 cents.
Macquarie forecasts a full year FY27 dividend of 31.24 cents and EPS of 27.40 cents.

05/03/2026

3

Downgrade to Neutral from Overweight

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Sky Network Television has done a good job in stabilising the business over the last three years, Jarden asserts, although structural pressures continue with the company falling short of its three-year revenue objectives.

Of most concern to the broker is the fact core subscriber numbers are shrinking, falling to 825,000 in the first half, although the company has used price to help revenue and in this regard the remaining customers are "arguably higher quality".

The broker envisages an increased risk that sport is used to cover most of the overhead imposts as entertainment appears increasingly weak.

Jarden downgrades to Neutral from Overweight on a more balanced risk/reward assessment. Target is raised to NZ$3.30 from NZ$3.15.

FORECAST
Jarden forecasts a full year FY26 dividend of 26.78 cents and EPS of 25.53 cents.
Jarden forecasts a full year FY27 dividend of 26.78 cents and EPS of 31.13 cents.